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3 years ago

A(n) ________ refers to the first public offering of a corporation's stock.

Business

1 answer:

just olya [345]3 years ago

7 0

Answer:

The answer is C. initial public offering (IPO)

Explanation:

Initial public offering is the process by which a private company can go public by sale of its stocks to general public after which the company's shares are traded in an open market. Those shares can be further sold by investors through secondary market trading

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Which of the following BEST describes a conflict of interest? O A. Two companies competing for the business of the same customer

loris [4]

Im pretty sure it’s C

8 0

3 years ago

This year, Randy paid $29,650 of interest on his residence. (Randy borrowed $472,000 to buy his residence, and it is currently w

Eddi Din [679]

Answer:

a. $31,850

b. $29,650

Explanation:

Requirement A:

Interest on his residence is deductible = $29,650

Interest on car loan (non deductible) = $0

Margin Interest to his stockbroker (limited to $2,200) = $2,200

Total deductible = $31,850

Requirement B :

As randy has no investment he can only deduct $29,650 his interest on the home loan.

4 0

3 years ago

A newly issued bond pays its coupons once a year. Its coupon rate is 4.1%, its maturity is 15 years, and its yield to maturity i

marissa [1.9K]

Answer:

a) 17.53%

b) $41 x 40% = $ 16.40

815.25 - 728.48 = 86.77 capital gain x 30% = $ 26.03

Total: 26.03 + 16.40 = $ 42.43 income tax expense

c) (815.25 + 41 - 42.43) / 728.48 - 1 = 0.1171425 = 11.71%

we recalculate the price of the bond with 13 years left to maturity

holding period return 26.94%

tax expense:

(41x1.02 + 41) x 0.4 = 33.14

(841.87 - 728.48) x 0.3 = 34.02

tax expense: 67.16

after tax return:

(841.87 + 41x1.021 + 41 - 67.16) /728.48 - 1 = 0.177209379 = 17.72%

Explanation:

We need to determinate the value of the bond at yield of 7.1% and at yield of 6.1% which is the sum of the present value of the maturity and coupon payment:

Purchase price:

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

Coupon payment = 1,000 x 0.041 = 41.00

time 15 years

rate 0.071

$41 \times \frac{1-(1+0.071)^{-15} }{0.071} = PV\\$

PV $371.0773

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 1,000.00

time 15.00

rate 0.071

$\frac{1000}{(1 + 0.071)^{15} } = PV$

PV 357.40

PV c $ 371.0773

PV m $ 357.4028

Total $ 728.4801

Selling Price

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 41.00

time 14 (one-year past so maturity is more closer)

rate 0.061

$41 \times \frac{1-(1+0.061)^{-14} }{0.061} = PV\\$

PV $378.7456

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 1,000.00

time 14.00

rate 0.061

$\frac{1000}{(1 + 0.061)^{14} } = PV$

PV 436.50

PV c $378.7456

PV m $436.5004

Total $815.2460

Holding period return:

return / investment - 1

(815.25 + 41) / 728.48 - 1 = 0.175387059 = 17.53%

we recalculate the price of the bond with 13 years left to maturity

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 41.00

time 14

rate 0.061

$41 \times \frac{1-(1+0.061)^{-14} }{0.061} = PV\\$

PV $378.7456

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 1,000.00

time 13.00

rate 0.061

$\frac{1000}{(1 + 0.061)^{13} } = PV$

PV 463.13

PV c $378.7456

PV m $463.1269

Total $841.8725

and redo the return, tax and after-tax return:

(841.87 + 41x1.021 + 41) /728.48 - 1 = 0.269401333

7 0

3 years ago

Entrepreneurship involves __________.

kow [346]

The correct answer will be the B financing new business ventures.

Entrepreneurship involves financing new business ventures.

5 0

3 years ago

Read 2 more answers

As the level of inventory increases to provide better customer service both inventory costs and quality-related customer service

nataly862011 [7]

Answer:

A. True

Explanation:

level of inventory is very essential as far as customer service is concerned, inventory are amount of goods that is stocked for some purposes, this could be to sell, to distribute.

It should be noted that As the level of inventory increases to provide better customer service both inventory costs and quality-related customer service costs increase.

5 0

3 years ago