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wel
3 years ago
8

Navarro, Inc., plans to issue new zero coupon bonds with a par value of $1,000 to fund a new project. The bonds will have a YTM

of 5.43 percent and mature in 20 years. If we assume semiannual compounding, at what price will the bonds sell?
Business
1 answer:
pogonyaev3 years ago
4 0

Answer:

Bond Value is $347.30

Explanation:

Zero coupon bond does not offer any return on the bond that's why it is issued on deep discount value.

Number of years = n = 20 years

Face value = F = $1,000

YTM = 5.43%

Price of the Bond = [ F / ( 1 + r )^n ]

Price of the Bond =[ $1,000 / ( 1 + 5.43% )^20 ]

Price of the Bond =[ $1,000 / ( 1.0543 )^20 ]

Price of the Bond = 347.30

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Your portfolio has a beta of 1.28. The portfolio consists of 35 percent U.S. Treasury bills, 31 percent Stock A, and 34 percent
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Answer:

2.85

Explanation:

U.S. Treasury bills are a risk-free asset, and thus have a beta of zero. Since Stock A has a risk-level equivalent to that of the overall market, its beta is one. Therefore, the beta for Stock B can be found by:

1.28=0.35\beta_{T}+0.31\beta_{A}+0.34\beta_{B}\\1.28 = 0.35*0+0.31*1+0.34\beta_{B}\\\beta_{B}=\frac{1.28-0.31}{0.34}\\ \beta_{B}=2.85

The beta of Stock B is 2.85.

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3 years ago
Leonore's Luxury Leather Footwear Corp. conducted a SWOT analysis and determined that at least 57% of consumers would demand hig
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Option C

This vision of what could happen is known as a forecast

<h3><u>Explanation:</u></h3>

Forecasting and analysis SWOT are promoting accomplices in the business venture. SWOT recognizes the procedures practiced for designing a particular business model according to the company’s possible means and skills, including the circumstances in which the company serves.

It observes positive and negative circumstances both inside and outside the firm, that influence its success. The analysis benefits the company forecast or prognosticates varying trends that help the decision-making process of any business. Precise forecasting reduces risk and provides a measurable improvement in the efficiency of the decisions.

6 0
3 years ago
Stone Pine Corporation, a calendar year taxpayer, has ending inventory of $160,000 on December 31, 2018. During the year, the co
bezimeni [28]

Answer:

The answer is $215,000

Explanation:

Cost of goods sold equal:

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To find beginning inventory at January 1, 2018, lets rearrange the formula:

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Cost of sales is $470,000

Purchases is $415,000

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Therefore, beginning inventory at January 1, 2018 is

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3 years ago
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Answer:

No. The classified document should not be shared with Carlos

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Based on the information given the classified document should not be shared with Carlos because Carlos is not part of the Project X team and he does not have a "need-to-know" secondlly no one else is supposed to be given automatic access to the Secret document in my possession related to Project X or the classified information solely because the person is my superior or because of the person rank, position or security clearance.

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3 years ago
If the U.S. capital markets are not informationally efficient, ______.A. the markets cannot be allocationally efficientB. system
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Answer:

A. the markets cannot be allocationally efficient

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3 years ago
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