Which of the following is the best definition of a corporate bond? (a) represents ownership, where a...

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Finance

Which of the following is the best definition of a corporatebond?
(a) represents ownership, where a company promises to pay acertain coupon interest payment every period and $1,000 atmaturity.
(b) represents ownership and provides the holder the right tovote and a claim on residual cash flows and assets.
(c) an amortized loan that specifies a set payment that is thesame for every year.
(d) a contractual obligation that provides the holder the rightto vote and a claim on residual cash flows and assets.
(e) a contractual obligation, where a company promises to pay acertain coupon interest payment every period and $1,000 atmaturity.
2. If general interest rates decrease dramatically, whichstatement is most correct?
(a) Long-term bonds will increase in value more than short-termbonds.
(b) Short-term bonds will decrease in value more than long-termbonds.
(c) Long-term bonds will decrease in value more than short-termbonds.
(d) Short-term bonds will increase in value more than long-termbonds.
(e) Long-term and short-term bonds will change in value by thesame amount.
3. Wyatt Corporate issued a 20 year, 8.25% semi-annual couponbond. This bond has a face value of $1,000 and currently sells inthe market at the price of $928.69. Its YTM is 9.00% What couponpayment does this bond pay every 6 months?
(a) $39.469 (b) $45.000 (c) $20.625 (d) $41.250 (e) $41.791
4. An Apple Incorporated bond is contracted to pay a semi-annualcoupon at the rate of 8.5%. This $1,000 principal bond has a YTM of9.24% and currently sells for $942.10. What is the annual current(coupon) yield associated with this bond?
(a) 4.51% (b) 8.50% (c) 9.02% (d) 9.81% (e) 4.91%

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Which of the following is the best definition of a corporatebond?(a) represents ownership, where a company promises to pay acertain coupon interest payment every period and $1,000 atmaturity.(b) represents ownership and provides the holder the right tovote and a claim on residual cash flows and assets.(c) an amortized loan that specifies a set payment that is thesame for every year.(d) a contractual obligation that provides the holder the rightto vote and a claim on residual cash flows and assets.(e) a contractual obligation, where a company promises to pay acertain coupon interest payment every period and $1,000 atmaturity.2. If general interest rates decrease dramatically, whichstatement is most correct?(a) Long-term bonds will increase in value more than short-termbonds.(b) Short-term bonds will decrease in value more than long-termbonds.(c) Long-term bonds will decrease in value more than short-termbonds.(d) Short-term bonds will increase in value more than long-termbonds.(e) Long-term and short-term bonds will change in value by thesame amount.3. Wyatt Corporate issued a 20 year, 8.25% semi-annual couponbond. This bond has a face value of $1,000 and currently sells inthe market at the price of $928.69. Its YTM is 9.00% What couponpayment does this bond pay every 6 months?(a) $39.469 (b) $45.000 (c) $20.625 (d) $41.250 (e) $41.7914. An Apple Incorporated bond is contracted to pay a semi-annualcoupon at the rate of 8.5%. This $1,000 principal bond has a YTM of9.24% and currently sells for $942.10. What is the annual current(coupon) yield associated with this bond?(a) 4.51% (b) 8.50% (c) 9.02% (d) 9.81% (e) 4.91%