1) Answer: When the required return is equal to the coupon rate, the bond value is equal to the par value,
2) if the required return is less than the coupon rate the bond will sell at a premium.
Explanation:
1) The reason for this that the required return is the market or investors required rate of return for a particular bond, when the required rate and coupon rate are equal it means that the investor is getting the return he wants in coupon payments, therefore the investor will be willing to buy the bond on par value, as he is getting his required return in the form of coupon payments.
2) When the required return is less than the coupon rate the investor is getting more in coupons than he required from the bond so the bonds price will be higher than par so that the return from the coupons become equal to the required rate of return. Thats why when a bonds required return is less than the coupon it sells on a premium.
Answer:
Regional Production
Explanation:
Juggernaut, Inc. can manufacture its bulk products by region, that way the distance to each selling point is less and the costs are lower.
Answer:
buying puts
Explanation:
A put option is a sale option. It gives the buyer the right (but not the obligation) to sell an asset in the future to the seller of the option at a previously determined price.
The owner or buyer of a put option benefits from the option if the underlying asset falls, that is, if when the put option expires, the asset (a share for example) has a price lower than the agreed price . In that case, the option buyer will exercise his right and sell the asset at the agreed price and then buy it at the current market price, earning the difference.
If the price turns out to be higher than the agreed price, known as the strike or strike price, the buyer will not exercise his right and will simply have lost the premium he paid to acquire the option. Therefore, your benefit may be unlimited, but your loss is limited to the premium you paid.
We tend to see things in different ways. The ways to understand our opportunities and responsibilities in the mass communication process is that;
- We should view the mass media as our cultural storytellers.
- We must conceptualize mass communication as a cultural forum.
<h3>What is mass communication?
</h3>
Mass communication is simply known as a way of producing, sending, receiving, and analyzing information or messages to a bigger audiences through the use of verbal and written media.
Conclusively, People see mass media as cultural storytellers as they tell us more about our culture through the use of print, digital media, Internet, social media, radio, etc.
Learn more about responsibilities from
brainly.com/question/551405
