Helping my 4th grader with semantic map

Dufner Co. issued 15-year bonds one year ago at a coupon rate of 7.1 percent. The bonds make semi-annual payments. If the YTM on

saveliy_v [14]

Answer:

Total $1,173.2544

Explanation:

The price of the bond will be equivalent to the coupon payment and maturity discounted at the YTM

Coupon payment PV will be an annuity:

$C \times \frac{1-(1+r)^{-time} }{rate} = PV\\$

C 35.50 (1,000 x 7.1% / 2 )

time 30 (15 years x 2 payment per year)

rate 0.027 (YTM /2 )

$35.5 \times \frac{1-(1+0.027)^{-30} }{0.027} = PV\\$

PV $723.5919

The maturity will be the present value of a lump sum

$\frac{Maturity}{(1 + rate)^{time} } = PV$

Maturity 1,000.00

time 30.00

rate 0.027

$\frac{1000}{(1 + 0.027)^{30} } = PV$

PV 449.66

We add bot h to gett the market value

PV c $723.5919

PV m $449.6625

Total $1,173.2544

3 0

3 years ago

Al, walks in off the street, says the grounds could use some sprucing up, and offers to do it for $8 an hour. Management gives h

Rufina [12.5K]

Answer:

Option B must pay him as an employee, withhold appropriate taxes and issue a W-2 at year end

Explanation: He is paid based on hours worked, and uses the company equipment thus is an employee who is controlled by an employer. The independent contractors buy their own supplies, provide their own equipment and paid based on tasks performed

4 0

3 years ago

Asymmetric information occurs when A. everyone has the same information. B. people engaging in a transaction are uncertain about

melisa1 [442]

Answer:

Option (D) is correct.

Explanation:

Asymmetric information occurs in a situation in which one of the two parties involved in a particular transaction have more information than the other party. This problem mostly occurs in a health insurance market where the a person to be insured have more information about his health than the insurance company.

Asymmetric information will result in two problems are as follows:

(i) Adverse selection

(ii) Moral hazard

8 0

3 years ago

HELP ASAP! ACCURATE ANSWERS PLEASE! WILL GIVE BRANLIEST IF THE ANSWER IS GOOD

zlopas [31]

Answer: tell them what you observe and sometimes you will have to reward them such as candies in order to show them that they did a splendid job. This will let them realize that they did a great job.

Explanation:

4 0

3 years ago

In our aggregate expenditure model we assume that:

maria [59]

Answer:

The correct answer is regarding the model, is that an individual firms prices are flexible but the level of the price is fixed.

Explanation:

The aggregate expenditure model is the model in which the sum or total of all the expenditures are undertaken in the economy with the factors during the particular time period.

The equation is:

AE = C (Consumption) + I (Investment) + G (Government) + NX (Net Exports)

In this model, it is assumed that the prices of the individual firm are flexible whereas the price level is fixed.

7 0

3 years ago