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fomenos
3 years ago
14

Meacham Enterprises' bonds currently sell for $1,280 and have a par value of $1,000. They pay a $135 annual coupon and have a 15

-year maturity, but they can be called in 5 years at $1,050. What is their yield to call (YTC)
Business
1 answer:
Flauer [41]3 years ago
7 0

Answer:

Yield to call (YTC) = 7.64%

Explanation:

Yield to call (YTC) = {coupon + [(call price - market price)/n]} / [(call price + market price)/2]

YTC = {135 + [(1,050 - 1,280)/5]} / [(1,050 + 1,280)/2]

YTC = 89 / 1,165 = 0.07639 = 7.64%

Yield to call is how much a bondholder will earn if the bond is actually called, and it may differ from yield to maturity since the call price is generally higher than the face value, but the yield to maturity generally is longer than the call period.

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cyber security systems had sales of 3,700 units at $75 per unit last year. the marketing projects of a 10 percent increase in un
jasenka [17]

Answer:

$393,162

Explanation:

Units sold last year were 3,700

the projection for this year is an increase of 10% in volume.

projected units sales for this year will be

=110% of 3,700

=1.1 x 3,700

=4,070 units

The selling price last year was $75.

projected price this year is an increase by 40%

price for this year will be 140% of $75

=140/100 x $75

=1.4 x $75

=$105

Projected sales in dollar will be sales volume x selling price

= 4070units x $105

=$427,350

Purchase return = 8% of projected sales in dollars

=8/100 x  $427,350

=34,188

Net projected sales

= $427,350 - $34,188

=$393,162

6 0
2 years ago
For a given level of significance, if the sample size is increased, the power of the test will increase.
Andru [333]
The answer is True. You have more samples, the result is more accurate.
3 0
3 years ago
One of two office clerks in a small company prepares a sales invoice for $4,300; however, the invoice is incorrectly entered by
Anton [14]

Answer:

Using predetermined totals to control posting routines.

Explanation:

A validation methods to avoid errors is the batch total control, that verificate the transcription errors and transportation errors.

Validations aims to make sure that data is sensible, reasonable, complete and  within acceptable boundaries.

The batch total checks that something is not missing by adding together a number field in different records and checking the total. For example, if an invoice has three items costing 1,2 and 3, the control will look for a batch total of 6.

8 0
3 years ago
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Daniel [21]

Answer:

Management

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Sometimes in the course of discharging his duties, an auditor might discover a case of non-compliance with laws and regulations. In such situations, he is expected to report the issue to the governing body or management of the organization who in turn notify parties outside the client's organization. This might imply reporting to the appropriate law enforcement agencies who now investigate the matter.

The auditor should ensure that he is keeping to the code of confidentiality before proceeding on such a case. The management is expected to review the report to determine if the action was indeed non-compliant with the laws before proceeding on the next call of action.

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3 years ago
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weqwewe [10]
Most likely A) increase money supply, because they are capitalism economy. The federal reserve is in charge of all the country's Capitol, or: resources and money.
(but for a country that is more sympathetic to the people it would be B) because it would increase social security nets like welfare)
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3 years ago
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