Answer:
option (A) $12.00
Explanation:
Data provided:
Quick-Disk Mart purchase tapes from Video Images at price = $3.00 per DVD
Number of packages shipped = 20
Returns earned = 20% of the cash investments
Now,
the total investment per package = $3.00 × 20 = $60.00
Thus,
the return on investment per package
= 0.20 × total investment per package
or
the return on investment per package = 0.20 × $60.00
or
the the return on investment per package = $12.00
Hence, the correct answer is option (A) $12.00
It should be noted that when a company divides its total debt by its total equity, it's measuring its A. leverage.
<h3>What is a leverage?</h3>
It should be noted that the debt to equity ratio simply compares liability to the equity.
When dividing its total debt by its total equity, the company try to measure its leverage. This is important in order to know the financial standing of the firm.
Learn more about equity on:
brainly.com/question/1957305
Answer:
The Answer is B) Rises in the secondary market decreases.
Explanation:
When the coupon rate on newly issued bonds<u> decreases</u> relative to older, outstanding bonds, the market price of the older bond rises in the <u>secondary market.</u>
<u></u>
A coupon or coupon payment is the annual interest rate paid on a bond, expressed as a percentage of the face value and paid from issue date until maturity. Coupons are usually referred to in terms of the coupon rate
For example, a $2,500 bond with a coupon of 10% pays $250 a year. Typically these interest payments will be semiannual, meaning the investor will receive $250 twice a year.
If two bonds offer different coupon rates while all of their other characteristics (e.g., maturity and credit quality) are the same, the bond with the lower coupon rate generally will experience a greater decrease in value as market interest rates rise.
Bonds offering lower coupon rates generally will have higher interest rate risk than similar bonds that offer higher coupon rates.
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