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solong [7]
2 years ago
14

Lion Corp. has a $10,000 par value bond outstanding with a coupon rate of 4.8 percent paid semiannually and 22 years to maturity

. The yield to maturity on this bond is 4.2 percent. What is the dollar price of the bond? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Business
1 answer:
cupoosta [38]2 years ago
7 0

Answer:

$10,856.08

Explanation:

For computing the dollar price of the bond we have to applied the present value formula which is to be shown in the attachment below:

Given that,  

Future value = $10,000

Rate of interest = 4.2% ÷ 2 = 2.4%

NPER = 22 years  × 2 = 44 years

PMT = $10,000 × 4.8% ÷ 2  = $240

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

After applying the above formula, the dollar price of the bond is $10,856.08

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To test an herbal treatment for acid reflux disease, 100 volunteers who suffered from mild indigestion were randomly divided int
MAVERICK [17]

The correct answer is Only (A) and (C) are true

Explanation:

In a study or research, the control group is the one that does not receive a treatment. This means, in this case, the control group includes those who only drink the green tea without the herbs because they serve as a standard to measure the effects of the herbs. This makes statement A (The "only green tea" group serves as the control group) true; also, the group receiving the herbs is the experimental group.

On the other hand, a double-blind study is one in which the researchers and the participants ignore who is receiving the treatment, which guarantees there is objectivity. This occurs in the study presented because neither the researcher nor the subjects known who received the herbal mix. Thus, statement C (This study is double-blind) is true.

Finally, a study is classified as observational if there is not intervention but the researchers just observe participants to study a phenomenon. This does not occur in the study presented because there is an intervention through the herbal treatment, and therefore the study is not observational.

3 0
3 years ago
Ellie and Linda are equal owners in Otter Enterprises, a calendar year business. During the current year, Otter Enterprises has
ivolga24 [154]

Answer:

a and b

At the level of entity, otter pays no taxes either on the capital gains or on the business income.

Members will pay taxes on the capital gains and on business income.

c

The distribution of $25,000 each will be taxable in the hands of members as it is a dividend income.

Business Income and Capital gain of entity will have no impact for Linda and Ellie on their income tax returns.

Explanation:

a A partnership and b. An S corporation

At the level of entity, otter pays no taxes either on the capital gains or on the business income.

Members will pay taxes on the capital gains and on business income.

Taxable income of each member:

Ellie

Business Income is $55,000

Capital Gain is $7,500

Linda

Business Income is $55,000

Capital Gain is $7,500

Business Income = Gross Income - Operating expense

= $320,000 - $210,000

= $110,000

Note: Distribution of $25,000 will have no impact, as it only decrease their basis in the firm or company.

c. A C corporation

Ottor pays for the business income which amounts to $110,000 as well as the Capital gain of $15,000 at the applicable tax rates.

Members pays taxes only when they receive the distribution which is dividends.

The distribution of $25,000 each will be taxable in the hands of members as it is a dividend income.

Business Income and Capital gain of entity will have no impact for Linda and Ellie on their income tax returns.

7 0
3 years ago
Harrington Corporation produces three products, A, B, and C. Pertinent information on these products is as follows: ProductSelli
Over [174]

Answer:

Labour hours constraint :  2a + 2b + 3c ≤ 150

Explanation:

<em>Linear programming is a mathematical model that is used to solve a problem when a firm wants to maximize profit in the midst of multiple resource constraints.</em>

The following steps should be followed:

<em>Step 1: Define the variables</em>

a= the units of product Anchor

b=  the units of product Bearing

c= the units of product Casting

<em>Step 2: Define the constraints:</em>

The constraints represent the limitations which could be resource; in this case machine hours and direct labour hours. Since the constraint in focus is labour hours , so we only consider it.

Subject

Constraints:  Labour hours : 2a + 2b + 3c ≤ 150

Non-negativity constraints a, b , c ≥ 0

Since the total available labour hours is 150 hours then the total consumption hours can either be equal to or less than 150, but can never be higher than 150.

The labour hours constraint  is represented by 2a + 2b + 3c ≤ 150

8 0
3 years ago
A __________ is a private investment pool open only to wealthy or institutional investors that is exempt from sec regulation and
guajiro [1.7K]
Hedge fund is the right answer
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3 years ago
Although the lines are blurring, the "many-to-many" media transmission function is largely the domain of ___.
elena-s [515]

Answer: digital content transmitted online.

Explanation: This is a new type of communication that allows users to communicate with large audiences online simultaneously. This is done using social media platforms. This is often done in 2 ways: a platform where the audience can watch and react in real time, or a platform where the audience can only watch and listen. During a many - to - many transmission, of the people participating, each individual can post a message and each individual can receive the message. An example of this on social media right now is Instagram live.

6 0
3 years ago
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