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katrin [286]
3 years ago
9

Calculate the value of a bond that matures in 16 years and has a $ 1 comma 000 par value. The annual coupon interest rate is 13

percent and the​ market's required yield to maturity on a​ comparable-risk bond is 12 percent. The value of the bond is ​$ nothing. ​ (Round to the nearest​ cent.)

Business
1 answer:
spayn [35]3 years ago
7 0

Answer:

$1,069.74

Explanation:

We use the present value formula which is shown in the attachment below:

Data provided in the question

Future value = $1,000

Rate of interest = 12%

NPER = 16 years

PMT = $1,000 × 13% = $130

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

So, after solving this, the value of the bond is $1,069.74

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If a company decreases its sales price per unit, the new breakeven point will?
xenn [34]

If a company decreases its sales price per unit, the new breakeven point will increase.

The breakeven point is the point at which general cost and total revenue are identical, which means there's no loss or gain for your small business. In different phrases, you have reached the level of production at which the expenses of production equal the sales for a product.

The break-even point in economics, enterprise—and in particular fee accounting—is the point at which overall cost and total revenue are identical, i.e. "even". There is no internet loss or advantage, and one has "damaged even", though possibility charges had been paid and capital has acquired the threat-adjusted, predicted return.

To calculate the break-even factor in units use the system: spoil-Even point (gadgets) = fixed fees ÷ (income fee according to unit – Variable costs in keeping with the unit) or in income greenbacks the usage of the formula: spoil-Even point (sales dollars) = fixed costs ÷ Contribution Margin.

Learn more about a breakeven point here brainly.com/question/9212451

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8 0
1 year ago
Porter identified three generic strategies that a business could follow after identifying a market it wanted to enter.Which of t
gogolik [260]

Answer:

B) Supplier cost differentiation

Explanation:

As per the Porter model of generic strategies, there are three strategies which are as follows

1. Cost leadership strategy: It deals with less cost to reach broad market

2. Differentiation strategy: It deals with offering different products to reach broad market

3. Focus strategy: In terms of cost leadership and differentitaion, it focused with less cost and offered unique products at narrow market segment

Therefore the option B is not included

6 0
3 years ago
There are many food carts near Mark’s university. Mark and his friends regularly buy hot dogs from Jeff’s cart. Recently, Andrea
Wittaler [7]
The demand for his hot dogs will decrease. This is because Andrea is selling things at a better price than Jeff, and Mark and his friends would probably like to try something different than hot dogs.
5 0
3 years ago
Describe at least three other investments you want to make with your income either now or someday in the future. Explain why you
const2013 [10]
 <span>Don't invest in stock, period. Look up Options....Options are successful in a bearish and bullish market. As opposed to stocks are only in bullish markets. NEVER go in it for the long haul! Plain and simple.</span>
8 0
3 years ago
Read 2 more answers
Lucy and Fred want to begin saving for their baby's college education. They estimate that they will need $120,000 in eighteen ye
dezoksy [38]

Answer:

$4,265.55

Explanation:

Future value = $120,000

Interest rate (i) = 5%

Annual deposit = ?

Time period (n) = 18 year

Since deposit are to be made at the beginning of each year, hence the relevant factor table to be used is future value annuity due factor table.

Future value = Annual deposit x future value annuity due factor (i%, n)

120,000 = Annual deposit x FVADF (5%, 18period)

120,000 = Annual deposit x 28.13238

Annual deposit = 120,000/28.13238

=$4,265.547

=$4,265.55

4 0
3 years ago
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