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3 years ago

The dollar interest received divided by the market price of the bond is called the:________.

Business

1 answer:

Vadim26 [7]3 years ago

8 0

Answer:

C. Current yield

Explanation:

Investors oftentimes invest in government bonds or private investing and are paid interest either on annual basis, semi annually or quarterly basis. A bond is a debt instrument which is given in form of loan by investors to borrowers and pays interest to them in return. Usually, when a bond is to be issued, an issuing entity will be responsible for that, while also determining the duration of the bond, the interest rate applicable and the face value. The aforementioned remains the same irrespective of the changes in bond market.

The current yield of a bond measures how profitable a bond is in comparison to other bonds. This means that for each year investment, investors are able to know which of the bonds that bring in the greatest return. The current yield of a bond is calculated by ; annual coupon payment divided by current market value of the bond.

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Bristo Corporation has sales of 1,000 units at $60 per unit. Variable expenses are 40% of the selling price. If total fixed expe

Misha Larkins [42]

Answer:

3.60

Explanation:

Given that,

Sales units = 1,000

Sales price per unit = $60

Variable expenses = 40% of the selling price

Total Fixed cost = $26,000

Contribution margin per unit:

= Selling price - Variable cost

= $60 - ($60 × 40%)

= $60 - $24

= $36

Total contribution:

= Contribution margin per unit × Sales units

= $36 × 1,000

= $36,000

Profit = Total contribution - Fixed cost

= $36,000 - $26,000

= $10,000

Degree of operating leverage:

= (Sales - Variable costs) ÷ (Sales - Variable costs - Fixed Expenses)

= (60,000 - 24,000) ÷ (60,000 - 24,000 - 26,000)

= 36,000 ÷ 10,000

= 3.60

8 0

3 years ago

You are the manager of a project that has an operating leverage rating of 2.8 and a required return of 14 percent. Due to the cu

slava [35]

Answer:

The change should you expect in operating cash flows next year would be 19.60%

Explanation:

In order to calculate the change should you expect in operating cash flows next year given your sales forecast we would have to make the following calculation:

change should you expect in operating cash flows=operating leverage rating*percentage of decrease sales next year

change should you expect in operating cash flows=2.8*0.07

change should you expect in operating cash flows=19.60%

The change should you expect in operating cash flows next year would be 19.60%

8 0

4 years ago

A supervisory body, a source of public good, and a body responsible for reallocating income are examples of _____.

olchik [2.2K]

Answer:

roles of government

Explanation:

The government uses part of the taxes it collects to provide public goods such as goods as education, healthcare, and infrastructure. In mixed economies such as the US, the government's main role in the economy is to ensure fair competition among suppliers and protect consumers' and workers' rights.

The government has established several bodies and mandated them to carry out the regulatory functions. Different agencies regulate different trade sectors such as communication, drugs and medicines, weights and measures, employees' safety and health, etc.

5 0

3 years ago

On January 1, 2020, Gerald received his 50% profits and capital interest in High Air, LLC in exchange for $2,000 in cash and rea

Y_Kistochka [10]

Answer:

$4,000;$3,500

Explanation:

Calculation to determine How much loss can Gerald deduct, and how much loss must he suspend if he only applies the tax basis loss limitation

Calculation for How much loss can Gerald deduct

Gerald's loss Deduction = [$2,000 + $3,000 - $2,000 + (50% × $2,000)]

Gerald's loss Deduction =[$2,000 + $3,000 - $2,000 + $1,000]

Gerald's loss Deduction=$4,000

Calculation for how much loss must he suspend

Loss to Suspend=(50%*$15,000)-$4,000

Loss to Suspend=$7,500-$4,000

Loss to Suspend=$3,500

Therefore the amount of loss that Gerald can deduct is $4,000 and the amount of loss that he must suspend if he only applies the tax basis loss limitation is $3,500

3 0

3 years ago

J.d. power and associates and other market research firms recruit groups of consumers for __________, each of whom are paid to r

Brums [2.3K]

The correct answer is the syndicated panels. Syndicated panels are responsible for collecting and selling common pools of data, they made used of unit of measurements and they obtain their data through surveys, electronic scanner services and diary panels. In addition, they obtain institutional data from wholesalers, industrial firms and even retailers.

5 0

3 years ago