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8090 [49]
1 year ago
9

What is the current yield for a $1000 corporate bond that pays 8.0 percent and has a current market value of $870?

Business
1 answer:
alexandr402 [8]1 year ago
4 0

The current yield for a corporate bond = 9.19 %

Calculation :

Amount of annual interest = face value × rate of interest

                                         =  $1000 × 8.0

                                           = 8000%

Then, Current yield = amount of annual interest / current price

                                 = 8000%  ÷ $870

                                = 9.19 %

Do corporate bonds pay interest?

Corporate bonds pay interest semi-annually, which suggests that, if the coupon is five percent, each $1000 bond can pay the bondholder a payment of $25 every six months--a total of $50 per year

What Is the Current Yield?

Current yield is an investment's annual income (interest or dividends) divided by the present price of the security. This measure examines the present price of a bond, instead of looking at its face value.

Learn more about current yield :

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The best advice for concluding a presentation is by having to review major points as it is essential to be able to deliver your main purpose or the important information you want to deliver to your audience and in the same time, the individual should focus on what he or she wants for his or her listeners to think, remember and even do.

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3 years ago
A United States-based faculty member goes on sabbatical and works in Finland for a government-run university teaching classes fo
vodomira [7]

Answer:

A $38,000- Germany:  B $50,000- Finland: C $0 , America

Explanation:

GDP represents the total value of all the goods and services produced within the country. The expenditure method is one of the methods that economist use in calculating the value of GDP.  Expenditure refers to spending. In measuring the GDP, the expenditure method takes account of expenditure on all the output of a country. Economists add up the values of finals goods and services produced within the borders of a country and multiply them by their prices. The result is the nominal GDP.

The formula for calculating GDP is as follows

GDP equals consumer spending on goods and services plus investor spending on business capital goods plus government spending on public goods and services plus net exports​

In Germany, GDP will increase by $38,000. It is the value of the car produced in Germany. In the formula, it is part of the net exports for the country.

In Finland, the GDP will increase by $50,000. It is the value of services offered by the American while working in Finland. In Calculating GDP, all output within the country is considered regardless of the person who produced it.

In the USA, the GDP will increase by 0$. The car was bought in the US, but it was an import. The expenditure formula does not consider imports. The amount of $50,000 was not earned within the borders of the US.

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If a loan is risky and extends for more than a year, the lender may ask for
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What positive contributions can labor unions make to organizations pursuing the loyal soldier hr strategy?
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Positive contributions can labor unions make to organizations pursuing the loyal soldier hr strategy is that the benefits of a stable workforce help maintain high quality.

It helps in the cost reduction by the stable labor force.

It also helps in making the low cost product at a very good quality.

Organisations which are pursuing loyal soldier HR strategy always  try to retain employees by providing them with a sense and feel of security which  persuades them to work for some lower wages than they could be able to earn in competing firms.

Such organizations try to reduce cost by offering job security in place of high wages.

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If the windshield division is operating at full capacity, what transfer price should be used on transfers between the windshield
Nikolay [14]

The possible transfer prices that could be used on transfers between the Windshield and Assembly divisions is $200 to $450.

The first piece of glass you see on most cars is the windshield. Also known as European car windshield. Windshields play an important role in supporting the vehicle structure and protecting the driver and passengers. The windshield protects occupants from wind, dust, insects, rocks and other flying objects and provides an aerodynamically shaped front panel. By applying UV coating, you can block harmful ultraviolet rays.

However, most car windows are made of laminated safety glass, so this is usually unnecessary. Most of the UV-B is absorbed by the glass itself and the remaining UV-B is absorbed by the PVB tie layer along with most of the UV-A.

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