Answer:
option B
Explanation:
Reinvestment risk refers to the possibility that potential cash flow will have to be invested in low-yielding assets, like coupons (the annual interest charges on the bond) or the eventual returns of the investment.
Reinvestment risk refers to one of financial risk's primary styles. The term is used to describe the threat of anyone canceling or stopping a particular investment, which one might need to find another place to reinvest the cash with the risk of not getting an equally attractive prospect.
Thus, from the above we can conclude that correct option is B .
Answer:
invoice price (dirty price) = $1,004.13
Explanation:
semi-annual coupon = $1,000 x 7% x 1/2 = $35
clean price = $1,001.25
accrued interest = (Jan. 30 - Jan. 15) x $35 x 1/182 = $2.88
invoice price (dirty price) = clean price + accrued interest = $1,001.25 + $2.88 = $1,004.13
the dirty price or invoice price of a bond includes any accrued interest that the bond may have earned in the period between the last coupon payment and the transaction date.
Answer: $2750
Explanation:
The original budget was $50,000 for the month, $20,000 has been spent already after which there was a revision of the monthly budget to $75,000.
Since $20000 has been spent, the remaining budget will be:
= $75000 - $20000
= $55000
Also, the money was spent for 11 days, therefore the number of days remaining will be:
= 31 - 11
= 20 days.
Therefore, the new daily budget for the month will be:
= $55,000 / 20 days
= $2,750
The Central Bank is the "banker" to banks, government, and financial institution, where the Commercial Bank is the "banker" to the citizens. The Central Bank is the monetary authority of the country. The Central Bank does not deal with the general public, but Commercial Bank does
Answer:
Therefore, An office is an important part of the organization in which different administrative and clerical functions are performed to achieve the objective of the organization. It has given importance to a functional area of business rather than a specific place. ... The office is the brain of an organization.
