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
igor_vitrenko [27]
3 years ago
10

A perpetual bond with a par value of $1,000 and a coupon rate of 7.75% has a current market price of $900. What is its yield to

maturity
a. 9.32%
b. 8.33%
c. 7.92%
d. 9.45%
e. 8.61%
Business
1 answer:
photoshop1234 [79]3 years ago
6 0

Answer: e. 8.61%

Explanation:

This is a perpetual bond so the price is calculable by;

Price = Coupon / Yield to Maturity

Coupon = 7.75% * 1,000

= $77.50

900 = 77.50/ YTM

900 * YTM = 77.50

YTM = 77.50/900

= 8.61%

You might be interested in
What is the most significant reason for follwing an independent bussiness career by an entrepreneur​
Lyrx [107]
Fdycg ch chgchcfyuvu. Gcgchugygchuf
3 0
3 years ago
Which situation best illustrates how production decisions are made in a command economy
Usimov [2.4K]

Answer:

umm

Explanation:

4 0
3 years ago
Someone explain brainliest to me and why it is so hard to get and why it is so good :(
gayaneshka [121]
The brainliest answer is "the best answer". The person asking the question has to give the brainliest answer someone that answered. It's good because it gives you extra points to level up.
5 0
4 years ago
Read 2 more answers
A company's competitive strength scores pinpoint its strengths and weaknesses against rivals and Select one: a. point directly t
Montano1993 [528]

Answer:

e. point directly to the kinds of offensive/defensive actions it can use to exploit its competitive strengths and reduce its competitive liabilities.

Explanation:

A competitive strength assessment is defined as a weighted comparism of a business's strengths and weaknesses compared to the competition. The knowledge gained can be used to improve on weak areas.

Competitive advantage is the traits that set a business aside and gives it an edge over others. Competitive strength assessment evaluates the competitive advantages of a company. Therefore it shows the kinds of offensive/defensive actions it can use to exploit its competitive strengths and reduce its competitive liabilities.

8 0
3 years ago
Russell Retail Group begins the year with inventory of $64,000 and ends the year with inventory of $54,000. During the year, the
Svetach [21]
920$ k suwiekeneioeoemebeevhdhd
6 0
3 years ago
Other questions:
  • A​ company's _______ can be accessed only by employees or those with specific​ permission, whereas its​ _______ allows those out
    10·1 answer
  • A firm is currently producing 100 units of output per day. The manager reports to the owner that producing the 100th unit costs
    14·1 answer
  • In the equation S = 130 –2T, where S is hot chocolate sales and T is temperature, hot chocolate sales are:
    10·1 answer
  • What does sfb allowed mean in real estate?
    8·1 answer
  • Under a just-in-time inventory system, a company can reduce the amount of working capital it needs to finance inventory, freeing
    8·1 answer
  • ____________ involving interests in land. Contracts that cannot, by their terms, be within one year from the day after the date
    12·1 answer
  • Samz Off-Road Rage is a motorcycle shop that caters to off-road sports. The store carries top brand off-road motorcycles, and pa
    9·1 answer
  • If Newton Manufacturers has an accounts receivable turnover of 4.8 times and net sales of $7,812,379, what would its receivables
    5·1 answer
  • The incomes of trainees at a local mill are normally distributed with a mean of $1,100 and a standard deviation $150. what perce
    9·1 answer
  • When an organization introduces a new product, people do not all begin the adoption process at the same time, nor do they move t
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!