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lukranit [14]
4 years ago
7

Suppose Sean would like to invest $6,000 of his savings. One way of investing is to purchase stock or bonds from a private compa

ny. Suppose TouchTech, a hand-held computing firm, is selling stocks to raise money for a new lab-a practice known as _____ (Debt/Equity) finance. Buying a share of TouchTech stock would give Sean _________ (an IOU or promise to payfrom/a claim to partial ownership in) the firm. In the event that TouchTech runs into financial difficulty, ______ (the bondholders/sean and the other stockholders) will be paid first.
Suppose Sean decides to buy 100 shares of TouchTech stock. Which of the following statements are correct? Check all that apply.

TouchTech earns revenue when Sean purchases 100 shares, even if he purchases them from an existing shareholder.

An increase in the perceived profitability of TouchTech will likely cause the value of Sean's shares to rise.

The Dow Jones Industrial Average is an example of a stock exchange where he can purchase TouchTech stock.

Alternatively, Sean could invest by purchasing bonds issued by the U.S. government. Assuming that everything else is equal, a corporate bond issued by an electronics manufacturer most likely pays a ______ (higher/lower) interest rate than a municipal bond issued by a state.
Business
1 answer:
Ilia_Sergeevich [38]4 years ago
3 0

Answer:if im being honest you have to eqplain what math is it is it geomatry  calc or what is it

Explanation:

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In 2014, U.S. gross domestic product (GDP) was roughly $17.4 trillion. Given that the U.S. population was roughly 319 million pe
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Answer:

GDP per capta will be $54.5454

So option (a) will be correct option

Explanation:

We have given GDP of US in 2014 is roughly about $17.4 trillion

We know that 1 trillion = 1000 billion

So GDP of US = $17.4×1000 = $17400 million

Population of US in 2014 = 319 million

We have to find the GDP per capita

For finding GDP per capita we have to divide total GDP to number of peoples

So GDP per capita will be =\frac{17400}{319}=$54.5454

So option (a) will be the correct option

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3 years ago
.In 2027, instead of cashing in the bond for its then current value, you decide to hold the bond until it doubles in face value
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Answer:

The question is not complete,find below complete questions:

If you purchased a $50 face value bond in early 2017 at the then current interest rate of .10 percent per year, how much would the bond be worth in 2027? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) c. In 2027, instead of cashing the bond in for its then current value, you decide to hold the bond until it doubles in face value in 2037. What annual rate of return will you earn over the last 10 years?

The bond is worth $50.50 in the year 2027

The annual rate of return is 7.07%

Explanation:

The future value of the bond is given by the below formula:

FV=PV*(1+r)^N

where PV  is the present of the bond of $50

r is the rate of return of 0.10 percent=0.001

N is the duration of the bond investment of 10 years

FV=50*(1+0.001 )^10

FV=$50.50

However for the face of the bond to double i.e to $100, the rate of return can be computed thus:

r=(FV/PV)^(1/N)-1

where FV=$100 (double of $50)

FV=$50.50(current value in 2027)

N=10

r=($100/$50.50)^(1/10)-1

r=0.070707543

r=7.07%

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