MT 3 - Stocks and Bonds Flashcards
1
Q
State the formula for the price of a bond
A
2
Q
State the formula for the price of the bond if coupons are paid every 6 months.
A
3
Q
State the formula for expected return
A
4
Q
State the relationship between price and expected return
A
5
Q
State the relationship between price and expected return for k periods
A
6
Q
State the price of stocks with constant dividend
A
7
Q
State the formula of Gordon Growth Formula
(price with perpetuity with growth)
A
8
Q
State the formula for ‘‘Return on equity”
A
9
Q
State the relationship between return, earnings and dividend growth
A
10
Q
State the formula for Present Value of Growth Opportunities (PVGO)
A
11
Q
State the formula of elasticity of the bond price wrt yields
A
12
Q
State the formula for Macaulay duration of bond
A
13
Q
State the formula of Volatility
A
14
Q
Forward Rate
A
