g You currently hold an inflation-indexed bond, which pays out real coupons of 10% per year, starting one year from now. The bond has a real face value of $600, and will mature three years from today. If inflation over the next year will be 2% per year for the next three years, what will be the total nominal payment you will receive at the date of maturity

Which of the following statements is correct? stockholders should generally be happier than bondholders to have managers invest in risky projects with high potential returns as opposed to safe projects with lower expected returns. potential conflicts between stockholders and bondholders are increased if a firm's bonds are convertible into its common stock. takeovers are most likely to be attempted if the target firm’s stock price is above its intrinsic value. one advantage of operating a business as a corporation is that stockholders can deduct their pro rata share of the taxes the firm pays, thereby eliminating the double taxation investors would face in a partnership.