Answer:
The amount of dividends distributed to preferred stockholders in 2017 is $10000.
Explanation:
The preferred stock is non cumulative which means that if the company is unable to pay dividends on preferred stock in a certain year, the dividend for that year will not be accumulated and will not be paid in the next year.
Thus, the company only paid a dividend of $2700 in 2016 and the remaining dividends will not be payable by the company in year 2017.
The dividend on each share of preferred stock per year is = 10 * 0.05 = $0.5 per share
The number of shares of preferred stock are 20000.
The total dividends that will be paid to preferred stock holders in 2017 is = 0.5 * 20000 = $10000
Thus, out of the $27000 dividends of 2017, $10000 was distributed to preferred stockholders.
Answer:
6.5%
Explanation:
Number of people unemployed = 237,000
Labor force = 5 million - 1.3 million - 50,000
Labor force = 3.65 million
Unemployment rate = Number of people unemployed/Labor force*100
Unemployment rate = 237,000/3.65 million*100
Unemployment rate = 6.4931501%
Unemployment rate = 6.5%
Answer:
c. not affect the bond's duration.
Explanation:
The bond duration measures the sensitivity of a bond's price to change in the interest rate. It is a linear measure of those years in which the repayment of the principal is due. the change in interest rate does not affect the duration of the bond.
On the other hand decrease in interest rate would increase the bond's PV and Price of the bond as well.
Payment frequency would not change with the decrease interest rate.
The Coupon rate will also remain the same whether the interest rate increases or decreases.
I think the answer is called enriching but i might be wrong.
