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podryga [215]
1 year ago
9

A company’s 5-year bonds are yielding 7% per year. Treasury bonds with the same maturity are yielding 5.2% per year, and the rea

l risk-free rate (r* ) is 2.75%. The average inflation premium is 2.05%, and the maturity risk premium is estimated to be 0.1 3 (t 2 1)%, where t 5 number of years to maturity. If the liquidity premium is 0.7%, what is the default risk premium on the corporate bonds
Mathematics
1 answer:
hichkok12 [17]1 year ago
6 0

Based on the required rate of return, the real risk free rate, and the inflation premium, the default risk premium on the corporate bonds is 1.2%

<h3>How is the default risk premium found?</h3>

The default risk premium can be found as:

=real risk free rate + Inflation premium + default risk premium + liquidity premium + maturity risk premium

Solving gives:

= 0.07 - 0.0275 - 0.0205 - (0.1 x (t - 1)%)

=  0.07 - 0.0275 - 0.0205 - (0.1 x (5 years - 1)%)

= 1.2%

The default risk premium refers to the return that the bond is offering over what a risk-free bond would offer.

This means that the corporate bond described is offering 1.2% more than what a risk-free government bond would offer.

Find out more on default risk premium at brainly.com/question/8873408

#SPJ1

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The expression is equivalent to 49/8.

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6 situaciones en las que se hace necesario el uso de los números negativos
uranmaximum [27]

Answer:

Comprobar explicación

Check Explanation

Step-by-step explanation:

Los números negativos son números menores que 0. Son muy importantes en la naturaleza y en cualquier trato con los números. Por lo general, se escriben con un signo menos delante de ellos.

Las situaciones en las que el uso de números negativos son absolutamente necesarios incluyen

1) En los negocios, los números negativos se utilizan para indicar la deuda y la salida de efectivo.

2) En los circuitos eléctricos, se usan números negativos para describir el voltaje nominal cuando se invierten las polaridades de la batería.

3) En mediciones de temperatura para indicar temperaturas inferiores al punto de congelación del agua, especialmente en la escala Celsius (0°C).

4) Para indicar profundidades debajo del nivel del mar. El nivel del mar generalmente se designa como nivel 0 en términos de elevación.

5) En la numeración de los pisos debajo de la planta baja para un edificio alto.

6) En el análisis económico general, se utilizan para indicar una disminución de la economía, el PIB del país o un déficit en el presupuesto.

- En el análisis matemático general, los cálculos y las manipulaciones, los números negativos se usan ampliamente y son muy importantes.

- En química, los números negativos se utilizan para indicar la carga en los aniones (iones negativos).

¡¡¡Espero que esto ayude!!!

English Translation

6 situations in which the use of negative numbers is necessary.

Solution

Negative numbers are numbers that are lesser than 0. They are very important in nature and in any dealings with numbers. They are usually written with a minus sign in front of them.

The situations in which the use of negative numbers are absolutely necessary include

1) In business, negative numbers are used to indicate debt and outflow of cash.

2) In electrical circuits, negative numbers are used to describe the rated voltage when the polarities of the battery are reversed.

3) In temperature measurements to indicate temperatures lesser than the freezing point of water especially on the Celsius scale (0°C).

4)To indicate depths below the sea level. The sea level is usually designated to be 0 level in terms of elevation.

5) In the numbering of the floors below the ground floor for a tall building.

6) In general economic analysis, they are used to indicate a decline in the economy, country's GDP or deficit in budget.

- In general mathematical analysis, calculations and manipulations, negative numbers are used very extensively and are very important.

- In chemistry, negative numbers are used to indicate the charge on anions (negative ions).

Hope this Helps!!!

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3 years ago
Find the volume of a sphere with a radius of 9 inches. Use 3.14 for π. Round your answer to the nearest tenth..
azamat
Answer: 3053.6 in^3

To find the volume of a sphere, you first must identify the formula: (4/3)pi(r)^3

You’re given the radius 9 inches
And you’re also given the pi approximation 3.14.

With that in mind, we can plug those variables in the formula to get:
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Lets say that Williams current age is x, since it is currently unknown
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2) x + 15 = 3x-15
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This should be correct now, sorry for the misconception. Good luck
 
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Answer:

D) 15

Step-by-step explanation:

This is an arithmatic progression.

The formula for the sum of arithmatic progression is

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where d is the common difference between successive terms and a is the first term. By applying this formula,

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