yes
Know the bond's face value, then, find the bond's coupon interest rate at the time the bond was issued or bought, then, multiply the bond's face value by the coupon interest rate it had when issued, then, know when your bond's interest payments are made, finally, multiply the product of the bond's face value and interest rate by the number of months in between payments.
it is calucated on the face value of the bond
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75
The yield on a 2 year corporate bond will always exceed the yield on a 2 year treasury bond
The yield on a 2 year corporate bond will always exceed the yield on a 2 year treasury bond
Corporate bond funds invest in a combination of corporate debt, U.S. treasury bonds, or other federal bonds
The prices of corporate bonds fluctuate as they are traded on the bond market. Like government bonds, a corporate bond pays a fixed amount of interest each .
Corporate Bonds are usually consider high risk.
ANSER=12
corporate bond
corporate bond
No
Which of the following is most correct?a. The yield on a 2 year corporate bond will always exceed the yield on a 2 year treasury bond.b. The yield on a 3 year corporate bond will always exceed the yield on a 2 year corporate bond.c. The yield on a 3 year treasury bond will always exceed the year on a 2 year treasury bond.d. All of the answers above are correct.e. Statements a and c are correct.
Rates on U.S. government securities such as treasury bonds establish the benchmark for interest rates on all other types of loans. For example, if interest rates rise on treasury bonds, interest rates on consumer loans, car loans and mortgages are almost certain to increase as well. An investor owning individual treasury bond securities would see the value of his bond holdings decline as interest rates increase since there is an inverse relationship between interest rates and bond prices. A loss would occur if an investor sold treasury bond holdings after they declined in value due to a rise in interest rates. A loss on treasury bond holdings could be avoided if the investor holds the bonds to maturity since at that time, the full face value of the bond would be paid to the investor.
A t-bond is a bond issued by the U.S. treasury Department that has a maturity greater than 10 years.