1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
MA_775_DIABLO [31]
3 years ago
9

Hanna Inc. has a proprietary bond-rating model and has determined the required return on the following Amerco bond is 7.5%. Assu

me the bond is being evaluated in the current month of 2020 and matures in the current month of the year indicated. Based on this information, calculate the amount the bond is over- or under-priced. Bond Coupon (%) Maturity Last Price (% of par) Amerco 9.125 2028 117.25 Answer: Over-priced by $76.05
Business
1 answer:
tatuchka [14]3 years ago
6 0

Answer:

Firstly, the question doesn't say anything about the frequency of coupon payment. Using trial and error method, based on the answer, I figured out that it pays semi-annual coupon payments.

Value of the bond = PV(rate = 7.5%/2, nper = 8*2, pmt = 91.25/2, fv = 1000, 0) = $1,096.45

Current Price = $1,172.50

Over valued by $76.05

Explanation:

You might be interested in
When the seller requires that only certain dealers carry its products and also that these dealers not handle competitors' produc
RUDIKE [14]

Answer:

exclusive dealing

Explanation:

Exclusive dealing -

It is the method , where a deal is set up between a specific supplier and the wholesaler or the retailer , where the no other distributor would be able to receive the supply , is referred to as exclusive dealing.

In this scenario no other dealer can not handle the product in any case.

Hence , from the scenario of the question,

The correct option is exclusive dealing .

3 0
3 years ago
This spreadsheet was created to track the money different employees earned in bonuses. The creator used
sergey [27]
C sorry if i am wrong
8 0
2 years ago
A company purchased $400 of office supplies on account during May. All the supplies were used in May, and the account was paid d
rusak2 [61]

Answer:

What would the impact of these transactions be during May on

  • (1) the balance of cash NO EFFECT, the account balance was not paid in May
  • (2) cash-basis net income: NO EFFECT, the account balance was not paid in May
  • (3) accrual-basis net income: DECREASE, even though the debt was not paid, the expense had already been recognized, therefore, the accrual-basis net income decreases

5 0
3 years ago
Phương pháp công ty Samsung xác định giá, phân tích ưu/ nhược điểm:<br> help me
Molodets [167]
I’m not sure how to help you.
8 0
3 years ago
Assume that a 4 percent decrease in income results in a 6 percent increase in the quantity demanded of a good. The income elasti
notka56 [123]

Answer:

1.5

Elastic

Explanation:

Income elasticity of demand measures the responsiveness of quantity demanded to changes in income.

Income elasticity of demand = percentage change in quantity demanded / percentage change in income.

6 / 4 = 1.5

The income elasticity of demand is elastic

I hope my answer helps you

3 0
3 years ago
Other questions:
  • Suppose in its income statement for the year ended June 30, 2017, The Clorox Company reported the following condensed data (doll
    10·1 answer
  • References are typically included on a résumé. Please select the best answer from the choices provided T F
    7·2 answers
  • if interest rates are positive, the future value of a given sum will always be less than the present value
    6·1 answer
  • A marginal benefit curve has a negative or a positive slope?
    8·1 answer
  • When the Fed adjusts its interest rate, it directly influences consumer
    13·2 answers
  • Whiat actions can is likely to restore the trust of the american public in the free-market system?
    7·1 answer
  • On October 31, 2018, the bank statement shows that your company has $13,456.73 in its checking account. You are aware of three o
    13·2 answers
  • Question 12 (3.333333333 points)
    11·2 answers
  • What courses or information would be helpful for a hospitality manager?
    11·1 answer
  • All transactional documentation for listings, purchase and sale agreements, property management activities, exchanges, and trust
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!