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9966 [12]
1 year ago
9

a bond has a face value of $1,000, an annual coupon rate of 7 percent, yield to maturity of 10 percent, and 20 years to maturity

. the bond's duration is
Business
1 answer:
rewona [7]1 year ago
5 0

The bond that has a face value of $1,000 has a duration of 10 years.

<h3>What is a bond?</h3>

A bond is a type of security in the financial world where the issuer (debtor) owes the holder (creditor) a debt and is required, depending on the terms, to repay the bond's principal (i.e., the amount borrowed) at the bond's maturity date as well as interest (referred to as the coupon) over a predetermined period of time. The interest is typically due at regular intervals, such as every six months, once a year, and less frequently at other times. To finance long-term investments or, in the case of government bonds, to finance immediate expenses, the borrower can obtain external funds through the sale of bonds. Both bonds and stocks are considered to be forms of security, but the main distinction between the two is that (capital) stockholders have an equity stake in a company, whereas bondholders have a creditor stake.

To learn more about bond, visit:

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Within the domain of logistics management, the customer service concept implies that firms should:
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I had to look for the options and here is my answer:

Within the domain of logistics management, the customer service concept suggests that the firms should simultaneously establish customer service levels and logistic costs in order to achieve the given strategic goals. (The answer is based on the actual options given).
6 0
3 years ago
Liz Mulig earns 52,000 per year as a philosophy professor. She receives a raise of 2.5% in a year in which CPI increases by 3.8%
Sindrei [870]

Answer:

She lost $754.05.

Explanation:

Giving the following information:

Liz Mulig earns 52,000 per year as a philosophy professor. She receives a raise of 2.5% in a year in which CPI increases by 3.8%.

<u>The rise in her salary allows her to increase her purchasing power. On the contrary, inflation decreases purchasing power. We need to calculate the differences between both effects and determine whether she can buy more or less.</u>

<u></u>

Increase in salary= 52,000*1.025= $53,300

Inflation effect= 52,000/(1-0.038)= $54,054.05

To maintain her purchasing power, now, she needs to earn $54,054.05.

She lost $754.05.

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Managers make assumptions in CVP analysis. These assumptions include: (Check all that apply.) Multiple select question. some uni
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The assumptions that are made in CVP analysis includes the following:

  • costs can be classified as variable or fixed.
  • costs are linear within the relevant range.
  • constant fixed cost per unit.

<h3>What is CVP analysis?</h3>

Cost Volume Profit analysis is the type of analysis that has to do with the cost accounting. This type of analysis is one that takes the impact of the various costs and volume on profit.

It helps to check how the changes that occur in the variable and the fixed cost affect profit.

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