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SSSSS [86.1K]
3 years ago
14

Dyl Inc.'s bonds currently sell for $1,040 and have a par value of $1,000. They pay a $65 annual coupon and have a 15-year matur

ity, but they can be called in 5 years at $1,100. What is their yield to maturity (YTM)?
Business
1 answer:
Dovator [93]3 years ago
3 0

Answer:

Their yield to maturity (YTM) is 6.11%

Explanation:

Yield to maturity is the annual rate of return that an investor receives if a bond bond is held until the maturity.

Face value = F = $1,000

Coupon payment = $65

Selling price = P = $1,040

Number of periods = n = 15 years

Yield to maturity = [ C + ( F - P ) / n ] / [ (F + P ) / 2 ]

Yield to maturity = [ $65 + ( $1,000 - $1,040 ) / 15 ] / [ ( 1,000 + $$1,040 ) / 2 ]

Yield to maturity = [ $65 - 2.67 ] / $1,020 = $62.33 / $1,020 = 0.0611 = 6.11%

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The real estate financing instrument which transfers equitable title to real property, but retains legal title in the seller, is
natita [175]

Answer:

Operating Leasing

Explanation:

Legal title is retained by the seller, buyer enjoys equitable title (during the lease contract duration) of the property (e. g. using land, leased buildings or machinery for the business needs),

7 0
2 years ago
You want to quit your job and go back to school for a MBA 4 years from now, and you plan to save $8,800 per year, beginning imme
dsp73

Answer:

  • <u><em>d. $40,510.15 </em></u>

Explanation:

The following tables will make it easier understanding the calculations.

Every year, you add the deposit of $8,800 to the starting amount, calculate the 5.7% interest over the balance, add the interests to the balance and obtain the final balance of the year, which is the starting balance of the next year.

<u>First year</u>:

Start ($):                      0

Deposit ($):                8,800

Balance ($):               8,800

Interest($):                 5.7% × 8,800 = 501.60

Final balance ($):      8,800 + 501.60 = 9,301.60

<u>Second year</u>:

Start ($):                    9,301.60

Deposit ($):              8,800

Balance ($):             9,301.60 + 8,800 = 18,101.60

Interest($):               5.7% × 18,101.60 = 1,031.79

Final balance ($):    18,101.60 + 1,031.79 = 19,133.39

<u>Third year</u>:

Start ($):                    19,133.39

Deposit ($):              8,800

Balance ($):             19,133.39 + 8,800 = 27,933.39

Interest($):               5.7% × 27,333.39 = 1,595.20

Final balance ($):    27,933.39 + 1,595.20 = 29,525.59

<u>Fourth year</u>:

Start ($):                   29,525.59

Deposit ($):              8,800

Balance ($):             29,525.59 + 8,800 = 38,325.59

Interest($):               5.7% × 38,325.59 = 2,184.56

Final balance ($):    38,325.59 + 2,184.56 = 40,510.15

7 0
3 years ago
In an international communication process carried out by a company, the sales force of the company that conveys the encoded mess
Brums [2.3K]

Answer: message channel

Explanation:

In an international communication process carried out by a company, the sales force of the company that conveys the encoded message to the intended receiver acts as a message channel.

The sales force are said to act as a.mesage channel because they are the ones that pass the message across to the intended receiver.

4 0
3 years ago
Kevin, an electrical engineer, comes to work every day with a positive attitude. He has many goals, and he knows that he will ha
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A and E are the answers to this problem
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3 years ago
Read 2 more answers
Which of the following is true about certified public accountants (CPAs)?
Artist 52 [7]

Answer:

A. CPAs work for government agencies and corporations.

Explanation:

Certified public accountant (CPA) is the title for skilled, competent, and professionally trained accounts. Accountants play a significant role in any organization's success, be it a business-oriented, government institution, or not-for-profit organization. Employers seek and employ qualified and certified accountants to work in their organizations.

Both the public and private sector engage the services of certified account to take charge of accounting and financial management. The objective is to ensure that financial transactions are recorded correctly, and the financial statement reflects the true picture of the organization as per the generally accepted accounting principles.

3 0
3 years ago
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