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Kamila [148]
3 years ago
12

West Corp. issued 18-year bonds 2 years ago at a coupon rate of 9.5 percent. The bonds make semiannual payments. If these bonds

currently sell for 105 percent of par value, what is the YTM?
Business
1 answer:
Ira Lisetskai [31]3 years ago
4 0

Answer:

The answer is 4.232%

Explanation:

The formula for determining the price of a bond which can also be used to find Yield-to-Maturity(YTM) is:

PV = PMT/(1+r)^1 + PMT/(1+r)^2 .......PMT/(1+r)^1 PMT + FV/(1+r)^n

We are to calculate Yield-to-Maturity(YTM) which is the rate of return on the bond to an investor.

Using a Financial calculator. Input the following:

N = (18 years - 2years) x 2 = 32

1/Y = ?

PV = 109

PMT = 9.5/2 = 4.75

FV = 100

1/Y = 4.232%

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When using an office phone or any phone for calling someone, the two most important things to make sure is the etiquette and the voice. This is because in the absence of visual actions or nonverbal clues when talking through the phone, the other person on the line might likely misinterpret what you are really trying to convey.

 

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<u>etiquette</u> and <u>voice</u>

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4 years ago
Custom Engines Company has the following estimated costs for the upcoming year: Direct labor costs $62,800 Direct materials used
jenyasd209 [6]

Answer:

Predetermined manufacturing overhead rate= $33.1 per direct labor hour

Explanation:

Giving the following information:

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<u>To calculate the predetermined manufacturing overhead rate we need to use the following formula:</u>

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= (37,800 + 22,900 + 5,500) / 2,000

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You are trying to convince a group of volunteers to show up at the library for their scheduled hours of work. Unfortunately, peo
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it was punishment for them

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3 years ago
Chico Company paid $950,000 for a basket purchase that included office furniture, a building and land. An appraiser provided the
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Answer:

$171,000

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The company psid $950,000 for office furniture, building and land

The market value of the assets is

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Land= $132,000

Therefore the cost that should be allocated to the office furniture can be calculated as follows

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These expenditure is always captured in the piece of legislations and are always there to guide the government. A number of things must be captured in the legislation and the government expenditure is on of them.

Learn more about Government Expenditure here:

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