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Nutka1998 [239]
3 years ago
7

Excey Corp. has 10 percent coupon bonds making annual payments with a YTM of 9.5 percent. The current yield on these bonds is 9.

85 percent. How many years do these bonds have left until they mature?
Business
1 answer:
shtirl [24]3 years ago
5 0

Answer:

The number of years would be 4 years to maturity

Explanation:

Let the Face value (FV) be $1,000

So, the PMT will be 10% of Fv

PMT = 10% × $1,000

PMT =$100

Computing the Present Value (PV) of the bond as:

PV = PMT / Current Yield

where

PMT is payment monthly, which the 10% of coupon bond, that is $10

Current Yield will be 9.85% or 0.0985

Putting the values above:

PV = $100/ 0.0985

PV = $1,015.22

Now, computing the number of years using the Excel formula , which is as:

=Nper(rate,pmt,pv,fv,type)

where

Nper is number of years

rate is 9.5%

pmt is $100

pv is -$1,015.22

fv is $1,000

Putting the values above:

=Nper(9.5%,100,-1015.22,1000,0)

= 3.76 or 4 years

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Since a defeasance clause conveys title upon satisfaction of the loan, these types of clauses are typically only used in title theory states where the bank holds ownership of the home until the mortgage is paid off.

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Joey's first task as a new employee at a Technology firm is to write a computer program to perform a predictable task. Joey can
sveticcg [70]

Answer: Option A

       

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3 years ago
Thirst, a beverage manufacturer, markets its products using the same strategy worldwide. However, changes are made when implemen
mrs_skeptik [129]

Answer:

The correct answer is letter "D": Glocalization .

Explanation:

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3 years ago
An accord is an agreement by the parties to offer and accept some performance different from that originally bargained for. the
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5 0
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Andrew [12]

The economic interdependence among nations is often measured by their openness.

What is economic interdependence?

The term "economic interdependence" refers to a measurement of the value of economic exchanges between two nations or between a nation and the rest of the globe, sometimes scaled to total national production or some other indicator of total financial assets. Globalization is one of the effects of economic interconnectedness. Each country's economy is at this point reliant on the supply of goods from other countries. For instance, China is currently a major supplier of goods to the United States.

Therefore,

The economic interdependence among nations is often measured by their openness.
To learn more about economic interdependence from the given link:

brainly.com/question/27693450

#SPJ4

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