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Natalija [7]
4 years ago
14

A coupon bond that pays interest annually has a par value of $1,000, matures in 5 years, and has a yield to maturity of 12%. If

the coupon rate is 9%, the intrinsic value of the bond today will be _________.

Business
1 answer:
mihalych1998 [28]4 years ago
7 0

Answer:

$891.86

Explanation:

For computing the intrinsic value of the bond we have to use the present value formula i.e to be shown in the attachment below:

Provided that

Future value = $1,000

Rate of interest = 12%

NPER = 5 years

PMT = $1,000 × 9% = $90

The formula is shown below:

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

So, after applying the above formula, the  intrinsic value of the bond today will be $891.86

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Once implemented, managers need ________ to keep strategic plans on track.
kirill115 [55]

To keep strategic plans on track manager needs to utilize control system

  • Control system can as well be regarded as Strategic control, this  process is been utilized by the manager of the organization to control the formation as well as to execute strategic plans.
  • it can be regarded as a specialized form of management control,
  • However, control system could be a reactive or a proactive control.
  • Reactive management control can be regarded as one whereby, managers find a way to solve the problems once it arises,.
  • proactive management control is when there has been a  plan ahead so as to avoid or manage problems.

Therefore, manager need to be able to be in control of the management.

Learn more at:brainly.com/question/13341183?referrer=searchResults

3 0
3 years ago
Mario's Home Systems has sales of $2,770, costs of goods sold of $2,110, inventory of $494, and accounts receivable of $425. How
Shalnov [3]

Answer:

D) 85.45 days

Explanation:

Days sales in inventory is calculated by dividing total inventory by COGS, and then multiplying that by 365 days:

(inventory / COGS) x 365 = ($494 / $2,110) x 365 = 85.45

Days sales in inventory measures the average number of days that it takes for a company’s inventory to be realized into sales within the year.

8 0
4 years ago
Determine which are risks that discourage international investing and which are opportunities.
andrey2020 [161]

Answer:

<u>Opportunities</u>

Faster and more information

When information is bountiful and disseminated speedily, investors are more confident that the financial system is strong and will be more likely to invest.

Liquidity,

Investors love being able to change their assets to physical money as soon as possible. If this is hard in a country, they will not invest.

Change in government restrictions

When Government restrictions that limit opportunities are lifted, investors come in larger numbers to take advantage of these new opportunities.

<u>Risks </u>

Financial services outside of regulation

Investors would prefer that the law is able to protect their assets and so will shun opportunities outside regulation.

Hot money

If there is too much Hot money going in and out of the economy, investors will be worried that too much money could leave the country at the slightest change in interest rates.

Information gap

Information should be widely available. If it is usually concealed from international partners, this can damage portfolios.

Interrelated international capital market

Independent Capital markets are able to withstand problems going on in other capital markets. When a nation's capital market is too interrelated with others this is risky.

Reducing risk reduction

A nation acting to reduce measures that reduce risk is a red flag. Investors want the least risky asset for a certain amount of return.

3 0
3 years ago
Appling Enterprises issued 10% bonds with a face amount of $560,000 on January 1, 2021. The bonds sold for $515,071 and mature i
brilliants [131]

Answer:

The overview of the given situation is described in the explanation segment below.

Explanation:

The Journal entry is give below:

<u>          </u><u>  Value at              Current           Decrease in           Paid               [A+B]</u>

<u>           beginning             value                value [V]             interest             ($)</u>

<u>                ($)                       ($)                       ($)                       ($)        Decrease</u>

<u>Mar </u><u>     515,071            540,000               24,929                    -               24,929</u>

<u />

June  540,000           520,000             -20,000              28,000            8,000

<u>                                                                                    (</u>560,000\times 10 \percent\times \frac{6}{12})

<u>Sept</u><u>    520,000           515,000               -5,000                    -                  5,000</u>

<u />

Dec     515,071             522,000               6,929                 56,000         62,929

<u>                                                                                    (</u>560,000\times 10 \ percent)

5 0
4 years ago
A good business meets ________ needs.
serg [7]

Answer:

b specialized

Explanation:

it the one that makes the most sense

3 0
4 years ago
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