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2 years ago

A convertible bond would let the investor exchange it for:____.

Business

1 answer:

worty [1.4K]2 years ago

3 0

A convertible bond would let the investor exchange it for common stock

What is a convertible bond?

A convertible bond allows the investors (lender) to exchange the bond for something else within a given time under any conditions specified in the bond indenture.

How does a convertible bond work?

A convertible bond pays fixed-income interest payments, but can be converted into a predetermined number of common stock shares. The conversion from the bond to stock happens at specific times during the bond's life and is usually at the discretion of the bondholder.

Common stock :

Common stock is a security that represents ownership in a corporation. In a liquidation, common stockholders receive whatever assets remain after creditors, bondholders, and preferred stockholders are paid. There are different varieties of stocks traded in the market.

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Land used for raising crops or livestock is generally called a

lozanna [386]

Answer:

A tract of land used for raising crops or livestockcan be called a field or a farm.

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3 years ago

Read 2 more answers

according to sfac 5, the four criteria that must be met for an item to be recognized in the basic financial statements are

Ilia_Sergeevich [38]

These are the 4 main criteria that must be met for an item to be recognized in the basic financial statements according to sfac 5.

Relevance
Measurability
Definition
Reliability

<h3>What is meant by financial analysis?</h3>

Financial analysis is the process of examining a company's various finances in order to assess its financial stability and future prospects. Financial analysis assists business owners in determining any necessary courses of action to remain afloat, make a profit or avoid bankruptcy. It also assists investors in deciding whether to invest in your company. During this process, a company's financial statements, such as its income statement and balance sheet, are examined.

1. Vertical

Vertical financial analysis examines the relationship between various items on a financial statement. During one accounting period, for example, one item is measured against another item that is considered the base, and the relationship is expressed as a percentage. Despite the fact that it only accounts for one time period, it can assist you in recognizing changes over time and comparing various entities.

2. Horizontal

Horizontal analysis is the examination of how financial statement figures change over time. To put it another way, it compares one item to another from a different time period. As a result, it can aid in the analysis of a company's finances from one year to the next.

3. Availability of liquidity

Ratios are used in liquidity analysis to determine whether or not a company will be able to repay any debts or other expenses. This type of analysis is useful because if a company is unable to pay off its liabilities, it will face financial difficulties in the near future. Liquidity analysis is especially useful for lenders or creditors who want to know about your financial situation before extending you a loan or credit. In a liquidity analysis, various ratios such as the cash ratio and current ratio are used.

Thus the financial analysis is of different types and can be used according to the need.

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8 0

2 years ago

Federal law prohibits employers from hiring certain illegal alien workers. Suppose an employer advertises the availability of a

Vladimir79 [104]

Answer:

The correct answer is Conflict.

Explanation:

Ethical conflict, is all conflict of values, that is when contradictory values come into play when faced with the need to make a decision.

As examples we have, the construction of a dam that will allow to provide electricity to a region, but implies pollution or destruction of the environment; having an abortion is a moral problem, practicing a woman abortion is an ethical problem; stealing is a moral problem, defining punishment is an ethical problem; Euthanasia is a moral problem, defining who should apply is an ethical problem.

Conflict ethics means assuming values and attitudes that men can share and defend all. It implies achieving a code of conduct of mutual responsibility that takes into account the effects of what we do, both in the present and in the future; This conflict ethic needs the defense of values that involve men, nature and the world, which strengthens respect for life and freedom.

7 0

3 years ago

Comparing payback period and discounted payback period. Nielsen, Inc. is switching from the payback period to the discounted pa

blondinia [14]

Question Completion:

Given the following four projects' cash flows, and using a discount rate of 10%, ...

project 1 project 2 project 3 project 4

Cost $10,000 $15,000 $8,000 $18,000

Cash Flow Year 1 4,000 7,000 3,000 10,000

Cash Flow Year 2 4,000 5,500 3,500 11,000

Cash Flow Year 3 4,000 4,000 4,000 0

Answer:

<h2>Nielsen, Inc.</h2>

Determination of Projects Acceptance under Payback Period and NPV:

Payback Period NPV

Project 1 Accepted Rejected

Project 2 Accepted Rejected

Project 3 Accepted Accepted

Project 4 Accepted Accepted

Explanation:

1. Data and Calculations:

project 1 project 2 project 3 project 4

Cost $10,000 $15,000 $8,000 $18,000

Cash Flow Year 1 4,000 7,000 3,000 10,000

Cash Flow Year 2 4,000 5,500 3,500 11,000

Cash Flow Year 3 4,000 4,000 4,000 0

Total inflows $12,000 $16,500 $10,500 $21,000

Discount rate = 10%

Payback period Year 3 Year 3 Year 3 Year 2

2. Discount factors: Year 1 = 0.909; Year 2 = 0.826; and Year 3 = 0.751

3. PV of Cash Flows:

project 1 project 2 project 3 project 4

Cost $10,000 $15,000 $8,000 $18,000

Cash Flow Year 1 3,636 6,363 2,727 9,090

Cash Flow Year 2 3,304 4,543 2,891 9,086

Cash Flow Year 3 3,004 3,004 3,004 0

Total PV inflow $9,944 $13,910 $8,622 $18,176

4. NPV ($56) ($1,090) $622 $176

5. Nielsen, Inc.'s payback period is the number of years (or length of time) it takes an investment to reach its break-even point (the point where there is no gain or loss). Nielsen's NPV is the difference between total cash inflows and cash outflows over some periods. A positive NPV for Nielsen shows that the projects should be accepted, while a negative NPV points to some underlying problems with the projects, especially with respect to cash inflows and outflows.

7 0

3 years ago

When the Fed is acting as fiscal agent for the Treasury, it will

Mashcka [7]

Answer:

b. receive and process bids for Treasury securities in preparation for the Treasury's auction of securities.

Explanation:

The Fed and their regional banks are authorized by the Federal Reserve Act of 1913 to act as fiscal agents if the Secretary of the Treasury requires them to do so. Theoretically, this shouldn't be a normal activity, it should only happen on demand of the Secretary of the Treasury.

5 0

3 years ago