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Naddika [18.5K]
3 years ago
10

Vulcan, Inc., has 8.2 percent coupon bonds on the market that have 10 years left to maturity. The bonds make annual payments and

have a par value of $1,000. If the YTM on these bonds is 10.2 percent, what is the current bond price
Business
1 answer:
san4es73 [151]3 years ago
7 0

Answer:

The current bond price (PV) is $878.16.

Explanation:

The current bond price (PV) can be calculated by compiling the following data :

FV = -$1,000

n = 10

Pmt = $1,000 × 8.20% = -$82

P/yr = 1

YTM = 10.20%

Pv = ?

Using a Financial Calculator, the current bond price (PV) is $878.1575 or $878.16.

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Q 5.31: Which of the following balance sheet formats lists the assets on top and the liabilities and stockholders’ equity on the
Vsevolod [243]

Answer:

D : report form

Explanation:

A report format balance sheet lists account totals in vertical format where the assets are listed first at the top then liabilities, then shareholders' equity. All the account totals are listed on the right side of the report ; in simple terms, it vertically aligns the asset, liability, and equity accounts with the descriptions on the left and the account totals on the right. It also is easier to read than the account format balance sheet.

4 0
4 years ago
What is your account balance after one year if you deposited 2000.00 earning 4% interest, compounded annually
il63 [147K]
Answers: i*r*t = 2000*1*4%=80
2000+80=
$2080.00
5 0
3 years ago
Imagine that David is preparing his will and is trying to decide how to divide his assets between his two grown children. His da
san4es73 [151]

Answer:

Fairness of Equal Outcomes: Split his wealth evenly between Terry and Tonya, Leave his money to charity instead.

Fairness of Equal Opportunity: Leave Terry his entire wealth to offset the gap between him and his sister.

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Fairness of what is deserved or earned: Leave his money to the child whom he thinks deserves the most money.

8 0
3 years ago
You are holding a stock that has a beta of 1.39 and is currently in equilibrium. The required return on the stock is 20.47%, and
r-ruslan [8.4K]

Answer: 26.73%

Explanation:

You can calculate the expected return using the Capital Asset Pricing Model (CAPM).

Formula is:

Expected return = Risk free rate + beta * (Market return - risk free rate)

Use the previous figures to solve for the risk free rate:

20.47% = Rf + 1.39 * (16.50% - Rf)

20.47% = Rf + 22.935% - 1.39R

20.47% - 22.935% = Rf - 1.39Rf

-2.465% = -0.39Rf

Rf = -2.465% / -0.39

= 6.32%

New expected return is:

= 6.32% + 1.39 * (21% - 6.32%)

= 26.73%

7 0
3 years ago
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Varvara68 [4.7K]
It’s the first one, Command then Mixed then Market
3 0
3 years ago
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