A company issues corporate bonds that have a coupon rate of 4%, pays dividends quarterly, and has a term of 10 years. Compute the dividend paid per quarter for each bond.
An investor buys 50 of these bonds at face value, and keeps them for the full 10 years. Compute the rate of return and express the answer to the nearest 0.01%.
An investor buys 50 of these bonds at the discounted price of $95.00 and keeps them for the full 10 years. Compute the rate of return. Express your answer to the nearest 0.01 percent