Answer:
interest rate = 15%
value of the bond will decrease
Explanation:
given data
face value = $5,000
time = 5 year
annual coupon payment = $150
solution
we get here interest rate on the borrowed funds that will be as
interest rate = 
× 100
put here value we get
interest rate = 
× 100
interest rate = 15%
and
when bond issued at interest rate = 3 %
but market interest rate 4%
so seller will reduce price of bond less than the face value
because we will look for atleast 4% payout when bond matures
so value of the bond will decrease
This loan is best classify as a <u>conventional mortgage loan</u>.
<h3>What is a conventional mortgage loan?</h3>
This refers to a conforming loan which simply means that it meets the requirements for Fannie Mae or Freddie Mac.
This type of mortgages have a fixed rate of interest and means that the interest rate does not change throughout the life of the loan. Also, they are not guaranteed by the federal government and as a result have stricter lending requirements by banks and creditors.
In conclusion, the entities Fannie Mae and Freddie Mac are government-sponsored enterprises that purchase mortgages from lenders and sell them to investors.
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The three pieces of evidence are:
<span>1. The fact that Mr. Blackbucks and Mrs. Blackbucks look down with their noses on everyone (East Egg is snobby)
2.The fact that Old American names (Stonewall Jackson) and they are people known from Yale
3. The fact Movies in West Egg and entertainment people have a lot of ethnicities values.</span>
Answer:
The correct answer is letter "A": Accrual-basis revenues exceed cash collections from customers.
Explanation:
Revenue collected in advance are profits collected usually at the beginning of a contractual agreement that implies obligations from the firm for a certain time. For instance, insurance companies charging a one-time payment for an annual policy fall into this category.
The accrual basis of accounting states that profits are reported on the income statement as they are earned. In that case, if the revenue collected in advance decreases, the accrual-basis revenues will be higher than the cash collections from customers under the advanced payment method.
