Answer:
The current yield is 5.2% and capital gain is 2.63%.
Explanation:
The par value of bond = $10000
Current price = $9500
Annual coupan payment = 5%
Annual coupan payment = 10000 × 5% = $500
Now calculate the current yield.
The current yield = annual coupon payment / current price
The current yield = 500 / 9500 = 0.052 or 5.2%
Now calculate the capital gain. In the question, it says that it starts at $9500 so its original price is 9500.
Capital gain yield = (9750 – 9500) / 9500 = 0.0263 or 2.63%
Answer:
14.06%
Explanation:
The computation of the cost of common equity using the DCF method is shown below:
Cost of Common Equity = [Ending year dividend ÷ Price per share] + growth rate
= [$2.31 ÷ $25.50] + 0.05
= 14.06%
We simply applied the above formula by considering the ending year dividend, price and the growth rate so that the correct percentage could come
The one that is not considered a liquid investment is: Cookie jar
Even though placing your money on a cookie jar may be the most liquid fund that you have among the options above, it could not be considered as an investment because the amount of money you put in it would not be increased in value
Answer:
The answer is D.
Explanation:
Labor force is the number of people or citizens who are within the workforce age that employed and those that are unemployed but are willing and able to work(i.e they are actively searching).
Labor force = employed citizens plus unemployed citizens
Option A and B are wrong because some adults(citizens) are not working and they are not willing to work.
The most important thing here is to show willingness to work and also has the ability to work
