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STALIN [3.7K]
4 years ago
12

If the final expressions in a present value equation used to calculate the price of a bond you are considering buying are "[$50

/ (1 + .08) 3] + [$500 / (1 + .08) 3]", which of the following is correct?a.The face value is $500, the coupon is $50, and the coupon will mature in 3 years.b.The face value is $50, the interest rate you need is 8 percent, and the coupon will mature in 3 years.c.The face value is $500, the interest rate you need is 3 percent, and the coupon will mature in 8 years.d.The coupon is $50, the interest rate you need is 1.08 percent, and the coupon will mature in 3 years.
Business
1 answer:
seraphim [82]4 years ago
5 0

Answer: A. The face value is $500, the coupon is $50, and the coupon will mature in 3 years

Explanation: From the above question, one is able to note that the interest rate (r) is 8%, time (t) is 3 years to maturity and the face value of the bond is $500 while the coupon is $50.

The above is a formula for coupon-bearing bond and it shows that the price of a bond is the present value of its promised cash flows.

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StoryBook Company provided services to several customers during the month of December. These services have not yet been paid by
timofeeve [1]

Answer:

                                                             Debit                Credit

Accounts Receivable                           xxx

Revenue                                                                        xxx

Explanation:

Since the services to the customers has been provided by the StoryBook Company  for the month of the December, therefore,the revenue shall be credited in the accounts of the StoryBook Company but since the customer has not paid for the services provided, therefore the accounts receivable shall be debited and accordingly the following journal entry shall be recorded in the accounts by the StoryBook Company:

                                                             Debit                Credit

Accounts Receivable                           xxx

Revenue                                                                        xxx

6 0
4 years ago
The nation of alpha does not take seriously the gathering and publishing of its economic statistics. this creates?
jonny [76]

The nation of alpha does not bring seriously the gathering and publishing of its economic statistics. This forms uncertainty about forecasts, causing business firms to invest less.

<h3>What is meant by Business Forecasts?</h3>

Business forecasting is the process of predicting future market circumstances by analyzing historical data using business intelligence tools and forecasting techniques. Forecasting in business can be qualitative or quantitative. The process of predicting changes in a firm, such as sales, expenses, profits, and losses, is known as business forecasting.

Business forecasting aims to create better plans based on these knowledgeable projections, assisting in the prevention of probable failure or losses. The gathering, processing, compilation, dissemination, and analysis of economic data are the topics of applied statistics and applied economics. It has a close connection to econometrics and business statistics.

Hence, The nation of alpha does not bring seriously the gathering and publishing of its economic statistics. This forms uncertainty about forecasts, causing business firms to invest less.

To learn more about Business forecasting refer to:

brainly.com/question/21445581

#SPJ4

4 0
2 years ago
The IMC channel that has received the greatest increase in aggregate spending recently is ________, or marketing that communicat
wariber [46]

The IMC channel that has received the greatest increase in aggregate spending recently is direct marketing  or marketing that communicates directly with target customers to gener­ate a response or transaction.

<u>Explanation: </u>

Direct Marketing is a promotional strategy based on the distribution to potential customers of a marketing strategy.  

The Systems of distribution used include mail, online and texting. Direct marketing is named because it removes intermediaries, like publicity media, in particular.

Direct marketing focuses instead of media advertising on delivery to individual consumers.   In much direct marketing, the call to action is a common factor.   It is easier to quantify than media advertising that direct marketing is successful.

In a number of direct marketing, the call for action is a special element. You are instructed to respond immediately to the request through a free telephone number, a reply card or a reference in the email advertisement. The recipient must also access the letter. A positive measure of a future purchase is any reply. Personal advertising is often linked to as ads for direct responses.

4 0
4 years ago
During 2019, Ocean Consulting had the following transactions with it clients (customers): On February 1, 2019, the company recei
GalinKa [24]
Just add the number e s and you will end up with 60
3 0
3 years ago
Suppose a stock had an initial price of $87 per share, paid a dividend of $2.15 per share during the year, and had an ending sha
Tamiku [17]

Answer:

Percentage of total return is -7.87

Dividend yield is 2.47%

Explanation:

Rate of return is the rate of income earned during the period in which the investment is held. It includes any income in the form of dividend and price difference.

Dividend received = $2.15

Price difference = Current price  - Initial Price = $78 - $87 = -9

Rate of return = ( ( Dividend received + Price change ) / Initial price ) x 100

Rate of return =  ( ( $2.15 + (-9) ) / 87 ) x 100

Rate of return  = ( -6.85 / $87 ) x 100

Rate of return = -7.87%

Dividend Yield = Dividend / Current Stock price = $2.15 / $87 = 0.0247 = 2.47%

3 0
4 years ago
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