1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
astraxan [27]
3 years ago
9

You find a zero coupon bond with a par value of $10,000 and 30 years to maturity. The yield to maturity on this bond is 5.2 perc

ent. Assume semiannual compounding periods. What is the price of the bond? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Business
1 answer:
muminat3 years ago
7 0

Answer:

The price of the bond is 2143,67

Explanation:

A zero coupon bond is a bond that does not pay coupon payments and instead pays one lump sum at maturity.

Zero coupon bond value= F/(1+r)^t

F = face value or a par value

r= rate of yield per period

t= time to maturity ( in periods)

Replacing

F = $10,000

We assume semiannual compounding periods

r= 5.2/2=2.6

t= 30 x 2=60

Zero coupon bond value= $10,000/(1+0.026)^60

Value = 2143,67

You might be interested in
​Bradley's Copiers sells and repairs photocopy machines. The manager needs weekly forecasts of service calls so that he can sche
nadezda [96]

The question is incomplete. The complete question is :

​Bradley's Copiers sells and repairs photocopy machines. The manager needs weekly forecasts of service calls so that he can schedule service personnel. Use the actual demand in the first period for the forecast for the first week so error measurement begins in the second week. The manager uses exponential smoothing with α ​= 0.1 . Forecast the number of calls for week​ 6, which is next week. Week Actual Service Calls 1 2 3 4 5 The forecast for week 6 is ___ service calls. ​(Enter your response rounded to two decimal​ places.)

Solution :

It is given that :

The manager of Bradley's Copiers needs weekly forecast of the service calls so that the manager can schedule service personnel.

Using the \text{actual demand} for the 1st \text{period for the forecast} for the 1st week so as the error measurement begins in the second week.

The exponential soothing, α ​= 0.1

Week       Actual service calls     Forecast

1                    28                                 28

2                   34                             (28 + 0.1 x (28-28))  = 28

3.                  38                             (28 + 0.1 x (34-28))  = 28.60

4.                  27                             (28.60 + 0.1 x (38-28.60))  = 29.54

5.                  25                             (29.54 + 0.1 x (27-29.54))  = 29.29

6                                                    (29.29 + 0.1 x (25-29.29))  = 28.86

Therefore, the forecast for the week 6 = 28.86

5 0
2 years ago
Sensitivity analysis measures: Group of answer choices Changes in the depreciation tax shield over the life of the project Chang
bulgar [2K]

Answer:

None of the above

Explanation:

A sensitivity analysis measures how under a certain set of assumptions, different values of an independent variable influence the dependent variable. It is also known as what if analysis and it is based on various assumptions. Options given in the question like changes in depreciation tax shield over a project's life, changes in production levels with the changes in revenue etc. are absolutely certain to an extent, or in other words, bound to happen.

7 0
3 years ago
When Beck joined his uncle's oil exploration company in east Texas, he was given several hundred shares of stock in the firm, an
sergij07 [2.7K]

Answer: Master limited partnership

Explanation:

A master limited partnership also referred to as a MLP, is known as a limited partnership which is publicly traded on an exchange. A Master Limited Partnership tends to combine the tax benefits or advantages from a limited partnership with its liquidity that are the publicly traded securities such as stocks and bonds offer.  A MLP tends to pays taxes like every other partnerships, thus by passing profits through to individual, and also accounting for these profits on owner's tax return.

7 0
3 years ago
What is the differents<br> between sole trading and partnership​
ycow [4]
Sole trading is a business conducted by one person. A partnership is a business conducted by two or more people. Brainliest please :)
4 0
2 years ago
Read 2 more answers
What is a foreign country that is currently being impacted financially due to the Coronavirus
Westkost [7]

Answer:

Macau

Explanation:

First, we need to understand that all countries are impacted financially due to the corona virus. It's predicted that Corona Virus will cause a loss of around $2.7 trillion in Global Economy.

That being said, some countries are impacted more than the others.

Especially those who rely on tourism and hospitality as their main economy. Macau is probably the one that got the hardest hit. Not only this country is located near China (where the virus originally came from) , tourism and hospitality accounted for around 43% of Macau's economy. Basically half of its  economic activity shut down due to the virus.

6 0
3 years ago
Read 2 more answers
Other questions:
  • Newly issued securities are sold to investors in which markets?
    11·2 answers
  • Cost-benefit analysis is a process that involves which of the following?
    15·1 answer
  • Question 3
    8·2 answers
  • the dill family home has a replacement cost of 125000, and the carry 80000 worth of insurance. in the event of a 50000 loss due
    13·1 answer
  • The sum of two numbers is 62 and their difference is 16.what is the larger of the two numbers?
    14·1 answer
  • If Julius has a 30% tax rate and a 10% after-tax rate of return, a $40,000 tax deduction in two years will save how much tax in
    6·1 answer
  • If Q equals the units sold, P is the selling price per unit, V is the variable expense per unit, and F is the fixed expense, the
    14·1 answer
  • Hailey, Inc., has sales of $19,570, costs of $9,460, depreciation expense of $2,130, and interest expense of $1,620. Assume the
    7·1 answer
  • Critical analysis Q8 When actual output exceeds an economy’s full-employment output, how will the self-correcting mechanism dire
    15·1 answer
  • Type the correct answer in the box. Spell all words correctly. Which view in a presentation program displays your slides in full
    15·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!