Answer:
By January 1, 2006 the price of the bonds=$50.675 M
Explanation:
The price of a bond at any given time can be expressed as;
Current price=(Annual coupon×((1-(1/(1+r)^i)/r)+ (face value/(1+r)^i)
where;
i-maturity period, from 2005-2006=1 year
r-nominal yield to maturity rate=8%
coupon rate=10%
face value=$50 M
Annual coupon=(10/100)×50 M=5 M
replacing;
Current price=Annual coupon×((1-(1/(1+r)^i)/r + face value/(1+r)^i
(5 M×((1-(1/(1+0.08)^1)/0.08)+50/(1+0.08)^1
(5 M×(1-0.93)/0.08)+46.3
(5×0.875)+46.3=4.375+46.3=50.675 M
By January 1, 2006 the price of the bonds=$50.675 M
Answer:
Date Account Title Debit Credit
Feb 13 Cash $10,975
Sales $10,000
Sales Tax Payable $975
(10000 * 9.75%)
Answer:
True
Explanation:
Market offerings can be defined as a company's complete offer to its customers and target market, including the product it sells, delivery, technical support, etc.
Market myopia happens when the company has an inward looking approach, the company wants to sell what they produce, not what consumers' need and want. This will eventually lead to business failure since the company will not be able to adapt to market changes, e.g. Nokia insisted on manufacturing regular cellphones instead of smartphones because it was the world leader in the manufacturing of regular cellphones.
Yes u can get negative cost of equity
Answer:
c. Implement a plan of action.
Explanation:
You already made your decision, so you've already considered all the outcomes and checked whether you have the resources needed for this. So the only thing left to do is to implement the plan of action
