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
lubasha [3.4K]
2 years ago
5

Seven years ago, Goodwynn & Wolf Incorporated sold a 20-year bond issue with a 14% annual coupon rate and a 9% call premium.

Today, G&W called the bonds. The bonds originally were sold at their face value of $1,000. Compute the realized rate of return for investors who purchased the bonds when they were issued and who surrender them today in exchange for the call price.
Business
1 answer:
iogann1982 [59]2 years ago
5 0

Answer:

14.82%

Explanation:

initial investment = $1,000

annual coupon = $140 (7 coupons received)

selling price = $1,090

the easiest way to determine the realized rate of return is to use a financial calculator or excel spreadsheet, and calculate the IRR: 14.82%

the cash flows are:

  • -1000
  • 140
  • 140
  • 140
  • 140
  • 140
  • 140
  • 1230

You might be interested in
vWhat are the most likely consumer market segments for robots? Which consumer characteristics would be important to determine th
PolarNik [594]

Answer:

1- The most relevant segments are young adults between 20-30 years old who generate their own resources because the robots would be expensive.

2- The most outstanding characteristics of consumers would be:

  • People who like technology.
  • That their income level reaches to acquire a robot.
  • That they are adaptable people to the changes

3- Company robots for home cleaning, complete cleaning and cooking could be created.

8 0
3 years ago
Q 4.24: At the end of March, Paul’s Painting hired five temporary employees to work on a project that began on April 5 and ended
Nookie1986 [14]

Answer:

At the end of March, Paul’s Painting hired five temporary employees to work on a project that began on April 5 and ended on April 28. Paul’s received 100% of the total payment for the project on May 3. In this situation, both cash basis accounting and GAAP require that Paul’s recognize the employees’ total salary expense in April.

Explanation:

A collection of accounting rules and standards usually followed, for financial reporting is known as GAAP (generally accepted accounting principles) .

For businesses, GAAP needs accrual accounting.

Accrual accounting operates on the basis of matching both revenue and expenses. Revenues and the related expenses occur concurrently, though the cash transaction concerning thereto might happen in some other period.

In the situation given in the question, the revenue from the project is earned in April, subsequently, the salary expense related to that work should also be recognized in the same period due to an accrual basis.

7 0
3 years ago
Read 2 more answers
Heidebrecht Design acquired 20% of the outstanding common stock of Quayle Company on January 1, 2014, by paying $800,000 for the
DedPeter [7]

Answer:

Detailed step wise solution is given below:

4 0
3 years ago
1 point
gavmur [86]

Answer:

Find attached statement and the question which question number 10.

The correct option is C,$90

Explanation:

In the statement you would notice that the balance transfer from another credit card was $785,upon which balance transfer levy of  $23.55 was  charged(Section 7)

Intuitively, the percentage of balance transfer charge is $23.55 divided by the amount of balance transfer i.e $785

balance transfer charge(%)=$23.55/$785=3%

However, if the balance transfer were $3000,the charge is 3% of $3000 i.e $90 ($3000*3%).

The correct option then is C,$90

Download pdf
8 0
3 years ago
When using the indirect approach to organize your negative news message, you should open with a(n) ________.
miskamm [114]

There are five different methods to begin a statement with unfavorable news, but the most appropriate one is to use a buffer statement.

<h3>What are the statements?</h3>

Statements are sentences that can either be true or untrue. As a result, a statement is a claim that something is true or false.

The Four Types of English Sentences:

  • the sentence that makes a message (a statement)
  • interrogative phrase (question)
  • the sentence that must be completed (command)
  • exclamatory phrase (exclamation)

As a result, in the following scenario, you should utilize the buffer statement to open any unfavorable news.

Learn more about the statement:

brainly.com/question/17238106

#SPJ1

3 0
2 years ago
Other questions:
  • Werkley Inc. is a product manufacturing company. It relies on its suppliers for raw materials, on the labor market for its perso
    15·1 answer
  • Suppose that Burger King wanted to evaluate social media content to find out how well its most recent advertising campaign was b
    13·1 answer
  • A small business is currently using a paper-based system for billing, which is slow and error-prone. Which system upgrade will m
    10·1 answer
  • A company has a capital structure that includes 30% debts, 10% preferred stock, and 60% common stock. The before-tax cost of deb
    6·1 answer
  • Choose the option that best matches the description given.
    7·2 answers
  • Asset management ratios are used to measure how effectively a firm manages its assets, by relating the amount a firm has investe
    12·1 answer
  • Why are credit card companies more willing to offer a young person a secure
    12·1 answer
  • the houston metro area represents which problem that exists in creating functional mass transit systems in texas?
    11·1 answer
  • Since world war ii, the federal government's share of total government expenditures has been between?
    9·1 answer
  • darcy spends 5000 in bank account that does not earn any interest every week sha withdraws 10 percent of the money in the accoun
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!