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Olenka [21]
2 years ago
8

What is the approximate yield to maturity and the exact yield to maturity (use a calculator) for the $1,000 semi-annual bond? As

sume this is issued in the United States: 10 years to maturity, 6 percent coupon rate, current price is $950.
Business
1 answer:
bagirrra123 [75]2 years ago
7 0

Answer:

6.67% and 6.694%

Explanation:

The computation of the approximate yield to maturity and the exact yield to maturity is shown below:

For Approximate yield to maturity it is

= 2 × ((Face value - current price) ÷ (2 × time period) + face value × coupon rate ÷ 2) ÷ (Face value + current price) ÷ 2)

=2 × (($1,000 - $950) ÷ (2 × 10) + $1,000 × 6% ÷ 2) ÷ (($1,000 + $950) ÷ 2)

= 6.67%

Now

the Exact yield to maturity is

= RATE(NPER,PMT,-PV,FV)

= RATE (10 × 2, 6% × $1000 ÷ 2,-$950,$1,000) × 2

= 6.694%

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Bates Company currently produces and sells 4,000 units of a product that has a contribution margin of $5 per unit. The company s
JulijaS [17]

Answer:

1,875 units.

Explanation:

Break-even is the point where a company neither generate profit not make loss, or we can say that it the sales at which the operating profit will be zero. It can be calculated for sales volume as-well-as dollar sales. Let's prepare a contribution income statement to calculate the break-even sales in quantity. We know that:

               EBIT / Operating Profit = (SP * Q) - (VC * Q) - Fixed Cost

where

SP = Selling Price

Q = Quantity / Units

VC = Variable cost

As it is understood that the operating profit at break-even is zero, simply put it in the above contribution income statements along with other figures given in the question.

⇒ 0 = (20 * Q) - (12 * Q) - 15,000

OR 15,000 / (20 - 12) = Q

⇒ Break-even units = Q = 1,875 units.

3 0
3 years ago
What is dismissal in business?​
Oliga [24]

Answer:

A dismissal is when you end an employer's contract, with or without notice. Dismissal from work also occurs when an employee's fixed-term contract expires and you choose not to renew it. When should I dismiss someone?

8 0
3 years ago
At its simplest, acquisition management can be viewed as:
Goryan [66]

Answer:

The correct answer is letter "D": project management plus operations management.

Explanation:

Acquisition management refers to all the efforts a company makes to obtain the materials necessary for the operations process stage to take place. Labor, land, and equipment are the main factors that the company must acquire to make its project become true. Under that scenario, project management and <em>operations management </em>are the core of the <em>acquisition management</em>.

3 0
3 years ago
Which of the following is the Federal Reserve unable to directly do
Alja [10]

Answer:

Increase and decrease the interest rate in the economy by a certain percentage

Explanation:

The Federal Reserve can influence the prevailing interest rates. However, it cannot increase or decrease the interest rate in the economy by a certain percentage. The Federal Reserve influences interests rate by adjusting the fed funds rate.  The feds fund rate is the interest rate that banks charge each other when they borrow from each other.

The Federal Reserve can lend to commercial banks, Adjust reserve requirements, and buy and sell U.S. securities.

3 0
3 years ago
if a bookseller buys a paperback book for 4$ and the book is labeled with a selling price of 6.99,how much is the dollar markup?
lbvjy [14]
Given:
Selling price = 6.99
Cost = 4

The dollar markup is computed by deducting the cost from the selling price.

6.99 - 4 = 2.99 is the dollar mark-up based on cost.

2.99/4 = 0.7475 x 100% = 74.75% is the percentage mark-up based on cost.

8 0
3 years ago
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