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Iteru [2.4K]
3 years ago
5

West Corp. issued 25-year bonds two years ago at a coupon rate of 5.3 percent. The bonds make semiannual payments. If these bond

s currently sell for 105 percent of par value, what is the YTM? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Business
1 answer:
slava [35]3 years ago
6 0

Answer:

4.93%

Explanation:

We use the Rate formula shown in the spreadsheet for this question

The time period is represented in the NPER.

Provided that,  

Present value = $1,000 × 105% = $1,050

Assuming figure - Future value or Face value = $1,000  

PMT = 1,000 × 5.3% ÷ 2 = $26.5

NPER = 25 years - 2 years = 23 years × 2 = 46 years

The formula is shown below:  

= Rate(NPER;PMT;-PV;FV;type)  

The present value come in negative  

So, after solving this, the yield to maturity is 4.93%

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4 years ago
A counterfeit id is intended to an official document, but is not authentic
kirza4 [7]

Answer:

If this is the case then it is not valid.

Explanation:

Any counterfeit id is illegal and should never be rendered to be used for any purpose in relation to official documents.

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3 years ago
In a university setting, each student is paired with another student for the purpose of getting assignments and turning in work
Inessa05 [86]

Answer:

one-to-one Unary

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In binary relationships there are various entities for example in this situation if the university or colleges were different then it would have been binary .

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7 0
3 years ago
Berkshire Inc. uses a periodic inventory system. At the end of 2017, it missed counting some inventory items, resulting in an in
ziro4ka [17]

Answer:

d. Assets understated by $670.000, liabilities understated by $234,500 and shareholders' equity understated by $435,500

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Assets in Inventory will be understated by $670.000, this will also understate the tax payable to authorities by $234,500 because profits will be understated and equity will be understated by $435,500.

8 0
3 years ago
This information relates to Rice Co..
hodyreva [135]

Answer:

Rice Co.

Journal Entries:

April 5:

Debit Inventory $28,000

Credit Accounts Payable (Jax Company) $28,000

To record the purchase of goods, terms 2/10, n/30.

April 6:

Debit Freight-in Expense $700

Credit Cash Account $700

To record the payment of freight costs for goods purchased from Jax Company.

April 7:

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April 8:

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Rice Co's journal entries are made on a daily basis as transactions occur.  They show the accounts to be debited and the ones to be credited in the general ledger.  Journal entries are the initial records of transactions made by the company in its accounting system.

3 0
3 years ago
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