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klasskru [66]
3 years ago
14

A bond has a par value of $1,000, a current yield of 7.17 percent, and semiannual coupon payments. The bond is quoted at 104.68.

What is the amount of each coupon payment?
Business
1 answer:
RSB [31]3 years ago
7 0

Answer:

Each payment = $37.52778

Explanation:

Given:

Bond value = $1,000

Current yield = 7.17% = 0.0717

Bond quoted = 104.68%

Payment method = Semi-annual = 2 payment

Computation of annual coupon amount:

Current yield = Annual coupon / (Bond value × Bond quoted)

0.0717 = Annual coupon / ($1,000 × 104.68%)

0.0717 = Annual coupon / ($1,046.8)

Annual coupon = 0.0717 × $1,046.8

Annual coupon = $75.05556

Computation of each payment:

Each payment = Annual coupon amount / 2 payment

Each payment = $75.05556 / 2

Each payment = $37.52778

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Suppose an American buys stock issued by an Argentinian corporation. The Argentinian firm uses the proceeds from the sale to bui
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Answer:

Policies consistent with the goal of increasing productivity and growth in developing countries are:

1. Protecting property rights and enforcing contracts

2. Providing tax breaks and patents for firms that pursue research and development in health and sciences

Explanation:

To increase productivity and growth in developing countries, it is important that developing countries enhance the mechanisms for protecting property rights and enforcing contracts.  These are the bases for attracting more foreign direct investments.  The court system should be a system where justice is obtained and a system which can enforce the rights of individuals to own property.  Without this basic ingredient, foreign direct investments will be hard to attract.

4 0
3 years ago
SwimFit produces gear for swimmers, including suits, goggles, swim caps, and ear plugs. SwimFit wants to improve the quality of
Sphinxa [80]

Answer:

(E)

Explanation:

Since SwimFit wants to improve the quality of its goggles and other products inorder to achieve better quality than that of its competitor it is termed reverse engineering.

Any reproduction of another manufacturer's product after examination of how it is made is called reverse engineering.

An example of this scenario occurs in real life when a close competitor of a firm invents a new mobile phone with certain features. Within a few weeks the other firm might release their own mobile phone with similar or even better features.

8 0
3 years ago
When hope springs purchases refillable bottles for its water, it submits its orders directly from its computer system to its sup
Ipatiy [6.2K]

Answer:Electronic data interchange (EDI)

Explanation:

Because manual operation in business tend to cause sluggish processing of documents, Electronic data interchange (EDI) is adopted which  is the use of standard electronic format to  replaces paper-based documents like purchase orders or invoices, postal mail, fax so that business operations and recordings can flow straight through to the appropriate application.

Using a standard format like ANSI, EDIFACT etc for  EDI documents is necessary so that computers in use understands each piece of information is and in what format it should document so as to pass relevant information to a receiver.

Because the exchange of EDI documents is typically between business partners, Electronic Data Interchange is important because it helps to eliminates manual data entry errors ,Streamline transaction processing  leading to Increases productivity because it easier and more cost-effective since business do not require more staff.

6 0
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molen inc. has an outstanding issue of perpetual preferred stock with an annual dividend of $4.00 per share. if the required ret
crimeas [40]

The price at which the stock should sell is $61.54.

Using this formula

Stock selling price=Preferred stock annual dividend/Preferred stock required return

Where:

Preferred stock annual dividend=$4.00 per share

Preferred stock required return=6.5% or  0.065

Let plug in the formula

Stock selling price=$4.00/0.065

Stock selling price=$61.538

Stock selling price=$61.54 (Approximately)

Inconclusion the price at which the stock should sell is $61.54.

Learn more here:

brainly.com/question/15561609

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Which non-income factor for a potential job would influence a person who values easy access to entertainment and culture?
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Answer:

C

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Do to the rEASON I FOUND ONLINE

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3 years ago
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