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
lakkis [162]
2 years ago
12

Is this bond currently trading at a​ discount, at​ par, or at a​ premium? Explain. ​(Select the best choice​ below.) A. Because

the yield to maturity is less than the coupon​ rate, the bond is trading at a discount. B. Because the yield to maturity is greater than the coupon​ rate, the bond is trading at par. C. Because the yield to maturity is less than the coupon​ rate, the bond is trading at a premium. D. Because the yield to maturity is greater than the coupon​ rate, the bond is trading at a premium.
Business
1 answer:
Dmitrij [34]2 years ago
7 0

A. Because the yield to maturity is less than the coupon​ rate, the bond is trading at a discount. FALSE

<u>Explanation:</u> If the yield to maturity (YTM) is less than the Coupon rate (CR) the bond is trading at a premium

B. Because the yield to maturity is greater than the coupon​ rate, the bond is trading at par. FALSE

<u>Explanation:</u> If the yield to maturity (YTM) is greater than the Coupon rate (CR) the bond is trading at a discount.

C. Because the yield to maturity is less than the coupon​ rate, the bond is trading at a premium. TRUE

D. Because the yield to maturity is greater than the coupon​ rate, the bond is trading at a premium. TRUE

You might be interested in
The relationship between pepe's pizzeria and its customers functions at which level of the relationship marketing continuum?
maks197457 [2]

The relationship between Pepe’s pizzeria and its consumer functions at the level of the relationship marketing continuum in the social interaction. This level focuses more on the relationship and interaction of the people or the society of which the pepe’s pizzeria and the consumers are in the level of social interaction as they establish a relationship between the two parties.

8 0
3 years ago
Read 2 more answers
Newhard Company assigns overhead cost to jobs on the basis of 125% of direct labor cost. The job cost sheet for Job 313 includes
erik [133]

Answer:

A) manufacturing costs= $37,000

B) Unitary cost= $37

Explanation:

Giving the following information:

Newhard Company assigns overhead costs to jobs based on 125% of direct labor cost.

The job cost sheet for Job 313 includes $10,000 in direct materials cost and $12,000 in direct labor cost.

A total of 1,000 units were produced in Job 313.

A) manufacturing costs= direct materials + direct labor + manufacturing overhead

manufacturing costs= 10000 + 12000 + (12000*1.25)= $37,000

B) Unitary cost= 37000/1000= $37

5 0
3 years ago
Resource Room prints custom training material for corporations. The business was started January 1, 2017. The company uses a nor
nadya68 [22]

Answer:

Budgeted Overhead Cost          266,000          

Budgeted Labor Cost                   190,000          

Recovery rate                       =266000/190000          

Recovery rate per labor cost     1.40          

Actual Material                             158,000          

Actual labor                                       175,000          

WIP closing                         Material    Labor          

Job 11                                4,720    5,700          

Job 12                                 5,090    6,900          

Total                                  9,810    12,600          

Transfer to Finished= Total-WIP            

Actual Material                 148,190          

Actual labor                         162,400          

Category                    Finished    WIP           Total        

Material                             148,190     9,810          158,000        

Labor                             162,400     12,600   175,000        

Overhead-Recovered      227,360      17,640     245,000

@ 140% of labor        

Balance before                537,950       40,050     578,000

adjustment to overhead

under-allocation        

Option 1-Underallocated     2,200                                     2,200  

overhead (247200-245000)

     

Balance after adjusting      540,150       40,050     580,200

overhead under-allocation        

Option 2-Underallocated        2,042           158      2,200

overhead in overhead allocated rate

       

2200*227360/245000            

2200*17640/245000            

Balance before adjustment          537,950          40,050     578,000

to overhead under-allocation        

Balance after adjusting                 539,992          40,208     580,200  

overhead under-allocation          

g. the option 2 will be chosen because a careful look at the underallocated overhead is similar to 2017 so the charge should be levied on all activity

Explanation:

Budgeted Overhead Cost          266,000          

Budgeted Labor Cost                   190,000          

Recovery rate                       =266000/190000          

Recovery rate per labor cost     1.40          

Actual Material                             158,000          

Actual labor                                       175,000          

WIP closing                         Material    Labor          

Job 11                                4,720    5,700          

Job 12                                 5,090    6,900          

Total                                  9,810    12,600          

Transfer to Finished= Total-WIP            

Actual Material                 148,190          

Actual labor                         162,400          

Category                    Finished    WIP           Total        

Material                             148,190     9,810          158,000        

Labor                             162,400     12,600   175,000        

Overhead-Recovered      227,360      17,640     245,000

@ 140% of labor        

Balance before                537,950       40,050     578,000

adjustment to overhead

under-allocation        

Option 1-Underallocated     2,200                                     2,200  

overhead (247200-245000)

     

Balance after adjusting      540,150       40,050     580,200

overhead under-allocation        

Option 2-Underallocated        2,042           158      2,200

overhead in overhead allocated rate

       

2200*227360/245000            

2200*17640/245000            

Balance before adjustment          537,950          40,050     578,000

to overhead under-allocation        

Balance after adjusting                 539,992          40,208     580,200  

overhead under-allocation          

g. the option 2 will be chosen because a careful look at the underallocated overhead is similar to 2017 so the charge should be levied on all activity

3 0
3 years ago
In a manufacturing business, the ________ transforms finished goods into cash.
Rzqust [24]
Raw materials transform finished goods into cash.
5 0
2 years ago
Whatever, Inc., has a bond outstanding with a coupon rate of 5.87 percent and semiannual payments. The yield to maturity is 6.9
leonid [27]

Answer:

Market price of the bond = $912.53

Explanation:

YTM = 6.90%

Coupon rate = 5.87%

Number of compounding per year = 2

YTM Per perid = 0.0345

Years = 13

Number of period = 26 (Nper)

Par value = 1,000

Semi annual coupon rate = 0.02935

The semi annual coupon payment = Par value * Semi annual coupon rate = 1,000 * 0.02935 = $29.35

Market price of the bond = PV(YTM, Nper, Semi annual coupon payment,Par value)

Market price of the bond = $912.53

6 0
3 years ago
Other questions:
  • Two investment advisers are comparing performance. Adviser A averaged a 20% return with a portfolio beta of 1.5, and adviser B a
    7·1 answer
  • In a make-or-buy decision, a. the company must choose between expanding or dropping a product line. b. the company must choose b
    9·1 answer
  • Chelsea has vivid childhood memories of Saturday mornings when her father used to take her out to a restaurant for breakfast. It
    9·1 answer
  • Which of the following statements about taxes is FALSE?
    10·1 answer
  • If a firm's variable cost per unit estimate used in its base case analysis is $50 per unit and they anticipate the upper and low
    14·1 answer
  • A successful lease agreement is created so that both the lessee and lessor reap some benefits. Tax and depreciation write-offs a
    10·1 answer
  • North Inc. is a calendar-year C corporation, accrual-basis taxpayer. At the end of year 1, North accrued and deducted the follow
    11·1 answer
  • Fixed vs variable cost preference. bates operates a kiosk at a local mall, selling duck calls for $30 each. the variable cost to
    6·1 answer
  • I forgot my user name and password. Can u help me?
    10·2 answers
  • Which of the following is true of the BCG matrix approach. A) It is inexpensive to implement. B) It does not consider relative m
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!