subject
Mathematics, 24.05.2020 00:01 niescarlosj

Four years ago, Sam invested in Grath Oil. She bought three of its $1,000 par value bonds at a market price of 93.938 and with an annual coupon rate of 6.5%. She also bought 450 shares of Grath Oil stock at $44.11, which has paid an annual dividend of $3.10 for each of the last ten years. Today, Grath Oil bonds have a market rate of 98.866 and Grath Oil stock sells for $45.55 per share. Use the scenario above to consider which statement best describes the relative risk between investing in stocks and bonds. a. It is equally likely that the company would suspend paying interest on the bonds and dividends on the stock. b. Both the coupon rate and the dividend rate are fixed and cannot change. c. The market price of the bonds is more stable than the price of the company's stock. d. The amount of money received annually in interest (on the bonds) and in dividends (on the stocks) depends on the current market prices. Please select the best answer from the choices provided A B C

ansver
Answers: 2

Another question on Mathematics

question
Mathematics, 21.06.2019 16:00
In the 30-60-90 triangle below side s has a length of and side r has a length
Answers: 2
question
Mathematics, 21.06.2019 19:30
Two corresponding sides of two similar triangles are 3cm and 5cm. the area of the first triangle is 12cm^2. what is the area of the second triangle?
Answers: 1
question
Mathematics, 21.06.2019 22:30
There are 93 calories in a small candy bar how many calories are ther in a half dozen small candy bars?
Answers: 2
question
Mathematics, 21.06.2019 23:30
Answer each of the questions for the following diagram: 1. what type of angles are these? 2. solve for x. what does x equal? 3. what is the measure of the angles?
Answers: 1
You know the right answer?
Four years ago, Sam invested in Grath Oil. She bought three of its $1,000 par value bonds at a marke...
Questions