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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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Which of the following is true of corporations that operate in several different countries?​ a. ​Uniformity of tax-laws across d
frozen [14]

Answer: Option C

 

Explanation: A company operating in countries other than its home country is called multinational corporations. These entities operate their business in several different countries with the objective of profit maximization.

These entities control  their business in foreign countries from their head quarters in their home country. Thus, in case the company did something illegal or unethical then the government can expropriate their assets without any compensation.

Thus, the correct option is C.

 

8 0
4 years ago
What is the average defection rate for grocery store shoppers in a local area of a large city if customers spend $60 per visit,
nekit [7.7K]

Answer:

Average defection rate = 3.9%

Explanation:

Average defection rate is the rate are which customers stop using a companie's products and services.

It could result from move to other competitors.

To calculate use the following formula

Customers per year= Spending per visit* Yearly frequency* Gross margin* (1/Defection rate)

3,200= 60* 52* 0.04*(1/Defection frequency)

Defection frequency (3,200)= 124.80

Defection rate= 124.80/3,200= 0.039= 3.9%

7 0
4 years ago
Both production lines can produce all the different types of nozzles. The bronze machines needed for the bronze sprinklers requi
dsp73

Answer:

Demand for plastic sprinklers for year 1 Year 2 Year 3 and Year 4 is 98 (33 + 14 + 51) , 111 , 133, 136.  

Explanation:

The Production line capacity requirement for the next four years will be equal to the demand for the next four years. The production line needs to meet the annual demand for the plastic sprinklers. The production line is extended and economies of scale is introduced with helps the company save additional cost of extension in the production line.

5 0
3 years ago
Giám đốc Thắng rất lo lắng về quyết định chọn người cho vị trí quản lý ca đêm của công ty. Cuối cùng anh Thắng đã chọn được anh
Liono4ka [1.6K]

do you have the answer yet??

3 0
2 years ago
What is the LEAST LIKELY way a firm can finance operations?
drek231 [11]

Answer:

D

Explanation:

6 0
3 years ago
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