Answer: 9.2%
Explanation:
The interest rate that Rolling Coast should expect to issue new bonds will be calculated thus:
Firstly, we will calculate the previous risk premium on BBB bonds which will be:
= 11.5% - 8.7% = 2.8%
Then, the new risk premium on BBB bonds will be:
= Previous risk premium / 2
= 2.8% / 2
= 1.4%
Then, the interest rate that Rolling Coast should expect to issue new bonds will be:
= 7.8% + 1.4%
= 9.2%
Answer:
d.The digital cameras manufactured by the firm are seen as the standard for competitors to match.
Explanation:
Mindshare is a term that measures the amount of popularity and consumer awareness in a certain category. To say that Digicon Inc. has a mindshare in the category of digital cameras means that the company sets the bar for the digital cameras market and, therefore, should be seen as the standard that competitors should try to match.
Thus, the answer choice that better fits the description is d.The digital cameras manufactured by the firm are seen as the standard for competitors to match.
Answer:
d) He earned a lower interest rate than he expected
Explanation:
Data provided in the question
Invested amount ten years ago = $1,000
Expected amount = $1,800
Today amount = $1,680
Based on the above information,
Since the bond is based on the floating rate not the fixed rate that results in the value of the investment to $1,800
And, the today amount is $1,680 i.e. less than the expected amount so the internet rate should be less as compared with the expected rate
hence, correct option is d.
Answer:
Jury of Executive Opinion
Explanation:
Jury of Executive Opinion method of sales forecasting employs the views of to management in various section. They are are experienced and have good knowledge of the market factors and are able to predict the expected sales. They are able to forecast sales figures through estimates and previous experiences. All internal and external factors are taken into account. Their judgements are pooled together and averaged in drawing the sales forecast of Kryptos Inc.
