Answer:
c. The required rate of return would increase because the bond would then be more risky to a bondholder.
Explanation:
Options to the question are <em>"a. There is no reason to expect a change in the required rate of return. b. The required rate of return would decline because the bond would then be less risky to a bondholder. c. The required rate of return would increase because the bond would then be more risky to a bondholder. d. It is impossible to say without more information. e. Because of the call premium, the required rate of return would decline."</em>
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Bonds will be usually called back when the new interest rates are lower, this will lower the interest income of the investors. However, call premium cannot always compensate all the income loss by investors.
Answer:
In thinking about it, Jerzy realizes that he and Leon could create a shoe-manufacturing facility in Spain. Doing so would certainly require a large outlay of money, but Jerzy thinks that with his expertise in shoe design and Leon’s expertise in navigating Spanish management and business practices, they could create a partnership that has true synergy Licensing
Explanation:
Jerzy and Leon thought they could be licensed to start the business since both of them are expertise in design and navigatingspanish management and business practices. These should give them the edge to be licensed and kickj start the business of shoe manufacturing
Answer:
$312
Explanation:
Business Travel expenses are costs incurred when you are away from home on businesses. Accordingly, in this case, AJ is allowed to deduct 50% of his entertainment costs (that is, meal and theater tickets) since it follows a substantial business discussion. The cost of transportation, that is the cab fare is fully covered under the business expenses as it is not subject to the 50% rule of deduction for entertainment and the likes.
Thus,
Total money AJ can deduct as business expenses.
= (50% of 350) + (50% of 190) + 42
= 175 + 95 + 42
= $312
It is B. and now i have to type more to get this answer posted