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3 years ago

Suppose you bought a bond with an annual coupon rate of 5.5 percent one year ago for $1,017. The bond sells for $1,041 today.

Business

1 answer:

Lubov Fominskaja [6]3 years ago

4 0

Answer:

Dollar return is $79

Nominal rate of return is 7.77%

Real rate of return is 4.77%

Explanation:

The total return is the difference in market price plus the coupon interest received,the total dollar return is computed as follows:

Price today $1,041

price a year ago ($1,071)

Coupon interest($1000*5.5%) $55

Total dollar return $79

The nominal rate of return over the past one year is calculated thus:

Nominal rate of return =dollar return/initial price paid

dollar return is $79

initial price is $1017

nominal rate of return =$79/$1017

=7.77%

Real rate of return=Nominal rate -inflation rate

inflation rate is 3%

real rate of return=7.77%-3%

=4.77%

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When transportation costs are added to production costs, it becomes unprofitable to ship some products over a large distance. Th

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Answer:

The correct answer is have a low value-to-weight ratio.

Explanation:

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3 years ago

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Adrienne had contracted to convey real estate to rich. however adrienne died before the conveyance is completed. what is the sta

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If he chose to, Rich can enforce the contract against Adrienne's estate. This is because, sickness or death of a promisor is not an avenue or excuse for non-performance in contracts such as this, which can easily be delegated to another person for performance.

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3 years ago

Discuss 4 contributing factors that lead to poor service delivery. and corruption

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The factors like democracy, poor leadership, lack of communal participation and inefficient strategic management lead to poor service delivery and corruption.

<h3>What is service delivery?</h3>

The process of providing service to the customer or subscriber, by whatever name called, who is being supplied with such services by the provider, is known as a service delivery.

Hence, the significance of service delivery is as aforementioned.

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1 year ago

_____ is the degree to which a company relies on a provider because of the importance of the provider's product to the company a

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Answer:

Supplier dependence

Explanation:

When an entity finds itself in a situation where it has to rely on a particular supplier or provider of service for its business operations, either as a result of not being able to get an alternative supplier or the importance of the suppliers product to the entity, such is called supplier dependence.

It is very risky for an entity to depend on a particular source for input. This reverse order of an entity depending on the supplier for business strategy instead of the supplier depending on the entity is not a good business practice.

It’s easy for our own strategy to be determined by what our suppliers are doing. If we become too dependent, we risk having our strategy set by our suppliers rather than having them support our strategy. I’ve been thinking a lot here recently about how much suppliers can direct you

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3 years ago

This activity is important because it covers important terms for effective money management. The goal of this exercise is to ide

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Remainder Part of the Question:

Build Your Financial Base Terms:

The ______ is one of the best places to put your money.

A _______ is one of the worst places to keep long-term investments.

You can use a _______ to keep track of purchases.

Your _______ is likely to be the largest of the most important investments you make.

It is wise to plan your financial future with _______.

Available Options are:

Credit Card, Bank Account, Home, Uncertainity, Excitement, car, insurance, stock market, payday loan.

Answers:

A. Stock market

B. Bank Account

C. Credit Card

D. Home

E. Insurance

Explanation:

A. The Stock Market is one of the best places to put your money.

Stock markets are the source of raising funds for investments by the companies. The stock market helps the investor to choose the investment with appropriate returns and risks. Furthermore the investor can also diversify its return by managing the portfolio of investments.

B. A Bank Account is one of the worst places to keep long term investment

The lowest returns are on saving accounts hence it is the worst place for long term investments.

C. You can use Credit Card to keep a track of your purchases.

Credit cards can be used for tracking all of purchases because monthly statement mailed to you includes all the spendings during the year.

D. Your Home is likely to be the largest of the most important investments you make

Buying home is considered as one of the largest investments as it takes substantial savings of the person to buy an house. A roughly estimate would be the savings of 3-4 years for a small house for a couple.

E. It is wise to plan your financial future with Insurance.

Because Insurance helps you to lower your financial risks. The risk is associated with life, home, car, and physical assets and thus the investor must use insurance facility.

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3 years ago