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Anastasy [175]
3 years ago
12

Grand Adventure Properties offers a 7 percent coupon bond with annual payments. The yield to maturity is 5.85 percent and the ma

turity date is 8 years from today. What is the market price of this bond if the face value is $1,000?
Business
1 answer:
tensa zangetsu [6.8K]3 years ago
7 0

Answer:

The market price of this bond is: $1,069.8.

Explanation:

To calculate the market price of the bond, we have to use the following formula:

Bond Price= C*((1-(1+r)^-n)/r)+(F/(1+r)^n)

C= periodic coupon payments: $1,000*7%= $70

F= Face value: $1,000

r= Yield to maturity: 5.85%

n= No. of periods until maturity: 8 years

Bond Price= 70*((1-(1+0.0585)^-8)/0.0585)+(1,000/(1+0.0585)^8)

Bond Price= 70*((1-0.635)/0.0585)+(1,000/1.58)

Bond Price= 70*6.24+633

Bond Price= 436.8+633

Bond Price= 1,069.8

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The competition between firms within a strategic group is:
Lelechka [254]

Answer:

The correct answer is A. Greater than the competition a member of a strategic group and companies outside that strategic group.

Explanation:

Companies that sell products or offer similar services to the same segment of the population are in a strategic group. For example, a haute cuisine restaurant and a fast food restaurant are both restaurants, but companies would be in different strategic groups, since they usually do not have the same customers. Similarly, a fashion boutique and a haute cuisine restaurant serve the same clientele, but they are in different strategic groups because companies offer different products. The examination of companies that operate within the same strategic group is called analysis of strategic groups.

This type of analysis is often discussed in conjunction with the market focus. In the market approach, the population of consumers is divided into market segments that share common characteristics such as education level, income, age and gender. Research companies study the general preferences of market segments and then use those preferences in gear products and services to specific market segments that are served by strategic groups.

6 0
3 years ago
Southern Corp. has a debt-to-equity ratio of 1.75 and total assets of $275 million. Southern is considering issuing another $20
liberstina [14]

Answer:

1.625

Explanation:

Debt to equity ratio = Debt ÷ Equity

or

1.75 = Debt ÷ Equity

or

Debt = 1.75 × Equity

also,

Total assets = Debt + Equity

or

$275 million = 1.75 × Equity + Equity

or

$275 million = 2.75 × Equity

or

Equity = $100 million

Therefore,

Debt = $275 million - Equity

= $275 million -  $100 million

= $175 million

Now,

after issuance,

Total debt = $175 million + $20 million

= $195 million

and,

Equity = $100 million + $20 million

= $120 million

Therefore,

Southern’s debt-to-equity ratio after the issuance

= $195 million ÷ $120 million

= 1.625

7 0
4 years ago
Over the last half century, the percentage of the U.S. labor force working in manufacturing thas
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B definitely b because why not
7 0
4 years ago
What is the angle (degrees) of the central and lateral limbs of a simple z-plasty that allows for transposition of the flaps, wi
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<span>The angle (degrees) of the central and lateral limbs of a simple z-plasty that allows for transposition of the flaps, with optimal balance between scar lengthening and skin flap ease of closure with minimal tension is 60</span>°.

60° z-plasty is the typical angle but there are z-plasties available that have 45° and 30° angles of their central and lateral limbs. 

The purposes of the z-plasty are:
1)  alters the direction of tissue tensions
2) changes the direction of scar lines


8 0
3 years ago
Bandar Industries Berhad of Malaysia manufactures sporting equipment. One of the company�s products, a football helmet for the N
ArbitrLikvidat [17]

Answer: 1: standard cost of total helmets $15,680

2:

Explanation:

See attached file

8 0
3 years ago
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