Answer:
$45,372
Explanation:
The computation of the interest income using the effective interest method is shown below
Interest Income is
= [Paid amount + (Paid amount × current market rate of interest) - (face value of the bond × contract rate of interest)] × current market rate of finterest
= [$296,000 + ($296,000 × 15%) - ($316,000 × 12%)] × 15%
= [$296,000 + $44,400 - $37,920)} × 15%
= $45,372
We simply applied the above formula
Answer:
Enter, accommodate
Explanation:
Nash equilibrium is a concept of game theory that stated that the optimal outcome for an entity is that they have no incentive to deviate from their original strategy after considering their opponent's choice.
It is a logical and mathematical way by which an entity determines the best outcome for themselves.
In this scenario the best option is to Enter and accommodate.
For Irene if they enter and accommodate the most optimal outcome is that they will get $5 million in profits. If they fight they will lose $5 million. They will enter because they know Mattie will lose $5 million is they fight.
For Mattie if they fight Irene they will lose $5million which is worse that sharing their profit.
So the best option after considering beach other's strategy is to accommodate and share the profits
Answer:
The solution according to the given query is summarized in the explanation segment below.
Explanation:
Given:
Face value,
= $508,500
Coupon rate,
= 6%
Bonds mature in years,
= 7
Now,
(a)
Issue price will be:
= 
= 
= 
($)
(b)
Issue price will be:
= 
= 
= 
($)
(c)
Issue price will be:
= 
= 
= 
($)
The answer is:
1. The award is earned only when the predetermined work objective is totally completed.
Hope this helps. XD
