Answer:
a) Zero coupon bond does not pay periodical interest and formula to compute the value of a zero-coupon bond:
Value = Face Value / (1 +Yield / 2) ** Years to Maturity * 2
b) Interest deduction
After 1 year bond value from the above equation is 437.08
437.08 - 411.99 = 25.09
In the 14th year bond value from the above equation is 942.60
1000 - 942.60 = 57.40
c) Straight Line Method
Total Interest Paid = 1000 - 411.99
= 588.01
For yearly calculation
588.01 / 15 = 39.21
Further computation is done in the image below.
The first marketing law suggests that in order to be successful in the market, the marketers need to understand the customer's demand and identify the brand positioning of the product in the market. Therefore, the option C holds true.
<h3>What is the significance of marketing laws?</h3>
Marketing laws are the ones that are universally accepted principles followed by marketers in order to get successful position in the market. The first and foremost law tells about how one should position the brand in a market over the demand of customers.
Therefore, the option C holds true and states regarding the significance of marketing laws.
Learn more about marketing laws here:
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The incomplete question has been completed below for better reference.
A. Understand customer's demands
B. Identify brand positioning
C. Both A and B
D. None of these
Answer:
the project's MIRR is 13.84 %
Explanation:
MODIFIED INTERNAL RATE OF RETURN (MIRR)
-It is the rate that causes the Present Value of the Terminal Value (Future Cash flows at the end of the Project) to equal Present Value of Cash outflows.
-MIRR assumes a reinvestment rate at the end of the project
The First Step is to Calculate the Terminal Value at end of year 3.
Terminal Value (FV) = Sum of (PV x (1 + r) ^ 3 - n)
= $450 x (1.09) ^ 2 + $450 x (1.09) ^ 1 + $450 x (1.09) ^ 0
= $534.65 + $490.50 + $450.00
= $1,475.15
The Next Step is to Calculate the MIRR using a Financial Calculator :
(-$1,000) CFj
0 CFj
0 CFj
$1,475.15 CFj
Shift IRR/Yr 13.84 %
Therefore, the project's MIRR is 13.84 %.
Answer:
It should continue the production in the short-run.
Explanation:
Given the unit produced by Mars Inc. = 100000 boxes.
The selling price of boxes = $4 per box.
The variable costs = $3 per box.
The fixed costs = $150000
The total sales revenue = number of boxes × selling price
= 100000 × 4
= $ 400000
In the short run, the firm should continue its production because it still covers the variable costs.