SUB TO thunderoflight12 and i WILL GET IVE BRAINLIST FOR IT

You are considering a 10-year, $1,000 par value bond. Its coupon rate is 8%, and interest is paid semiannually. If you require a

Schach [20]

Answer:

$1,061.28

Explanation:

We need to calculate the present value of the bond using the minimum effective rate of 7.1225%

First we calcualte the present value of an annuity of $80 for 10 years

$C * \frac{1-(1+r)^{-time} }{rate} = PV\\$

$80 * \frac{1-(1+7.1225%)^{-10} }{7.1225%} = PV\\$

PV = $558.72

Then we calculate the $1,000 in 10 years present value

$\frac{Principal}{(1 + rate)^{time}}= PV$

$\frac{1,000}{(1 + 7.1225%)^{10} } = PV$

PV = $502.57

Then we add both values

$502.57 + $558.72 = $1,061.28

This will be the present value AKA market price which yields the minimun rate of 7.1225%

7 0

3 years ago

Holly would like to plan for her daughter's college education. She would like for her daughter, who was born today, to attend co

dusya [7]

Answer:

Holly saved $3,362.76 at the end of each year.

Explanation:

Solution

Given that:

We solve for the computation of Tuition Fees given as:

First Year tuition fees will be $13,000 with inflation at 7% for 18 years.

That is, $13,000 * (1.07)^18 = $13,000 * 3.38 = $43,940

Now,

For the remaining three years we have the following given below:

College Year 1= $43,940

College Year 2 = $47,015.80, $43,940 * 1.07

College Year 3 = $50,306.91, $47,015.80 * 1.07

College Year 4 = $53,828.39, $50,306.91 * 1.07

Thus,

The Present Value of the college fees at the beginning of college at 10% is given as follows:

Year PVF at 10% College Fees Present Value

1 0.91 $43,940.00 $39,985.40

2 0.83 $47,015.80 $39,023.11

3 0.75 $50,306.91 $37,730.18

4 0.68 $53,828.39 $36,603.31

TOTAL : $153,342.00

Thus,

Holly should have accumulated $153,342 till beginning of her daughter's college.

Let us recall the accumulation factor for annual annuity is given as:

(1 + .10)^18 - 1/. 10

=45.60

Therefore, the Annual Investment should be $153,342 / 45.60

= $3,362.76

6 0

3 years ago

erry, a partner in the JSK partnership, begins the year on January 1, 2011 with a capital balance of $20,000. The JSK partnershi

Ludmilka [50]

Answer:

Check the explanation

Explanation:

The amount of interest<u><em> (Which is calculated as a fraction or percentage of a loan (or savings) balance that is being paid to the borrower on a periodic basis for the privilege of making use of their money. The sum is typically quoted as an annual rate, but the interest can be calculated for some periods that are longer or shorter than one year.)</em></u> that will be attributed to Jerry for the year 2011 which is supposed to point toward his profit distribution for the year can be seen I the attached image below.

3 0

3 years ago

A problem with creating team incentive plans is that:

Leni [432]

Answer:

The answer is (B) not all teams are created alike.

Explanation:

This is important since different teams might be composed of differently skilled individuals which might impact their ability to complete the target tasks assigned. When teams that are composed of different skill levels are given similar incentive regardless, it does not reward individual effort and create a stagnant condition.

7 0

4 years ago

You are currently long in a futures contract. you instruct a broker to enter the short side of a futures contract to close your

Fantom [35]

You are currently lengthy in a futures contract. you instruct a dealer to enter the quick aspect of a futures contract to shut your position. this is referred to as short selling.

<h3>What is short future contract?</h3>

On the different hand a quick futures means a sell function which is due or unsettled as on a precise alternate date. For e.g.: if Y sells 10 Futures contracts on Stock A, then he is mentioned to have brief function on 10 such contracts thru which he can promote inventory A as per the lot dimension of the contract.

<h3>What is lengthy and quick role in futures?</h3>

Having a “long” function in a protection means that you personal the security. Investors keep “long” protection positions in the expectation that the stock will upward jostle in cost in the future. The opposite of a “long” position is a “short” position. A "short" position is typically the sale of a stock you do no longer very own

Learn more about short future contracts here:

<h3>brainly.com/question/984979</h3><h3 /><h3>#SPJ4</h3>

8 0

2 years ago