Answer: 9.2%
Explanation:
The interest rate that Rolling Coast should expect to issue new bonds will be calculated thus:
Firstly, we will calculate the previous risk premium on BBB bonds which will be:
= 11.5% - 8.7% = 2.8%
Then, the new risk premium on BBB bonds will be:
= Previous risk premium / 2
= 2.8% / 2
= 1.4%
Then, the interest rate that Rolling Coast should expect to issue new bonds will be:
= 7.8% + 1.4%
= 9.2%
<span>B is the correct answer. When you spend money on a credit card you are creating a debt because you are spending money you don't actually have at that point in time.</span>
Answer:
$1,307
Explanation:
The computation of the future value by using the following formula is shown below:
As we know that
Future value = Present value × (1 + interest rate)^number of years
$1,500 = Present value × (1 + 0.035)^4
So, the present value is
= $1,500 ÷ (1.035)^4
= $1,307
Hence, the present value is $1,307 and the same is to be considered
I'm am pretty sure the answer is b.
Answer:
Retailer
Explanation:
When a producer directly sells the goods to customers, who directly consume the goods rather than further sale, then the producer or seller is termed as retailer.
Goods on retail simply means sales for direct consumption.
Here, Phoenix Farms produces fresh food products which are directly consumables and are sold directly rather than involving intermediaries thus, he is a <u>retailer</u>.
