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Anvisha [2.4K]
2 years ago
5

Differentiate between a bond coupon rate and the market rate of interest.

Business
1 answer:
Arlecino [84]2 years ago
5 0

The differences between a bond coupon rate and the market rate of interest are:

  • A coupon rate is a fixed rate of return attached to the face value of the bond paid to the purchaser from the seller, while the market interest rate can change dramatically throughout the lifespan of the bond.
  • The coupon rate is calculated on the face value of the bond, which is being invested. The interest rate is calculated considering the basis of the riskiness of lending the amount to the borrower. The coupon rate is decided by the issuer of the bonds to the purchaser. The interest rate is decided by the lender.

A bond is a debt security, similar to an IOU. debtors problem bonds to raise money from investors inclined to lend them money for a certain amount of time. while you buy a bond, you are lending to the provider, which may be a government, municipality, or enterprise.

Bonds are issued with the aid of governments and agencies after they want to elevate money. by means of shopping for a bond, you are giving the provider a mortgage, and they agree to pay you again the face fee of the loan on a particular date and to pay you periodic interest payments along the way, generally two times a year.

Learn more about bond here: brainly.com/question/25965295

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Alberto determined one of the metrics he would use to gauge the level of exposure his marketing message had with his target market was the number of times the target was exposed to his message throughout the six weeks of the campaign, representing its "frequency" is represented by this.

<h3>What is the market frequency?</h3>
  • The likelihood that a particular consumer will see an advertisement during a marketing campaign is known as frequency.
  • A person is more likely to engage with the advertisement in a meaningful way and to interact with your business on a number of different levels if they are exposed to it more frequently.
<h3>What is Marketing?</h3>
  • Marketing describes the actions a business does to encourage the purchase or sale of a good or service.
  • Advertising, selling, and delivering goods to customers or other firms are all included in marketing.
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8 0
2 years ago
In the past, how have you handled receiving conflicting instructions from different people at the same time?
Anvisha [2.4K]
By asking questions and demonstration. In this way, you would be able to understand the instructions fully. With the help of demonstration, it will help you understand on what to do while by asking questions, it allows you to understand the whole procedure and its importance.
3 0
3 years ago
What are three common types of federal taxes?
anastassius [24]

three common types of federal taxes are :

1. income tax

2. Property tax

3.Sales tax

5 0
3 years ago
Presented below are certain account balances of Martinez Products Co.
Zepler [3.9K]

Answer:

a. Total net revenue:

= Sales revenue - Sales discounts - Sales returns + Rent revenue + Dividend revenue

= 410,000 - 7,930 - 12,560 + 6,610 + 71,490

= $467,610

b. Net income:

= Total net revenue - Cost of goods sold - Interest expense - selling expenses - income tax expense - administrative expenses

= 467,610 - 179,854 - 13,420 - 99,440 - 28,935 - 75,280

= $70,681

c. Dividends declared:

= Beginning Retained earnings + Net income - Ending Retained earnings

= 114,500 + 70,681 - 134,260

= $50,921

d. Income attributable to controlling shareholders:

= Net income - non-controlling interest:

= 70,681 - 19,240

= $51,441

4 0
3 years ago
On March 1, Pimlico Corporation (a U.S.-based company) expects to order merchandise from a supplier in Sweden in three months. O
luda_lava [24]

Answer and Explanation:

The computation is shown below:

a. As a premium expense

= ($0.460 - $0.44) × 695,000

= $13,900

b. As a difference of 3 months spot rate and spot rate

= ($0.455 - $0.44) × 695,000

= $10,425

The first one represents the premium expense for $13,900 and the second part represents the adjustment to the net income in a positive way

7 0
3 years ago
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