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Nastasia [14]
3 years ago
7

Excey Corp. has 8 percent coupon bonds making annual payments with a YTM of 7.2 percent. The current yield on these bonds is 7.5

5 percent. How many years do these bonds have left until they mature?

Business
1 answer:
xeze [42]3 years ago
7 0

Answer:

11.057 years

Explanation:

For computing the number of years we need to apply the NPER formula i.e to be represented in the attachment below:

Given that,  

Present value = $1,000 × 8% ÷ 7.55% = $1,059.60

Assuming Future value = $1,000

Rate of interest = 7.2%

PMT = $1,000 × 8% = $80

The formula is shown below:

= NPER(Rate;PMT;-PV;FV;type)

The present value come in negative

So, after applying the above formula, the number of years is 11.057 years

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Assume that the three beachfront parcels are sold to the people that you indicated in the previous section. Suppose that a few d
Sedbober [7]

Answer:

a) will

d) crystal

Explanation:

Please find the information needed to answer this question in the attached image

Willingness to pay is the highest amount a consumer would be willing to buy a product. If the price of the good is below the willingness to pay, the consumer would purchase the good.

The three beachfronts were sold to Alyssa, Tim and Brian.

The new sale of the beachfront at $535,000 would be sold to crystal because her willingness to pay ($550,000) is higher than the price of the beachfront.

the consumer surplus from the purchase would be $550,000 - $535,000 = $15,000

6 0
4 years ago
A company uses activity-based costing to determine the costs of its three products: a, b, and
Keith_Richards [23]

Answer:

$3.10 ; $2.10 and $14.20

Explanation:

The computation of the activity rates is shown below:

For Activity 1

= Budgeted cost ÷ Total budgeted activity of cost driver

= $94,550 ÷ (18,200 + 8,100 + 4,200)

= $94,550 ÷ 30,500

= $3.10

For Activity 2

= Budgeted cost ÷ Total budgeted activity of cost driver

= $53,550 ÷ (7,100 + 13,200 + 5,200)

= $53,550 ÷ 25,500

= $2.10

For Activity 3

= Budgeted cost ÷ Total budgeted activity of cost driver

= $59,995 ÷ (1,175 + 1,000 + 2,050)

= $59,995 ÷ 4,225

= $14.20

7 0
3 years ago
When consumers buy _____ products, then producers make _____ goods and services. This can lead to economic growth.
d1i1m1o1n [39]
More shall be written in both lines
7 0
3 years ago
For the estimation of his firm's ________________, paul calculates the average of the firm's cost of equity and aftertax cost of
melomori [17]

For the estimation of his firm's weighted average cost of capital, paul calculates the average of the firm's cost of equity and after-tax cost of debt, both of which are weighted based on the firm's capital structure.

The combination of multiple external funding sources, collectively referred to as capital in corporate finance, that are used to finance a corporation is known as the capital structure. It is listed in the balance sheet of the company and comprises equity owned by shareholders, debt, and preferred shares.

The over- or under-capitalization is avoided. capital structure aids the business in boosting profitability through increased returns to stakeholders. Maximizing shareholder capital while lowering overall capital costs is made possible with the use of an appropriate capital structure.

Following are some of the key characteristics of a sound capital structure: Maximum Return, Less Risky, Safety, Flexibility, Economy, Capacity, and Control are among the factors.

To know more about capital structure refer to:  brainly.com/question/15041466

#SPJ4

7 0
2 years ago
Engineer Fatima and Cal Client executed a contract that included a provision that Cal could not file a lawsuit for professional
Zanzabum

Answer:

Express condition

Explanation:

An Express condition may be defined as the conditions or the terms that is explicitly mentioned or written in the contract. It occurs when the two or more parties signing the contract agrees that an event must occur before the burden of the responsibility to be completed the contract arises.

In the context, a contract signed between two parties, Fatima and Cal that states that Cal cannot file a case against Fatima after the final inspection of the Building Department for two years of Cal's building.

The contract provision used under this agreement between Cal and Fatima is referred to as express condition.

6 0
3 years ago
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