Answer:
6.32%
Explanation:
Bonds yield amount = $1,030 × 6.14% = $63.242
Coupon rate = Bond yield amount ÷ Par value of the bond = $63.242 ÷ $1,000 = 0.063242, or 6.32%
Therefore, the coupon rate on the bonds must be 6.32%.
Answer:
13.44%
Explanation:
Debt to total assets = Total Debt / Total Assets
45% = Total debt / $230,000
Total Debt = $230,000 x 45% = $103,500
As we know
Assets = debt + Equity
$230,000 = $103,500 + Equity
Equity = $230,000 - $103,500 = $126,500
Return on Equity is the measure of financial performance which can be calculated by dividing net income for the year by total shareholder's equity.
Return on equity = Net income for the year / Shareholders equity
ROE = $17,000 / $126,500 = 0.1344 = 13.44%
Answer:
A. finance
Explanation:
Finance is the section of business that deals with money. Raising capital through various methods would fall under the finance part of the business.
Finance is among the functional areas of a business. It involves sourcing and allocating money to other areas of the business. Finance is closely associated with accounting. Other functional areas of a business include marketing, human resources, administration, and production.
