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Aleonysh [2.5K]
2 years ago
7

You purchased a bond at a price of $1,700. In 20 years when the bond matures, the bond will be worth $10,000. It is exactly 13 y

ears after you purchased the bond and you can sell the bond today for $6,700. If you hold the bond until it matures, what annual rate of return will you earn from today
Business
1 answer:
ryzh [129]2 years ago
8 0

Answer:

<u>Annual rate of return which will be earned from today is 5.89%</u>

Explanation:

FV = PV (1+r)^n

r is int Rate per anum abd n is balance period

10000 = 6700 ( 1 + r)^n

10000 = 6700 ( 1 + r)^7

( 1 + r)^7 = 10000 / 6700

= 1.4925

1+r = 1.4925^(1/7)

= 1.0589

r = 1.0589- 1

= 0.0589 i.e 5.89%

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7 0
2 years ago
Sales at a fast-food restaurant average $6,000 per day. The restaurant decided to introduce an advertising campaign to increase
zimovet [89]

Answer: a. 2.8

Explanation:

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3 years ago
Trini Inc. bases its manufacturing overhead budget on budgeted direct labor-hours. The direct labor budget indicates that 8,100
Ilya [14]

Answer:

$102,870

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2 years ago
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Answer:

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vlada-n [284]
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