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Cloud [144]
3 years ago
12

Malko Enterprises’ bonds currently sell for $1,050. They have a 6-year maturity, an annual coupon of $75, and a par value of $1,

000. What is their current yield?
Business
1 answer:
scoundrel [369]3 years ago
6 0

Answer:

Current yield = 7.14%

Explanation:

As we know that: current yield = Annual coupon payment/Current market price of bond

                                    = 75/1050

                                    = 7.14%

this rate represents for an investor would expect to earn because face vale and market price of bonds differs so the investor much rely on that factor.

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You've lost a lawsuit that requires you to pay $1,500 per month for 120 months starting next month. How much would you have to i
Lady bird [3.3K]

Answer:

PV = $155,343

Explanation:

This question requires application of PV of annuity, according to which:

PV = p [1-(1+r)^-n/r]

P= Periodic Payment

r = rate of period

n = number of periods

r = 3%/12 = 0.25% (monthly), n = 120, P = $1500

PV = 1500 * [\frac{1 - (1 + 0.0025)^{-120}}{0.0025}]

PV = 1500 * 103.5618

PV = $155,343

6 0
3 years ago
Aaron earns a weekly salary of $350 plus 7% commission on sales. last week his sales totaled $3200. what was his total pay?
True [87]
The answer is $224 Hope this helps
6 0
3 years ago
What is the correct statement about regressive taxation?
Karolina [17]

Answer:

B. The sales tax you pay when you fill your car up with gas is regress

Explanation:

Gasoline tax is regressive because everyone regardless of their income level pay the same amount of tax per gallon of gas purchased. A progressive tax means that people that have higher incomes will pay a higher tax rate, for example, federal income taxes. Every flat tax (same percentage for everyone) is regressive.

8 0
2 years ago
Jafina works for a Sunshine Manufacturing, where her team shares a machine and materials with another team that works a differen
Naily [24]

Answer: Pooled interdependence

Explanation:

Pooled interdependence is a loose organizational model in which each business unit carries out it's own separate functions, might not interact with the other units and does not depend on other units directly even though it contributes to the accomplishment of the organizational goals and success.

Pooled interdependence is often seen as the loosest form of interdependence in organizations. Although the departments may not interact directly and may not depend on each other directly in the pooled interdependence model, every department contributes it's own individual pieces to the achievement of the same overall puzzle.

This creates a blind, indirect dependence on each other and the performance of a department has an impact on others as a department's failures may lead to the failure of the entire organization.

5 0
3 years ago
Read 2 more answers
Which of these are loans to businesses or governments?
Yanka [14]
<span>Bonds are actually a type of borrowing or loans most businesses and governments use. They represents an alternative to the common bank loans, however they enable loan of higher amounts of money, that governments need but ordinary banks are not able to provide.</span>
5 0
3 years ago
Read 2 more answers
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