The current price of a zero-coupon bond with a 6 percent yield to maturity that matures in 15 years is $417.27
A zero coupon bond is a bond in which the face fee is repaid at the time of maturity. That definition assumes a nice time price of money. It no longer makes periodic interest bills or has so-called coupons, consequently the term zero coupon bond. While the bond reaches adulthood, its investor gets its par cost.
Under is the system for calculating the prevailing fee of a zero coupon bond: charge = M / (1 + r)^n where M = the date of maturity r =interset price n = # of Years till adulthood If an investor wishes to make a four% go back on a bond with $10,000 par cost because of mature in 2 years, he could be inclined to pay: $10,000 / (1 + 0.04)^2 = $9,245. So, the bond is being bought at 92% of its face fee.
The biggest draw of zero-coupon bonds is their reliability. If you preserve the bond maturity, you may basically be assured a widespread return for your investment. That makes them beneficial for centered financial wishes, like college tuition or down charge on a home.
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Answer:
c. 10%
Explanation:
Law Imposes additional 10% tax on early distribution of 401 (k) retirement plan. This law is to discourage the use of retirement fund for other purposes than the retirement plan. Evie want early distribution of her funds so she must pay 10% additional tax on these funds. So option c. 10% is correct for 401(k) retirement plan.
Answer:
The correct answer is letter "C": integration.
Explanation:
The Baldrige Roadmap to Performance Excellence is the result of a study conducted analyzing how Baldrige Health Care leaders succeed in implementing their projects (2009). The approach has five (5) stages:
- Stage 0 - Status Quo. Regulatory compliance.
- Stage 1 - False Starts. Strategic improvement of the company processes.
- Stage 2 - Traction. The project matches the firm's strategy.
- Stage 3 - Integration. <em>Management approaches and the organization's operational processes are associated.
</em>
- Stage 4 - Sustaining. Continuous improvement.
Answer:
D.
Explanation:
D. All of the above.
A certified volunteer preparer should;
Make sure all questions on Form 13614-C are answered
Change "Unsure" answers to "Yes" or "No" based on a conversation with the taxpayer
Verify the return is within your certification level
before starting the tax return.