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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Answer:
Margin of safety= $2,651
Explanation:
Giving the following information:
Awanita Enterprises sells computer flash drives for $ 2.41 per unit. Unit variable cost is $ 0.07. The breakeven point in units is 3,400, and expected sales in units are 4,500
Margin of safety= 4,500*2.41 - 3,400*2.41= $2,651
Answer: Limited partner.
Explanation:
The limited or silent partner is part of the ownership of a partnership business that only invests into a business but is not involved in the daily business runnings. The partnership owner in charge of the daily business runnings is the active partner.
Quality Control (QC) is a way to be sure that products or services are acceptable to customers.
Quality control is a process wherein companies review the quality of goods and services based on a set of quality standards.
The set quality standards are usually derived from information gathered from clients, customers, and authorized departments on what the quality of goods and services should be.
Products and services which passed quality control ensures that these are acceptable to customers.