Answer: 7.43%
Explanation:
The yield to maturity simply refers to the total return that is expected on a bond as long as the bond is held till it matures.
In this case, since the investor is indifferent between this municipal bond and an otherwise identical taxable corporate bond, the yield to maturity of the corporate bond will be:
4.83% = Corporate bond YTM × ( 1- 35%)
4.83% = Corporate bond YTM × 65%
Corporate bond YTM = 4.83% / 65%
Corporate bond YTM = 0.0483/0.65
Corporate bond YTM = 7.43%
The yield to maturity of the corporate bond is 7.43%
Answer:
Debbie Brooks is the one who will suffer the loss for the checks paid with Brook's forged signature.
Explanation:
Debbie Brooks is the one who will suffer the loss for the checks paid with Brook's forged signature because Brooks was supposed to be checking the statement regarding her accounts frequently . By that, she could have discovered that Tingstrom had taken $85,000 from her checking account with Transamerica Financial Advisors and hence be able to sue her.
After Debbies Brooks discovered what Martha had done, she should have have stopped the transaction immediately but instead another year passed before she filed a suit against Transamerica. Hence, she will be one who will suffer from the forged signature.
Answer:
$120,000
Explanation:
Given that,
stock options = 90,000
Each option can be exercised to acquire one share of $1 par common stock for $12.
Total Value of the option = stock options × fair value of the options
= $90,000 × $5
= $450,000
company to estimate that 10% of the options would be forfeited, so,
= 90% of Total Value of the option
= 0.9 × $450,000
= $405,000
2 out of 3 years = $405,000 × 2/3
= $270,000
= $150,000
Compensation expense (2019) = $270,000 - $150,000
= $120,000
Answer: c. capital loss.
Explanation:
A capital loss refers to a scenario where the price of a security falls below the price at which it was purchased. This is what happened to the Alpha Industries stock above as the price dropped from $39 to $37 which led to a capital loss of $2.
The dividends paid seem to outweigh the capital loss but we cannot be certain of this unless we know the tax rate being applied to the dividends and because these are usually high, the after tax dividends might have been lower the capital loss of $2.
Answer:
The answer to the question would be C
Explanation:
Without a doubt, the economic crisis has changed the way consumers approach the market for goods and services. In this new era, austerity, discounts and the search in different channels of the best price / benefit ratio dominate.
Of course, technology and the Internet are the best allies of the consumer who wants to be informed: thanks to smartphones, bar scanners, social networks or websites that compare prices or offer discounts, we are the buyers with more prior information on what we want or need to acquire.
