According to recent legislation, under the fdic each brokerage account is insured up to?

Matt purchased a 20-year par value bond with an annual coupon rate of 8% compounded semiannually for a price of 1722.25. The cou

finlep [7]

Answer:

(b) 1440

Explanation:

As the coupon rate of 8% is greater than the yield to maturity (YTM) of 6% annually, the bond is selling at a premium. Hence, the bond will be called at the earliest i.e. 15 years.

Coupon = Call Price * Semi-annual coupon rate = X * [0.08 / 2] = X * 0.04

Yield to call = 6% annually = 3% semi-annually

Time = 15 years * 2 = 30

We know that,

Current Price of bond = Coupon * [1 - (1 + YTC)-call date] / YTC + Call Price / (1 + YTC)call date

1,722.25 = [X * 0.04] * [1 - (1 + 0.03)-30] / 0.03 + [X / (1 + 0.03)30]

1,722.25 = [X * 0.04] * 19.60 + [X * 0.41]

1,722.25 = X * [(0.04 * 19.60) + 0.41]

1,722.25 = X * 1.194

X = 1,722.25 / 1.194
X=$ 1,442.42 \approx $ 1,440

4 0

3 years ago

_________ forecasting method is well suited to situations in which sales forecasts are needed for a large number of products.

nikdorinn [45]

Answer:

D. Moving averages

Explanation:

Moving averages is a method of forecasting which is adopted to receive an overall idea of the trends for a given data

Moving averages is an average of any subset of numbers.

This method is very useful when the long-term trends are to be forecast or when the number of data sets are large in numbers.

3 0

2 years ago

Explain how an understanding of consumers' learning processes might affect marketing strategy planning. give an example.

Leokris [45]

Understanding the consumer's learning helps design a marketing strategy by identifying the patterns that can be created by the consumers. A business should learn to gather the common interest that they would want on a product which it can provide. Uniqueness, quality, and usability should be targeted so they can easily attract them. It can also be reinforced through advertisements that would draw them on acquiring the products.

7 0

2 years ago

Media planners typically use psychographic classifications to define their target audiences and rely heavily on primary research

kati45 [8]

<span>To properly target potential customers, it is necessary to know not only what the needs are of the people they're advertising, they also need to know how the item will be used. There are multiple reasons that a customer would buy an item or service, so I assume media planners would need to use psychographic classifications to know who their target audience is and what they would like. How heavily planners rely on these classsifications probably effects the response they received from the audience.</span>

3 0

3 years ago

The computation and interpretation of the degree of combined leverage (DCL)You and your colleague, Malik, are currently particip

erastova [34]

Answer:

1. expected to be the same

2. expected decrease to 1.11

3. expected decrease to 2.67

Explanation:

1. Degree of Operating Leverage = Contribution margin ÷ Earning before interest and tax

= $48,000,000 ÷ $20,000,000

= $2.40

2. Degree of Financial Leverage = Earning before interest and tax ÷ Earning before tax

= $20,000,000 ÷ $16,000,000

= $1.25

3. Degree of total leverage = Contribution margin ÷ Earning before tax

= $48,000,000 ÷ $16,000,000

= $3.00

The repayment 50% of bank loan

1. The Degree of Operating Leverage is expected to be the same.

2. Degree of Financial Leverage = $20,000,000 ÷ $18,000,000 = 1.11

The Degree of Financial Leverage is expected to be decrease to 1.11

3. Degree of total leverage = $48,000,000 ÷ $18,000,000 = 2.67

The Degree of total leverage is expected that it will decrease to 2.67

4 0

3 years ago