1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vedmedyk [2.9K]
3 years ago
11

A two-year bond with par value $1,000 making annual coupon payments of $100 is priced at $1,000. a. What is the yield to maturit

y of the bond?
Business
1 answer:
amm18123 years ago
4 0

Answer: 10%

Explanation:

When the price of a bond is at par, it means that the coupon rate and the Yield to Maturity are the same.

The Coupon rate is the interest rate that the Issuer of the bond pays the bond holders as a percentage of Par.

The Coupon payment here is $100 and the rate is;

= 100/1,000

= 10%

<em>Coupon Rate = 10% = Yield to Maturity </em>

You might be interested in
What is a certificate of incorporation? A. taxes a stockholder pays B. a license to form a corporation C. a report filed with th
lions [1.4K]

A license to form a corporation issued by the state government.

3 0
3 years ago
Read 2 more answers
Which sentences correctly describe the precautions you can take to protect your personal information as a consumer? Elizabeth li
Maru [420]
<span>The sentences that correctly describe the precautions you can take to protect your personal information as a consume are "</span>Anne avoids opening links sent to her from strangers or unknown email IDs. She changes her computer password frequently and keeps the password a mix of letters, numbers and special characters."
7 0
3 years ago
Read 2 more answers
Excerpt from Areojet Corporation records for month of February: Per Unit Per Month Selling price $ 200,000 Direct materials used
EastWind [94]

Answer:

Work in process= $192,000

Explanation:

Giving the following information:

Direct materials used in production 40,000

Direct labor 10,000

Variable manufacturing overhead 2,000

Fixed manufacturing overhead $ 140,000

<u>The absorption costing method includes all costs related to production, both fixed and variable</u>. The unit product cost is calculated using direct material, direct labor, and total unitary manufacturing overhead.

Work in process= 40,000 + 10,000 + 2,000 + 140,000

Work in process= $192,000

7 0
3 years ago
N
ankoles [38]

Answer:

Stocks is the type of investments that offers both capital gains and interest income.

4 0
3 years ago
The table below contains data for the country of batterland, which produces only waffles and pancakes. the base year is 2013 . p
ArbitrLikvidat [17]

Firstly, you should calculate the prices of your market basket, which basically means multiply all the goods with their prices and then add them together in their respective years. This would give you $260, $440, $690 and $1200 in the years 2010 to 2013 respectively. (follow along by noting everything down)

We see that the base year is 2013, therefore if we want to calculate the inflation rate from 2010 to 2011, we have to calculate their price indices. We do this by dividing the maket basket of our chosen years by the market basket of the base year, therefore the price index of 2010 is $260/$1200, giving us 21.6. The price index of 2011 would be $440/$1200, giving us 36.6. To calculate the inflation rate, you find the difference between your two price indices and divide it by the former year, which would be 36.6 - 21.6 / 21.6 x 100, giving us the inflation rate of 69.2%.

5 0
3 years ago
Other questions:
  • Suppose there is an ordinary deductible of $40 and the maximum payment by the insurer is $130. Determine the standard deviation
    6·1 answer
  • Whats the process of Observing someone actually working in a career that interest you?
    5·1 answer
  • Sharon fell while making an inspection of a machine at work and in the fall, she broke her arm. can she collect workers' compens
    10·1 answer
  • All else​ equal, if job turnover has people leaving jobs and finding new jobs in the same​ industry, this will A. increase the d
    12·1 answer
  • If you have a business and you are spending more money then your making how do you turn it around
    5·1 answer
  • What are examples of Information Technology careers?
    13·1 answer
  • Cantor Co. purchased a coal mine for $2,000,000. It cost $500,000 to prepare the coal mine for the extraction of the coal. It wa
    8·1 answer
  • The manager of the customer service division of a major consumer electronics company is interested in determining whether the cu
    13·1 answer
  • Giving away 100 for fun
    14·2 answers
  • Suppose a company decides to lay off 150 workers to increase share values as a result some interested parties would benefit whil
    11·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!