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dangina [55]
4 years ago
5

What is a pur autre vie life estate?

Business
1 answer:
Grace [21]4 years ago
8 0

Answer is D

Explanation:

A pur autre vie life estate is actually an estate in land given by an original grantor to a tenant holder, but of which a third party's lifetime (from moment of issuance) is used as the duration of ownership of the estate by the tenant holder. This means if the third party should die, the ownership of the estate in land is reverted back to the original grantor (or another who is willed so by the original grantor) from the tenant holder

For example, a pur autre vie is when A grants B ownership of land estate over the duration of the lifetime of third party C, but when C dies, ownership of life estate is reverted back from B to the original grantor A

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A 20-year bond of a firm in severe financial distress has a coupon rate of 13% and sells for $905. The firm is currently negotia
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Answer:

(a) The Stated yield to maturity is 14.474%

(b) The Expected yield to maturity is 7.427%

Explanation:

(a) FV = Face value =  -$1,000.00

PV = Bond price =  $905.00

PMT = Coupon =  -$130.00

N = Years to mature x frequency =  20

CPT > I/Y = Rate =  14.4737

Yield to Maturity = Rate * Frequency /100 =  14.474%

Therefore, The Stated yield to maturity is 14.474%

(b) Coupon payment will become half of the precious = 130/2 = $65

FV = Face value =  -$1,000.00

PV = Bond price = $905.00

PMT = Coupon = -$65.00

N = Years to mature x frequency =  20

CPT > I/Y = Rate =  7.4267

Yield to Maturity = Rate * Frequency /100 =  7.427%

Therefore, The Expected yield to maturity is 7.427%.

4 0
4 years ago
Bonita Company follows the practice of pricing its inventory at the lower-of-cost-or-market, on an individual-item basis. Item N
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Answer:

Explanation:

Amount of Bolton Company inventory = 38,972

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3. Find designated market value by choosing the middle value of cost to replace, net realizable value and [g];

4. Choose lowest between designated market value and selling price;

5. Multiply by quantity.

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3 years ago
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1) Investment         Cash (+17...)            (+17160)

2) Borrowings       Cash (+7...)                                            Loan (+7...)

3) Purchase          Cash (-price paid)     + Gain

                            Equip (+final price)      (final - price paid)

4) Revenue          Cash (+298...)                Income (+298...)  

5) Expense           Cash (-210...)                 Expense (-210...)

3)* Price paid = 8700 or 8600 , Final price = 8300 or 7940 , Gain (Discount received) = 8700 - 8300 ie 400 (or) 8600 - 7940 = 660

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