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noname [10]
3 years ago
6

BDJ Co. wants to issue new 18-year bonds for some much-needed expansion projects. The company currently has 9.4 percent coupon b

onds on the market that sell for $1,134, make semiannual payments, and mature in 18 years. Required: What coupon rate should the company set on its new bonds if it wants them to sell at par? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
Business
1 answer:
andrew11 [14]3 years ago
7 0

Answer:

The company should set a coupon rate of 7.79% on its new bonds if it wants them to sell at par.

Explanation:

face value = 1000

year = 18

current price = 1134

coupon value = 94

coupon rate = [(18*2 + 94/2)/(1000 + 1134)]*2

                     = 7.79%

Therefore, The company should set a coupon rate of 7.79% on its new bonds if it wants them to sell at par.

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A company’s past experience indicates that 60% of its credit sales are collected in the month of sale, 30% in the next month, an
Naddika [18.5K]

Answer:

$213,250

Explanation:

The calculation of cash inflow is shown below:-

                    Expected cash collections

                       For the month of June

Months       Sales              Percentage     Expected collections

April           $282,500        5%                    $14,125

May            $213,750         30%                  $64,125

June           $225,000        60%                 $135,000

Total collection in the month of June        $213,250

Here we assume Sales for April$282,500, May $213,750 and June $225,000.

Please ignore the last value as it is not relevant to the question

4 0
2 years ago
Bridges, shopping centers, and other jobs that take months or years to complete and involve the work of many are called ______.
s344n2d4d5 [400]

Bridges, shopping centers, and other jobs that take months or years to complete and involve the work of many are called Project

What is project?

A project is any endeavour that is carefully planned to accomplish a specific goal, whether it is done alone or with others. It may also involve research or design.

An alternate perspective describes a project as a series of connected tasks that must be completed within specific time, budget, and other constraints.

To learn more about Project

brainly.com/question/25009327

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3 0
1 year ago
If a family spends its entire budget in a given time frame, the family can afford either 80 cans of beans or 35 frozen pizzas. A
Fofino [41]

Answer:

7/16

Explanation:

Opportunity cost is the cost of the alternative forgone. It is also called the real cost. It is a concept in economics developed due to the fact that wants are unlimited but the resources available to meet the wants are limited. Hence a scale of preference would be drawn up for the wants in order of importance.

If the family can afford either 80 cans of beans or 35 frozen pizzas, the cost of a can of beans in terms of frozen pizza is 35/80 frozen pizza while the cost of a unit of frozen pizza in terms of beans is 80/35.

As such, the opportunity cost of one can of beans in terms of frozen pizza is 35/80 which is 7/16 in the lowest term

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3 years ago
Define and explain SMART?
SVEN [57.7K]
Being smart is something that's grown and cultivated, often by being curious enough to seek out new information and by recognising what you don't already know. Being smart is the ability to put ideas together, and create solutions to problems. Being smart is the ability to focus, concentrate, and communicate.
8 0
2 years ago
Which step minimizes project risks?
Semmy [17]

the answer i prefer is either A OR E ...cause without identifying the costs of a business u can't really run a bs successfully

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2 years ago
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