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Citrus2011 [14]
3 years ago
9

A bond issued by the State of Pennsylvania provides a 5.75% yield. What yield on a Synthetic Chemical Company bond would cause t

he two bonds to provide the same after-tax rate of return to an investor in the 35.00% tax bracket
Business
1 answer:
sineoko [7]3 years ago
5 0

Answer: 8.85%

Explanation:

GIVEN THE FOLLOWING ;

Municipal bond yield = 5.75%

After-tax rate = 35%

In other to produce the same after tax rate, What should be the yield of the synthetic company bond;

Assume yield on synthetic company bond = SC yield ;

We can connect our assumption using the mathematical relation below;

Municipal bond yield = after tax bond yield

5.75% = SC yield (1 - tax rate)

5.75% = SC yield (1 - 35%)

5.75% = SC Yield × 65%

SC yield = (5.75/65)%

SC yield = 0.08846%

SC yield = 8.85%

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Demand curves intersect the quantity axis due to​ ________ and intersect the price axis due to​ ________.
igor_vitrenko [27]

Answer:

time limitations in limited marginal utility; limited income and wealth

Explanation:

Demand curves intersect the quantity axis due to time limitations in limited marginal utility, which explains the second law of demand – the lower the price, the higher the quantity demanded. While it intersects the price axis due to limited income and wealth, which also explains the second law of demand – the higher the price, the lower the quantity demanded.

The marginal utility of a consumer is limited, because, the more of the goods consumed, the amount of satisfaction derived decreases. Hence, the demand curve intersects the quantity axis, indicating the point when the consumer derives no more satisfaction from the consumption of that good.

On the other hand, as a result of limited income of the consumer, it would come to a point when the consumer will not be able to purchase any quantity of the goods as the price increases. The point at which the demand curve intersects the price axis, indicates he point where the consumer income cannot purchase any quantity of the goods.

6 0
3 years ago
One traditional depiction of Logistics is in terms of the four Rs. The four Rs are characterized as being _____
Vadim26 [7]

Answer: The four crucial Rs of logistics would be: Right Place, Right condition, Right time and Right cost

Explanation: Logistics when referred to in business, is the process that involves how goods are transported from the manufacturer to the end user.

The Rs of logistics imply that in order for logistics to be effective, it has to taken to the Right place, the goods have to be in the Right condition when delivered, the goods should get to the consumer at the Right time and finally the cost of logistics should be reasonably low.

3 0
3 years ago
Mae and Joe form a partnership. Mae contributes $3,000 in cash, and Joe contributes his services. Throughout the life of the par
Vedmedyk [2.9K]

Answer:

The partnership assets should be distributed $ 1875 for Joe and $ 625 for Mae.

Explanation:

Since Mae and Joe form a partnership, and Mae contributes $ 3,000 in cash, and Joe contributes his services, and throughout the life of the partnership, Mae also lends the partnership $ 1,000, and upon dissolution of the partnership, $ 2,500 is left in the partnership. assets after all outside creditors have been paid, absent a partnership agreement to the contrary, to determine how the partnership assets should be distributed the following calculation must be performed:

Joe = 3000

Mae = 1000

Joe 3: 1 Mae

2500/4 x 3 = Joe = 1875

2500/4 = Mae = 625

Therefore, the partnership assets should be distributed $ 1875 for Joe and $ 625 for Mae.

6 0
2 years ago
Body organs make up the visceral mass and are protected by the __ which secretes the __
maksim [4K]
It is the mantle that protects the visceral mass making up the body organs. In addition, the mantles secrete a specific compound named calcium carbonate and conchiolin, which are very essential for the creation of shells protecting the organism against its harsh environments.
7 0
3 years ago
The treasury yield curve plots the yields on treasury notes and bonds relative to the ____ of those securities.
Ulleksa [173]

Answer: Maturity

Explanation:

The treasury yield curve plots the yields on treasury notes and bonds relative to the *maturity " of the securities.

The US treasury yield curve compares the yield of short term treasury bills with that of long term treasury bill notes and bonds. In the US the treasury department issues treasury bills for terms less than one year, for terms of two, three, five and ten years. It also issue bond for 20 to 30 years.

8 0
3 years ago
Read 2 more answers
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