Answer:
$1,000
Explanation:
A bond's par value is the bond's face value or maturity value. This is the amount that the bondholder will collect once the bond matures. The coupon is calculated by multiplying the bond's par value times the coupon rate (interest rate). In this case, the coupon rate is 9% / 2 = 4.5% because it pays a semiannual coupon.
coupon = bond's par value x coupon rate
$45 = bond's par value x 4.5%
bond's par value = $45 / 4.5% = $1,000
Answer:
Units completed= 38,400
Units in process= 5,600
Explanation:
Giving the following information:
Beginning inventory= 0
During January:
44,000 units started
30,000 completed
14,000 remained in the process
The ending inventory in the Mixing Department was 60% complete concerning conversion costs.
<u>To calculate the equivalent units under the weighted average method, we need to use the following structure:</u>
Weighted average:
Beginning inventory= 0
Units completed in the period= 30,000
Ending inventory WIP= 14,000*0.6= 8,400
Units completed= 38,400
Units in process= 5,600
Answer:
Coca-Cola sells its products to canning and bottling companies, distributors, wholesalers and retailers.
Explanation:
These channels then distribute them to other retailers, such as gas stations, convenience stores, supermarkets and restaurants.
Answer:
Expected return = 21.9
%
Explanation:
<em>The capital asset pricing model is a risk-based model. Here, the return on equity is dependent on the level of reaction of the the equity to changes in the return on a market portfolio. These changes are captured as systematic risk. The magnitude by which a stock is affected by systematic risk is measured by beta</em>.
Under CAPM, Ke= Rf + β(Rm-Rf)
Rf-risk-free rate (long-term i.e 10 year treasury bill rate), β= Beta, Rm= Return on market., Ke- Return on equity (cost of equity)
This model can be used to work out the cost of equity as follows:
Ke= Rf + β (Rm-Rf)
Rf- 5%, β= 1.3, Rm- 18, E(r)- ?
Ke = 5% + 1.3×(18-5)%=21.9
%
Ke = 21.9
%
Expected return = 21.9
%
Answer:
Total Insurance need $166,500
Explanation:
Life insurance [DINK method]
Amount mortgage loan (half) $145,000
Auto loan(half) $7,500
Credit card balance(half) $2,000
Other debts(half) $4,000
Funeral cost $8,000
Total Insurance need $166,500
