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Dafna1 [17]
3 years ago
11

What is the current face value of a $1,000 Treasury inflation-protected security if the reference CPI is 203.19 and the current

CPI is 205.47? The coupon rate is 3 percent and the bond was issued two years ago.
Business
1 answer:
Stella [2.4K]3 years ago
3 0

Answer:

$1,011.22

Explanation:

Price = $1000 x (205.47/203.19)

$1000× 1.01122= $1,011.22

Therefore the current face value is $1,011.22

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Which of the following set the first minimum wage? The Taft-Hartley Act of 1947 The AFL-CIO The Norris-LaGuardia Act of 1932 The
lara31 [8.8K]

Anscbhbdvbfvbfhb

Explanation:

6 0
4 years ago
The risk premium (hence expected return) of a security is determined by its ________ risk and does not depend on its ___________
Rzqust [24]

Answer:

systematic risk ,diversifiable risk

Explanation:

risk premium is the investment return demanded by an investor for buying a risky assets that an investment is anticipated to deliver it reward to those who are willing to take higher risk than investors who prefer risk free investment.

systematic risk when economic treds influence assets and the market in similr way than investment risk for similr assets are corellated Systematic risk cannot be diversified away. Non-systematic risk, or the risk unique to each individual security, meanwhile, can be mitigated through diversification.

conclusion: both the sytematic and nom systematic risk are the influencing factor of the risk premium while sytematic risk is not influenced by market but diversfiable risk are influenced by market .

brainly.com/question/14055202?utm_source=android&utm_medium=share&utm_campaign=question

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7 0
1 year ago
Which method of evaluating capital investment proposals uses present value concepts to compute the rate of return from the net c
Elena L [17]

Answer:

Internal rate of return

Explanation:

The internal rate of return is that return in which the net present value equivalent to zero

i.e.

Net present value = 0

That means

Initial investment = Present value of cash inflows after charging the discounting factor like 10% 12% etc

So as per the given situation, the internal rate of return is the correct answer

3 0
3 years ago
Eight years ago, Bravo Company purchased land for $170, 000. The current fair market value of the land is $421,000. The rate of
victus00 [196]

Answer: $170,000

Explanation:

According to the historical cost concept, the original cost value of a asset (i.e. land) should be recorded in the books. The original cost refers to the cost of a asset at the time of purchasing. As per the principle of historical cost, assets are always recorded as a original cost or historical cost or acquisition cost.

But when a person sold the asset then he will consider the fair market value.

4 0
3 years ago
A young couple has made a deposit of the first month's rent (equal to $1,000) on a 6-month apartment lease. The deposit is refun
jolli1 [7]

Answer:

It would be wiser for the couple to stay in the old apartment and save $1400

Explanation:

If they stay until the end of the lease, total money that will be paid out is $1000 x 6 = $6000,

If they leave, they'll have to forgo $1000.

If they move to their new apartment, they'll pay $900 x 6 = $5400

total expenditure if they move to the new place at the end of the six months period will be, the $1000 that will not be refunded back to them on the old apartment, plus this new $5600 for six month's rent in this new apartment, and that will be a total of $6400.

It would be wiser for the couple to stay in the old apartment and save $1400

3 0
3 years ago
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