The current value of a zero-coupon bond is $481.658412.
<h3>
What is a zero-coupon bond?</h3>
- A zero coupon bond (also known as a discount bond or deep discount bond) is one in which the face value is repaid at maturity.
- That definition assumes that money has a positive time value.
- It does not make periodic interest payments or has so-called coupons, hence the term zero coupon bond.
- When the bond matures, the investor receives the par (or face) value.
- Zero-coupon bonds include US Treasury bills, US savings bonds, long-term zero-coupon bonds, and any type of coupon bond that has had its coupons removed.
- The terms zero coupon and deep discount bonds are used interchangeably.
To find the current value of a zero-coupon bond:
First, divide 11 percent by 100 to get 0.11.
Second, add 1 to 0.11 to get 1.11.
Third, raise 1.11 to the seventh power to get 2.07616015.
Divide the face value of $1,000 by 1.2653 to find that the price to pay for the zero-coupon bond is $481.658412.
- $1,000/1.2653 = $481.658412
Therefore, the current value of a zero-coupon bond is $481.658412.
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The answer to the blank space is green-oriented.
Green-oriented products are also known as environmental-friendly products, which means either the product is created from raw materials that will not cause harm upon use or disposal to the environment, or that the product is created through a process that does not impact the environment in a harmful manner.
In the Frito-Lay’s case of snack food manufacturing, it is clear that this is the second type of environmental-friendly product, since the product is partially produced using solar power which leads to less harmful pollution for the environment.
Answer:
a. True
Explanation:
A partnership is a form of business that is owned by 2 or more people through signing of a partnership agreement. Each person is responsible for all the decisions made in the partnership and they share the net income. Details of how the net income is distributed is mentioned in the Partnership income statement. It will be divided equally among the partners as mentioned in the partnership agreement.
Answer:
Please find the complete question in the attached file.
Explanation:
The different kind of the people exposed to the advertisement is known as Audience.
<h3>What is Advertisement?</h3>
Advertisement is the Strategy adopted by the producer of the goods and services in order to attract the customers. It is a type of the promotion of the product done by the company.
Advertisement helps to grasp the more and more consumers which is also referred as Audience.
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