To strengthen requirements from basel ll on the bank’s minimum capitol ratios.
Answer:
The bond equivalent yield to maturity = 8.52%
The effective annual yield to maturity of the bond = 8.71%
Explanation:
Here, we start with calculating the yield to maturity YTM using the financial calculator
To find the YTM, we need to put the following values in the financial calculator:
N = 20*2 = 40;
PV = -950;
PMT = [8%/2]*1000 = 40;
FV = 1000;
Press CPT, then I/Y, which gives us 4.26
So, Periodic Rate = 4.26%
Bond equivalent yield = Periodic Rate * No. of compounding periods in a year
= 4.26% * 2 = 8.52%
effective annual yield rate = [1 + Periodic Rate]^(No. of compounding periods in a year) - 1
= [1 + 0.0426]^2 - 1 = 1.0871 - 1 = 0.0871, or 8.71%
Answer:
Doing the right task is known in management as performance.
Explanation:
Management ensures that the right tasks are performed by coordinating the various activities that help it to achieve goals. It also plans the right tasks to be carried out in order to achieve set goals and objectives. In doing all these, it also considers the cost and benefit to be incurred and derived respectively from executing its responsibilities. Management is always interested in minimizing costs while maximizing benefits. Management is also concerned with efficiency, by which it minimizes the wastage of resources (such as time, money, and efforts) and ensures optimum utilization of all its resources.
Answer:
b. has no-par value stock.
Explanation:
Additional paid-in capital represents the amount of money that shareholders have paid for their shares of stock, in excess of the par value of the stock. This is most likely to occur with no-par value stock, which has no set value assigned to each share.
Answer: -$20,529.60
Explanation:
Net Present value of Y = Present Value of Inflows - Present value of Outflows
Present Value of Y inflows
$32,000 inflows for 5 years. This is therefore an annuity
Present value of annuity = Annuity * Present value interest factor, 9%, 5 years
= 32,000 * 3.8897
= $124,470.40
Net Present Value = 124,470.40 - 145,000
= -$20,529.60
