Answer:
a. A Ba1 corporate bond <u>2 (not investment grade)</u>
b. A ten-year BBB- corporate bond with a YTM of 7% <u>3 (medium risk but still investment grade)</u>
c. A secured loan from Argosy Gaming, which is a B- rated firm <u>4 (less risky since it is backed by a collateral)</u>
d. A senior subordinated bond from Argosy Gaming <u>1 (highest risk)</u>
Explanation:
There are two major bond rating agencies in the US: Moody's and Standard & Poor's.
Their rankings are very similar, although the letters vary a little:
AAA: safest
AA: low risk
A: low risk
BBB: medium risk
BB: a little bit more riskier
B: risky
CCC: very high risk
CC: even riskier
C: riskiest
D: junk, in default
Answer:
Instructions are listed below
Explanation:
Giving the following information:
Mar. 1 Inventory 200 units at $8
Mar. 9 Sale 175 units
Mar. 13 Purchase 160 units at $9
Mar. 25 Sale 150 units
Assuming a perpetual inventory system and using the first-in, first-out (FIFO) method
Cost of goods sold= 25 units*$8 + 125units*9= $1325
Ending inventory= 35units* 9= $315
Answer:
The correct answer is B.
Explanation:
Giving the following information:
An investment of $115 generates after-tax cash flows of $50 in Year 1, $90 in Year 2, and $150 in Year 3.
Rate of return= 20%
To calculate the present value, we need the following formula:
NPV= -Io + ∑[Cf/(1+i)^n]
Cf= cash flow
Io= 115
Cf1= 50/ 1.20= $41.67
Cf2= 90/1.2^2= $62.5
Cf3= 150/1.2^3= $86.81
NPV= -115 + (41.67 + 62.5 + 86.81)
NPV= $75.98
Edu means education so normally it is a college or other school website
Answer:
states.
Explanation:
The US Constitution delegated specific powers to the three branches of the Federal government (Executive, Legislative and Judicial). All the powers not specifically delegated to any branch of the Federal government, are expressly reserved to the State governments.
The idea is very simple, all the powers not specifically granted to the federal government belong to the states.
