A bond will sell at premium when its coupon interest rate <u>exceeds the market interest rate on similar bonds.</u>
Explanation:
Premium bonds are the bonds that are trading above par in the market. Further on the bond would trade on premium only when it offers a coupon rate exceeding the market rate that is being offered on similar bonds.
In simple lay man's language, the term premium and discount can be understood to carry a crude definition of high and low demand. When the demand would be high, the bonds would fetch a higher value and vice-versa.
Thus Bonds would highly be valued when it is paying interest that is greater than the interest prevailing in the market contemporarily.
Go to the stock market holders, or look it up online
Hope this helps!
Answer:
$50
Explanation:
Dividend discount model (DDM) is used to calculate intrinsic value of a stock. Since the dividends are expected to grow indefinitely, the formula will be as follows;
Price (P0) = D1 / (r-g)
where D1 = Next year's dividend = 2.50
r = required rate of return = 12% or 0.12 as a decimal
g = dividend growth rate = 7%
Price (P0) = 2.50/(0.12-0.07)
P0 = 2.50 /0.05
P0 = $50
The main categories that an organization can fall into that would require them to comply with hipaa rules are covered entities and business associates.
<h3>What is HIPAA rule?</h3>
HIPAA rule simply means national standards to protect individuals medical records and other health information.
In this case, the main categories that an organization can fall into that would require them to comply with hipaa rules are covered entities and business associates.
Learn more about HIPAA rule on:
brainly.com/question/11069745
