1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
mario62 [17]
2 years ago
13

Trevor Price bought 10-year bonds issued by Harvest Foods fi ve years ago for $936.05. Th e bonds make semiannual coupon payment

s at a rate of 8.4 percent. If the current price of the bonds is $1,048.77, what is the yield that Trevor would earn by selling the bonds today?
Business
1 answer:
balu736 [363]2 years ago
5 0

Answer: 11.14%

Explanation:

Buying price of bond = $936.05 -PV

Years investment held = n= 5*2

Rate of the Coupon = C = 8.4%

Frequency of payment = m= 2

Annual coupon = $1,000 × (0.084/2) = $42

Realized yield = i

Selling price of bond = PB = $1,048.77 = FV

Enter N= 10, PMT = $42, PV= -$936.05$, FV = 1,048.77

Answer 5.425%

The effective annual yield can be computed as:

EAY = (1+ Quoted m)^m -1

= (1+0.054)^2 - 1

=(1.054)^2- 1

=0.1114= 11.14

You might be interested in
Discuss the link between polygamy and the dawn of agriculture
Wewaii [24]
Polgamy includes large number of family members so its easy to live by relying in agricultural methods than to buy food from the market
8 0
3 years ago
For each market listed below, determine whether it is best characterized as a Cournot oligopoly, Stackelberg oligopoly, or Bertr
gladu [14]

Answer:

a. Cournot oligopoly

b. Stackelber oligopoly

c. Bertrand oligopoly

Explanation:

a.

In Cournot's oligopoly model, companies will make similar decisions to their competitors, including the amount produced by each company. A perfect competition situation occurs, where there is no differentiation and the balance is not influenced by market supply and demand, but by the action similar to the competitor, companies estimate how much each competitor will produce and thus determine their level of production to increase. your profits.

b.

Stackelberg's model is based on imperfect competition, meaning there is no cooperation between companies, whichever is the most recognized with the highest brand value and the most capable of leading the market will be responsible for establishing the quantity produced, and so the others will observe the lead company's decision to decide their production quantity from there.

c.

Bertrand's model is also characterized as imperfect competition, where there is no cooperation and differentiation between products, in this model the strategic focus is on price rather than quantity. Consumer buying behavior will be influenced by the company that sets the lowest price, so equilibrium will occur when companies set the same price.

4 0
3 years ago
Intuitive decision making uses ____ to make decisions
rusak2 [61]

Answer:

Judgment.

Explanation:

Intuitive decision making uses ____ to make decisions. Judgment.

3 0
2 years ago
A prospective buyer is interested in purchasing a vacant lot in a rural subdivision. The buyer wishes to know about sewer assess
yanalaym [24]

Answer:

Real Estate Law Commissioner

Explanation:

Based on the information in the question it can be said that the source that provides all of this information is the Real Estate Law Commissioner. Other than creating and enforcing real estate law, the commissioner acts as the source that provides all of the information being requested in the question including sewer assessments, liens, utilities to the lot, blanket encumbrances and street maintenance.

If you have any more questions feel free to ask away at Brainly.

4 0
3 years ago
When employees at all occupational levels are asked to rank what is important to them, the order that put them in is: sufficient
bazaltina [42]

Explanation:

I don't understand the question. Maybe elaborate more.

6 0
3 years ago
Other questions:
  • describe the conversions of energy from when power is generated at a hydroelectric plant to when you cook food on an electric st
    8·1 answer
  • 4. You may think of your college or university as an organization that offers a line of different educational products. Assume t
    14·1 answer
  • Proprietorships are by far the most common type of business, yet they account for a very small percentage of all sales compared
    7·1 answer
  • A(n) __________ consists of one person at the top of the organization and many levels of managers who are responsible to that pe
    11·1 answer
  • Problem 14-17 Preparing a sales budget and schedule of cash receipts LO 14-2 Benson Pointers Corporation expects to begin operat
    10·1 answer
  • g The Deluxe Division, a profit center of Riley Manufacturing Company, reported the following data for the first quarter of 2019
    14·1 answer
  • Mitchell, Inc., is expected to maintain a constant 6.05 percent growth rate in its dividends, indefinitely. If the company has a
    5·1 answer
  • You have been asked to calculate the internal rate of return for an investment with the following cash flows, using the Excel IR
    14·1 answer
  • What are the factors influencing consumer behavior economic factor
    12·1 answer
  • The reason you want all property owners present at a listing appointment is that ________.
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!