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slavikrds [6]
3 years ago
14

The Petit Chef Co. has 10.9 percent coupon bonds on the market with seven years left to maturity. The bonds make annual payments

and have a par value of $1,000. If the bonds currently sell for $1,117.33, what is the YTM

Business
1 answer:
Gre4nikov [31]3 years ago
8 0

Answer:

8.60%

Explanation:

We use the RATE formula i.e shown on the attached spreadsheet

Data provided in the question

Present value = $1,1173.33

Future value or Face value = $1,000  

PMT = 1,000 × 10.9% = $109

NPER = 7 years

The formula is shown below:  

= Rate(NPER;PMT;-PV;FV;type)

So, after solving this, the yield to maturity is 8.60%

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umka21 [38]

Answer:

The best answer is "D"

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4 0
3 years ago
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Carr Manufacturing makes a product that incurs prime costs of $320,000. Production uses 1,000 setup hours and 1,900 machine hour
mafiozo [28]

Answer:

b. $490,000

Explanation:

Total cost refers to the summation of all costs that is expended during production processes of certain products, which is made up of prime cost, overhead cost, etc.

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Joyce Murphy runs a courier service in downtown Seattle. She charges clients $0.60 per mile driven. Joyce has determined that if
kotykmax [81]

Explanation:

The computation of the fixed cost and the variable cost per hour by using high low method is shown below:

Variable cost per mile = (High Operating cost - low operating cost) ÷ (High miles - low miles)

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Less: Fixed cost                                               ($175)

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