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agasfer [191]
3 years ago
8

Malko Enterprises’ bonds currently sell for $1,020. They have a 6-year maturity, an annual coupon of $75, and a par value of $1,

000. What is their current yield?
a. 6.40%
b. 6.91%
c. 6.62%
d. 7.35%
e. 8.46%
Business
1 answer:
mel-nik [20]3 years ago
3 0

Answer:

Current yield = <u>Annual coupon</u>

                         Current market price

Current yield = <u>$75</u>

                         $1,020

Current yield = 0.0735 = 7.35%

The correct answer is D

Explanation:

Current yield equals annual coupon divided by the current market price of the bond.

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Answer:

<u>Reffeal</u>

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3 years ago
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Answer:

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3 years ago
You are hoping to buy a new boat 3 years from now, and you plan to save $4,200 per year, beginning one year from today. You will
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Answer:

FV= $12,818.4

Explanation:

Giving the following information:

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8 0
3 years ago
The best description of business model risk is:
prohojiy [21]

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4 years ago
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Answer:

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Explanation:

Giving the following information:

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Total production costs= 1.5*125,000 + 50,000= $237,500

8 0
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