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
Lisa [10]
3 years ago
5

Compute the yield to maturity of a $100 face value zero-coupon bond that matures in exactly one year and has a current market pr

ice of $98.50. (Round your final answer to the nearest hundredth of a percent.)
Business
1 answer:
Step2247 [10]3 years ago
5 0

Answer:

Yield to maturity is 1.51%

Explanation:

Zero Coupon rate does not offer any coupon payment and it is issued at deep discount value.

Face value = F = $100

Price = P = $98.50

Year to mature = n = 1 year

Yield to maturity = ( F - P ) / n ] / [ (F + P ) / 2 ]

Yield to maturity = ( $100 - $98.5 ) / 1 ] / [ ( $100 + $98.5 ) / 2 ]

Yield to maturity = $1.5 / 99.25

Yield to maturity = 0.0151

Yield to maturity = 1.51%

You might be interested in
Mr. Sanderson works for a chain of clothing stores. He gathers information so he can figure out the best way to organize the sto
STALIN [3.7K]

Answer:

C

Explanation:

3 0
2 years ago
Read 2 more answers
Why should policies that attempt to create a ladder of opportunity be carried out in the spirit of open-mindedness? Select all t
OverLord2011 [107]

Answer:

b. Such policies have the potential to equalize society.

Explanation:

Open mindedness policy means giving fair and equal opportunity to all and sundry without being bias. When considering open mindedness policy, information is shared to everyone without considering race, religion background or educational qualifications.

Open mindedness accepts people from diverse background and tends to listen first before judging. It also consider opinions from all side without segregation. Although this is the right thing expected but the result is usually not the case.

Unlike close mindednes which restrict information thereby limiting opportunities, open mindedness helps one to learn, unlearn, relearn and grow. It also comes with being honest-thats who you are.

Thus when policy is enacted on open mindedness, it has potentials to equalize the society.

4 0
3 years ago
Selling or mortgaging an asset, such as a house or land, is one way an
Alexxx [7]

Answer:

A. finance

Explanation:

Finance is the section of business that deals with money. Raising capital through various methods would fall under the finance part of the business.

Finance is among the functional areas of a business. It involves sourcing and allocating money to other areas of the business. Finance is closely associated with accounting. Other functional areas of a business include marketing, human resources, administration, and production.

4 0
3 years ago
The italian dynamic markings traditionally used to indicate very soft, soft, and very loud are respectively _____
tino4ka555 [31]
Music is the worldwide language, but the widely held of Western classical music has been written by composers with markings in Italian. So, in order to follow the composer’s notated musical instructions, a player must embrace a few Italian words into their dictionary, along with their symbols and meanings.So in this case, Pianissimo means very soft which is denoted by pp, Piano means soft which is denoted by p and Fortissimo means very loud which is denoted by ff.
4 0
3 years ago
While on a trip to South Africa, Elena was impressed with colorful woven outdoor placemats, floor mats, chair cushions, and umbr
iren2701 [21]

Answer:

Before starting her import business, Elena should try to gather relevant information from companies that import goods, and if possible information about companies that import African goods.

Explanation:

Elena might be right about American consumers liking African products, but if importing those goods is too difficult, or is subject to several trade barriers, or some other issues, then Elena might have to reconsider her idea. Sometimes no matter how good a business idea is, if it is impractical to carry out, then t is useless.

6 0
4 years ago
Other questions:
  • What does sustainability refer to?a. the ability of a company to maintain high profits despite cutting pricesb. the ability of a
    12·1 answer
  • Assuming a downward-sloping demand curve, a change in price, all held constant:a. May or may not result in a change in quantity
    12·1 answer
  • What are the weak points of economic costs that are part of a free enterprise economy?
    15·2 answers
  • All of a country’s citizens pay the ___A__an income tax that is 7% of their annual earnings. This tax is___B____ tax
    14·2 answers
  • A direct mailer falls under the category of sales, not marketing.<br><br> True<br> False
    11·1 answer
  • The current price of a 10 year $1000 par value bond is $1158.91. Interest on this bond is paid every 6 months, and the nominal a
    6·1 answer
  • Assume you are going to receive a payment of $1,000 in 5 years. You'd like to know what that cash flow would be worth in 2 years
    6·1 answer
  • Terps Company reported total assets of $2,400,000 and net income of $320,000 for the current year. The company determined that i
    11·1 answer
  • 1. define the forming stage and list four activities that happen in this stage
    8·1 answer
  • The general rule for using the weighted average cost of capital (WACC) in capital budgeting decisions is to accept all projects
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!