1. Miracle Oil Corporation's bonds currently yield 3.5%; the annual interest payment is $45, the bonds have 6 years remaining until maturity. What is the bond's current market value?
2. Jumping Jack Corporation’s bonds have a 15-year maturity, a semi-annual coupon of $36.25, and a par value of $1,000. The yield-to-maturity of this bond is 6.20%. What is the bond’s current market price?
3. You are evaluating a security to add to a portfolio. The risk free rate of return is currently 2%, the market rate is 10%. This stock's beta is 1.65. Using the security market line equation what is the expected return of this security
4. Based on economic activity the anticipated returns for Peterson Pool's are listed below:
Recession .30 -10%
Average .40 15%
Boom .30 40%
What is the expected Return for Peterson's Pool's4.