Ashford 3: - Week 2 - Discussion 2

 

Your initial discussion thread is due on Day 3 (Thursday) and you have until Day 7 (Monday) to respond to your classmates. Your grade will reflect both the quality of your initial post and the depth of your responses. Reference the Discussion Forum Grading Rubric for guidance on how your discussion will be evaluated.

 

     

Present   and Future Values, and Expected Returns

Go to the Yahoo Finance Bonds Center.

  1. Under: Bonds Center click Bond      Screener: 
  2. Click the Corporate check box      under Bond Type then click Find Bonds. 
  3. Choose any bond. 

Assume interest rates for bonds today is 5% for an AAA rated bond. Calculate the price of the bond you have selected relative to the 5%. Is the bond selling at a premium or a discount? Why? Be sure to show how you arrived at your answer.  What other factors may influence the value of a bond?  
 

Guided Response: Review several of your classmates’ posts. Respond to at least two classmates by sharing your view of their conclusion. Are there any other factors that you can offer that may explain why the bond is selling at a premium or discount?

    • 6 years ago
    Present and Future Values, and Expected Returns
    NOT RATED

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