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Crazy boy [7]
3 years ago
6

Bond A has a 9% annual coupon, while Bond B has a 7% annual coupon. Both bonds have the same maturity, a face value of $1,000, a

n 8% yield to maturity, and are noncallable. Which of the following statements is CORRECT?a. Bond A's current yield is greater than that of Bond B. b. If the yield to maturity for both bonds immediately decreases to 6%, Bond A's bond will have a larger percentage increase in value. c. Bond A trades at a discount, whereas Bond B trades at a premium. d. If the yield to maturity for both bonds remains at 8%, Bond A's price one year from now will be higher than it is today, but Bond B's price one year from now will be lower than it is today. e. Bond A's capital gains yield is greater than Bond B's capital gains yield.
Business
2 answers:
harina [27]3 years ago
6 0

Answer:

E

Explanation:

Since the annual coupon, that is the discount enjoyed on this service is higher for A than B that is 9% against 7%. Bond A's capital gains yield is greater than Bond B's capital gains yield.

klasskru [66]3 years ago
5 0

Answer:

Anwer is E that is Bond A's capital gains yield is greater than Bond B's capital gains yield.

Explanation:

Since the yearly coupon, that is the markdown delighted in on this administration is higher for A than B that is 9% against 7%. Security A's capital increases yield is more noteworthy than Bond B's capital additions yield.

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In the case of existing customers, ________ gives the information on the date and type of contact,
TEA [102]

Answer:

performance data

Explanation:

It seems that the question is structured a little off, but based on the information that is provided the answer that would go in the blank area would be performance data. As mentioned in the question performance data provides all the information regarding a single transaction, including the date and type of contact that inquired about the product in question. Which is what is being described in the question as well as answers a) and b) which i believe is part of the initial question and not answer choices.

4 0
3 years ago
Your birthday is next week and instead of other presents, your parents promised to give you $2,200 in cash. Since you have a par
vfiekz [6]

Answer:

Interest revenue from the CD 470.04

Explanation:

we will calcualte the future value of the CD and from there calculate the interest:

Principal \: (1+ r)^{time} = Amount

Principal 2,200.00

time 8.00 (2 years x 4 quarter per year)

rate 0.02450 (9.8% divided by 4 quarter per year)

This divisions and multiplication are done to make time and rate be express i nthe same metric.

2200 \: (1+ 0.0245)^{8} = Amount

Amount 2,670.04

Now, we calculate interest revenue:

Amount - Principal

2,670.04 - 2,200 = 470.04

3 0
3 years ago
Gains from remeasuring a foreign subsidiary’s financial statements from the local currency, which is not the functional currency
Archy [21]

Answer:

Gains from remeasuring a foreign subsidiary’s financial statements from the local currency, which is not the functional currency, into the parent company’s currency should be reported as a(n):_______

d. Part of continuing operations.

Explanation:

Gains from the remeasurement of a subsidiary's financial statements from the local currency to the parent company's currency should be reported as part of the continuing operations.  It forms part of the current income.  They are not deferred.  It is translation adjustments that are reported as other comprehensive income, not gains from remeasurement. Remeasurement gains from a subsidiary's local currency to the parent's are also not extraordinary items.

4 0
3 years ago
15. The Eller Mutual Fund had a Net Asset Value (NAV) per share of $17.50 on January 1, 2019. On December 31, 2019 the fund’s NA
klio [65]

Answer:

The rate of return is 21.26%

Explanation:

Before calculating the return in percentage terms, it would be more appropriate to start with computing the return on the mutual fund in dollars ' terms.

Return in dollars terms;

Net Asset Value on 31 December 2019              $19.47

less

Net Asset Value on 1 January 2019                    ($17.50)

return  on NAV                                                      $1.97

Add:

Income distributions                                             $0.75

Capital gains distributions                                     $1.00

Total return on mutual fund                                   $3.72

Rate of return=total return mutual fund/Opening net asset value

rate of return =$3.72/$17.50

                       =21.26%

7 0
3 years ago
Assume Germany can either produce 3 bushels of wheat or 6 bushels of corn in a set period of time, and the United States can pro
Sidana [21]

As per the given scenario, the Germany nation has a comparative advantage in producing corn.

<h3>What is comparative advantage?</h3>

Comparative advantage is when one country can produce a good at a lower cost in terms of other goods.

As Germany can produce 6 bushels of corn and the united states can produce 3 bushels of corn in a set period, Germany has a comparative advantage in producing corn.

Learn more about Comparative advantage here:

brainly.com/question/13221821

#SPJ1

6 0
2 years ago
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