Podcast
Play an AI-generated podcast conversation about this lesson
Download our mobile app to listen on the go
Get App
Questions and Answers
According to the information provided, what is the objective of investing $300,000?
According to the information provided, what is the objective of investing $300,000?
- To earn a fee equal to the yield-to-maturity on the 5-year Treasury
- To save $475 per month
- To grow it to $521,000 in 5 years (correct)
- To buy a house with a $221,000 gain
What is the fee that must be paid for the $300,000 investment?
What is the fee that must be paid for the $300,000 investment?
- $475 per month
- 4.68%
- $221,000
- The yield-to-maturity on the 5-year Treasury (correct)
What is the current yield-to-maturity on the 5-year Treasury?
What is the current yield-to-maturity on the 5-year Treasury?
- 4.21%
- 4.68% (correct)
- Fall 2022
- 1.06%
What is the average annual rate of return on a bond if held to maturity?
What is the average annual rate of return on a bond if held to maturity?
Signup and view all the answers
What must be the monthly rate of return on the portfolio to reach the $521,000 objective, ignoring the fee?
What must be the monthly rate of return on the portfolio to reach the $521,000 objective, ignoring the fee?
Signup and view all the answers
Flashcards are hidden until you start studying
