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weeeeeb [17]
3 years ago
14

Morin company's bonds mature in 8 years, have a par value of $1,000, and make an annual coupon interest payment of $65. The mark

et requires an interest rate of 6.1% on these bonds. What is the bond's price? a. $1, 024.74 b. $1, 147.71 c. $1, 116.97 d. $1, 280.93 e. $1, 096.47

Business
1 answer:
masya89 [10]3 years ago
3 0

Answer:

a. $1,024.74

Explanation:

In this question, we use the present value formula which is shown in the spreadsheet.  

The NPER represents the time period.

Given that,  

Future value or par value = $1,000

Rate of interest = 6.1%

NPER = 8 years

PMT = $65

The formula is shown below:

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

So, after solving this, the answer would be $1,024.74

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Nesterboy [21]

Answer:

Rock Inc.

Gross profit ratio:

= 0.70

Explanation:

a) Data and Calculations:

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Gross profit ratio = Gross profit/Sales

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= 0.69978

= 0.70

b) Rock's gross profit is the difference between the Sales Revenue and the Cost of Goods Sold.  It is the first profit point on the Income Statement.  It measures the company's ability to convert sales revenue into profit after accounting for the cost of goods sold.  This profit will cover the expenses incurred in running the business for the particular period.

7 0
3 years ago
On November 1, 2019, Davis Company issued $30,000, ten-year, 7% bonds for $29,100. The bonds were dated November 1, 2019, and in
Tcecarenko [31]

Answer: A.) $1,095

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Bond value = $30,000

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$2100 / 2 = $1050

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($30,000 - $29,100) / (10 × 2)

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8 0
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Answer: quality of work life programs

I hope this helps :D

6 0
2 years ago
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A demand deposit is an account with a bank or other financial institution that allows the depositor to withdraw his or her funds from the account without warning.

Answer is D. checking account as they allow the depositor to withdraw funds at any time.

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