Chapter 1, Problem 2BD

Sam Strother and Shawna Tibbs are vice-presidents of Mutual of Seattle Insurance Company and co-directors of the company's pension fund management division.  A major new client, the Northwestern Municipal Alliance, has requested that Mutual of Seattle present an investment seminar to the mayors of the represented cities, and Strother and Tibbs, who will make the actual presentation, have asked you to help them by answering the following questions. A. What would happen to the value of the 10-year bond over time if the required rate of return remained at 11 percent, or if it remained at 9 percent? Would we now have a premium or a discount bond in either situation?   B. What is the yield to maturity (YTM) on a 10-year, 9 percent annual coupon, $1,000 par value bond that sells for $887.00? How about it sells for $1,134.20? What does the fact that a bond sells at a discount or at a premium tell you about the relationship between investors’ YTM and the bond's coupon rate?   C. How does the…

Which of the following criteria has the LEAST impact on determining how much federal aide you can receive for college?   A. Student income B. Parents Income C. Number of siblings attending college D. GPA

Which of the following would you recommend to clients who want to increase the potential for their child to receive financial aid?   a. Use excess liquid assets to pay off their home mortgage   b. Shift income from the parent to the child attending college.   c. Withdraw funds from retirement accounts to fund college education.   d. Send the college student to a lower cost university.

Government have been mandating deductions from both employers and employees to fund various social programs. Discuss the features of these deductions and what are their advantages and disadvantages? This is to be posted on the Discussion forum, please write it in you own words.

Determine the most valuable aspect of this course to you and explain how you plan to apply it to your personal financial practices.Share two ways that you feel you will be able to apply the concepts you learned in this course to your current or future work position.

Download the spreadsheet here which includes a tax table in each tab. Edit the spreadsheet so you can use it to answer the following questions. Then upload images of your spreadsheet in the last part of the question. Hint: create a spreadsheet with a tax table you have already used (in a practice), use it to answer questions that you answered in that practice for which you have correct answers. That will help you be sure that your ideas here work. a. Suppose Erick has a total taxable income of $181,860. They are taxed at the Married Jointly rates. What is Erick's total tax bill? $ 39,913.3 Erick pays taxes at the following tax brackets (pick all that apply). 10% 15% 25% 28% 33% 35%