Answer:
Option (b) is correct.
Option (b) is correct.
Explanation:
1. Pure Expectation Theory :
Each option must provide the same amount of cash at the end of 2 years, which implies that,
CF at the end of year 2 = CF at the end of year 1
[tex](1+0.0738)^{2} = (1+0.0492) (1+x)
[tex\]
Hence, x = 9.90
so the market's estimate of the one year Treasury rate one year from now it will be 9.90%
2. In case of maturity risk premium, the cash flow of two year treasury security will reduce, it will be:
= 7.38 - 0.40
= 6.98.
Hence, Treasury Rate will be as follows:
CF at the end of year 2 = CF at the end of year 1
[tex](1+0.0698)^{2} = (1 + 0.0492) (1 + x)[tex\]
x = 9.080%
Answer:
c. structure that supports the real property of a creditor.
Explanation:
Answer:
The correct option is E ,a gain of $2000
Explanation:
A carrying value of $203000 implies that Chang industries currently has obligation of paying bondholders $203000 sitting in the bond payable account.
From the above, to settle the obligation a cash outflow of $203,000,hence paying only $201000 means the company pays $2000 less than it ought to pay,then a gain of $2000 is recorded.
The double entries for this transaction is given below
Dr Notes payable account $203000
Cr cash account $201000
Cr gain on redemption $2000
The gain is written to profit or loss in the period of redemption as it is a realized gain.
Answer: problem-solving teams
Explanation: group of individuals assembled to work on a project that involves resolving one or more issues that have already arisen or to deal effectively with issues as they arise. In a business context, a problem solving team will typically be formed for a limited time frame incorporating staff from different organizational levels with various relevant skill sets.Problem Solving Teams are temporary structures that bring together leaders and team members from across the organization to focus on solving a specific problem. The benefits are many, including not just a solved problem, but also a more resilient organization, a stronger social network and a growing cohort of problem solvers with increased skills and abilities. This approach draws from many influences, including complexity science, social network theory, military doctrine, flight crews, and emergency responders. We have been experimenting with this approach across several areas that involve multiple geographies and multiple functions.
Answer:
see below
Explanation:
1. Closing price: The amount a stock ended at for the day
2. Limited partnership: Investing in a business without running it
3. Flipping: Fixing up a property to sell it for a profit
4. Maturity date: The date the bond expires and the principal is due
