1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Westkost [7]
3 years ago
9

Fred purchases a bond, newly issued by the Big Time Corporation, for $10,000. The bond pays $400 to its holder at the end of the

first, second, and third years and pays $10,400 upon its maturity at the end of four years. The principal amount of this bond is ___, the coupon rate is ____, and the term of this bond is _____.A. $400; 40%; four yearsB. $10,000; 4%; four yearsC. $10,000; $400; 4%D. $10,400; 4%; four years
Business
1 answer:
NNADVOKAT [17]3 years ago
7 0

Answer: Option(d) is correct.

Explanation:

Given that,

Purchases a bond = $10,000

Bond pays at the end of the first, second, and third years = $400

Bond pays upon its maturity at the end of four years = $10,400

(i) Principal amount of this bond = $10,000

It is the issue price of the bond.

(ii) The coupon rate of the bond = \frac{Interest\ Received}{Face\ value\ of\ bond}\times100

                                                     = \frac{400}{10,000}\times100

                                                     = 4% per year

(iii) The term of this bond is 4 years, as it was matured after 4 years.

You might be interested in
Brendan and sean combined their love of baseball with a business venture. they purchased a small cart and began selling memorabi
EastWind [94]

Answer:

The correct answer is C

Explanation:

Environmental Circumstance is the term which is defined as the any circumstances which is forming the grounds of any alleged violation or liability under the Law or Permit of Environmental.

Under this situation, both of them started a business, which performed well in its 1st year, but in the second year the business does not perform well due to the horrible record of team and poor economic conditions. Therefore, this condition will be explained as the environmental circumstances are tough to control as well as are dynamic in nature.

8 0
2 years ago
Annual inspections and planned maintenance for automotive lifts have been required in American National Safety Standards since 1
Sunny_sXe [5.5K]
If this helps make me the brainiest please!!

; False
4 0
2 years ago
Read 2 more answers
In the context of choosing an appropriate advertising media, at present the brands that cater to the older generations are not s
Lemur [1.5K]

Answer:

Social media is a very good way of protesting because many many people go on social media sites and they can join in and instead of being abused by other people outside you can easily make a protest on video or a website.

6 0
3 years ago
Read 2 more answers
Which career pathway performs the tasks of rescuing people and giving first aid, writing parking tickets, and catching stray ani
Semenov [28]
Emergency and Fire Management services
6 0
3 years ago
Read 2 more answers
If the marginal propensity to consume is 0.8, full-employment output is $14 trillion, and current output is $13.5 trillion, then
CaHeK987 [17]

Answer:

c. Increase by $0.1 trillion

Explanation:

Investment spending Multiplier is a concept in economics that measure how a given change in investment increases output. So if current output of $13.5 trillion must increase to $14 trillion, we employ the multiplier formula to derive what amount of investment spending is needed to get $o.5trillion increase in output.

(change in output)/ (change in investment) = 1/(1-mpc)

Note that mpc means marginal propensity to consume.

Let change in investment = X

change in output = 14 - 13.5 = $0.5trillion

mpc = 0.8

(0.5)/X = 1(1-0,8)

0.5/X = 1/0.2

cross multiply

X = 0.1

Thus the needed change in investment is an increase of $0.1 trillion. In other words, if investment increases by $0.1 trillion, current output will increase from $13.5 trillion to $14 trillion.

3 0
3 years ago
Other questions:
  • Valuing assets at their fair value rather than at their cost is inconsistent with the: periodicity assumption. full disclosure p
    12·1 answer
  • Which are examples of free enterprise?
    5·1 answer
  • A posthypnotic suggestion is made ________ a hypnosis session and intended to be carried out in the future when the subject is _
    10·1 answer
  • Assume MU_c and Mu_d represent the marginal utility that a consumer gets from products C and D, the respective prices of which a
    15·1 answer
  • You can buy certain supplies in the European Union or in South Africa. For the moment, ignore other factors that can affect pric
    8·1 answer
  • The marginal rate of transformation of x for y represents:__________
    13·1 answer
  • Which of the following is not an independent contractor relationship? a. one between a corporation and its outside legal counsel
    6·1 answer
  • Jebali Company reports gross income of $340,000 and other property-related expenses of $229,000 and uses a depletion rate of 14%
    8·1 answer
  • Select the correct answer from each drop-down menu.
    8·1 answer
  • A company manufacturing shirts for a discount department store decides to create a new style of cotton shirt. The company would
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!