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Unformatted text preview: Chapter 12 Question # 1 Initial Price Paid Dividend Ending Share Price % total return $55.00 $1.20 $73.00 34.91% =((Ending PriceInitial Price)+Paid Dividen)/Initial Price Question #4 Coupon % Purchase Price Selling Price 8% $1,190 $1,255 b c Total $ Return Total Nominal ROR Inflation Rate Rea ROR a Face Value $1,000 $145 =(Selling PricePurchase Price+(Face Value*Coupon %)) 12.18% =(Total $ Return/Purchase Price) 7% 4.85% =((1+Total Nominal ROR)/(1+Inflation Rate))1 chase Price+(Face Value*Coupon %)) urchase Price) l ROR)/(1+Inflation Rate))1 Question #9 Years 5 5% 11%
oc k St a b Average Return Variance Standard Deviation 10.40% 0.01948 13.96% 25% 18% 15% Question #17 Average Return Standard Deviation 6.1% 8.6% 2.3% Z 0.98 Z=(X )/ Probability of Return X find # above on the lefthalf column, then find the figure to the right th corresponds for example: my Z was .98, so I would find 0.9 on the left, then go to th and find where .08 meet so my answer would be .1635 N(d) 95% Low 95% High 99% Low 99% High 0.1635 11.10% 23.30% 19.70% 31.90% 16.35% Answer Answer Answer Answer Answer mn, then find the figure to the right that esponds uld find 0.9 on the left, then go to the right so my answer would be .1635 ...
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This note was uploaded on 04/17/2008 for the course FIN 301 taught by Professor Stumbo during the Spring '08 term at Nevada.
 Spring '08
 Stumbo

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