Answer:
The percentage change in the bond's price as predicted by the duration formula is -3.27%
Explanation:
Step 1. Given information.
- The bond has a 10% yield
- Duration 7.19
- Yield increases 50 basis points.
Step 2. Formulas needed to solve the exercise.
Percentage change of price = Duration * Yield increases / (1 + original yield).
Step 3. Calculation.
Percentage change = (-7.194*(0.5%/ 1.10))=-3.27%
Step 4. Solution.
The percentage change in the bond's price as predicted by the duration formula is -3.27%
Answer:
The above scenario is an example of :
Explanation:
Here it is given that company Toyota is offering a hybrid version of its popular highlander mid sized SUV.
All the positive benefits which would be because of owning this vehicle are being shown in the different advertisements. But on the other hand it had failed forgiving an important message that this hybrid is far more expensive.
The cost of owning a conventional version of the same model is quite low and this hybrid is quite expensive. So, this is not a right message for the customers.
So, this scenario comes under an example of:
ONE-SIDED MESSAGE
One sided message: This type of messages by the advertising companies is being stated as:
- A type of message that presents only one sided point of view.
- This is always favorable for showing its positive sides, always the negative points are in its backward ends.
Answer:
D. Negotiation Collaboration
Explanation:
When people with competing goals work together to find a solution it means they are negotiating to find a common goal.
As you may know, negotiation is a method by which people settle differences, therefore, that leaves the answer to <em>D. Negotiation Collaboration</em>
Answer:
Well, a great thing to do is to create a food business!
for example somethink like a brownie store with so many different brownies or smt.
another example (something bigger) a theme park smt like disney! there cpould be a hotel inside and many resyaurants and stuff
Explanation:
Answer:
Explanation:
From the question, we have the followed parameters;
The Face value=1,000 United States of America Dollar($); yield to maturity= fifteen(15) years; The bond = 7.125 percent (annual) coupon rate; payment for last year = $974.24.
First thing to do is to calculate the market value after one percent extra= 1%+7.125%= 8.125%
Next, we need to calculate the present value of 14 year coupon of 71.25 USD = 573.00+ 1,000/1+ 0.8125^14
=>573.00+322.15
= 895.15
Therefore, the price of the bond today is $ 895.15.