PLEASE HELP!!! What is the name for the highest amount a policyholder pays for deductibles, coinsurance, and co payments?

You purchase a twenty year zero coupon bond with a yield of 5%. One year later you sell the bond at a yield of 4%. What is your

astraxan [27]

Answer:

25.94%

Explanation:

Assume, Face value of bond =$1000

Purchase price of twenty year zero coupon bond = 1000/((1+i)^N) . Where, yield = 5% =0.05 , N= number of years to maturity =20

==> Purchase Price = 1000/(1.05^20)

Purchase Price = 1000/2.65329770514

Purchase Price = $376.89

Selling Price after one year: 1000/(1+I)^19. Where i=yield=4%=0.04, N=19

Selling Price=1000/(1.04^19)

Selling Price = 1000/2.10684917599

Selling Price = $474.64

Rate of Return = (474.64/376.89) - 1

Rate of Return = 1.25935949481281 - 1

Rate of Return = 0.2594

Rate of Return = 25.94%

7 0

3 years ago

Diane's Designs purchased a one-year liability insurance policy on March 1 of a year for $8,400 and recorded it as a prepaid exp

Liula [17]

Answer:

$700 (not given in the options)

Explanation:

When the policy is purchased with a payment made in advance, the entries recorded are

Debit prepaid insurance $8,400

Credit Cash account $8,400

After the first month, the expense incurred is

= 1/12 × $8,400

= $700

Entries then required

Debit Insurance expense $700

Credit Prepaid Insurance $700

5 0

3 years ago

Charleston, Inc. has Accounts Receivable of $170,000 and an Allowance for Doubtful Accounts of $11,000. If it writes-off a custo

Romashka [77]

Answer:

$159,000

Explanation:

The double entry to record the writes off balances which are the bad debts of Customers who will not pay the debt, will include debit to allowance which is decrease in the allowance and credit to accounts receivable which is also a decrease to accounts receivable:

Dr Allowance for doubtful account $1,100

Cr Accounts Receivable $1,100

Similarly the increase in Allowance for Doubtful Accounts of $11,000 will be treated totally opposite of the decrease in Allowance for Doubtful Accounts above:

Dr Accounts Receivable $11,000

Cr Allowance for doubtful account $11,000

Now, the increase in allowance is deducted from opening accounts receivables and vice versa. The treatment is given below:

Opening balance of Accounts receivables $170,000

Accounts Receivable ($1,100)

Allowance for Doubtful Debt ($11,000 - $1,100) <u> $9,900 </u>

Accounts Receivable (Net) $159,000

5 0

3 years ago

Which of these statements best represents the law of supply? select one:

sweet [91]

c. when the price of a good decreases, sellers produce less of the good.

According to the law of supply, an increase in price results in an increase in quantity supplied. This means that there is a direct relationship between price and quantity: Thus, when price of a good falls, sellers produce less

8 0

3 years ago

Career skills refer to the complicated tasks performed on the job <br><br> T or F

aksik [14]

The answer is fales hope i helped

3 0

3 years ago

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