Answer, 4
Explanation: I got it right in odyssey ware
Answer:
D) No No
Explanation:
Direct material cost and fixed overhead cost assigned to inventory, both are irrelevant in the decision to sell or throw out obsolete inventory because these costs are already incurred and treated as sunk cost.
Answer:
7.82%
Explanation:
Given the following :
Par value = 102%
Coupon rate = 8.1%
Period (n) = 10 years
Yield to maturity (YTM) =?
with a face value (F) of $1000
The current price (P) of bond will be:
102% * $1000 = (1.02 * $1000) = $1020
Annual coupon payment = $1000 * 8.1% = $1000 * 0.081 = $81
The YTM formula is given by:
YTM = [ C +( F - P) / n] / [(F + P) / 2)]
YTM= [(81 + (1000 - 1020) / 10] / [(1000 + 1020)/2)]
YTM = [(81 +(-20/10)] / (2020/2)
YTM = [(81 - 2) / 1010]
YTM = 79 / 1010
YTM = 0.078217
YTM =0.078217 * 100
YTM = 7.82%
