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1 year ago

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.

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3 years ago

Kasravi Co. had net income for 2018 of $800,000. The average number of shares outstanding for the period was 300,000 shares. The

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Answer: $2.64

Explanation:

Based on the information given in the question, the outstanding diluted share will be calculated as:

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3 years ago

One day, Barry the Barber, Inc., collects $500 for haircuts. Over this day, his equipment depreciates in value by $80. Of the re

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Answer:

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= $420

National Income

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<em>This is the income that a resident of the country earns and $420 is what Barry earned in net income.</em>

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Answer and Explanation:

As per the data given in the question,

Flexible manufacturing overhead budget

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