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Ilya [14]
3 years ago
15

A four-year bond has an 8 percent coupon rate and a face value of $1,000. If the current price of the bond is $878.31, calculate

the yield to maturity of the bond (assuming annual interest payments).
Business
1 answer:
Vikentia [17]3 years ago
6 0

Answer:

Bond yield to maturity = 12%

Explanation:

Given the face value = $1000

Interest or coupon rate = 8%

Interet per period = 1000 x 8%  =$80

Presnet value, bond price = 878.31

Maturity years = 4

Use below formula in excel to find the maturity yield.

Bond yield to maturity = RATE(NPER,PMT,PV,FV)

Thus, Bond yield to maturity = 12%

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Which sentence best explains the mistake Maggie made? Her mortgage payments are high, and some months, she earns barely enough t
blondinia [14]

Answer:

She failed to properly assess her risk of storm damage.

Explanation: Edge 2021

4 0
3 years ago
A firm purchased 50 units of materials with a unit price of $1.30 on June 1. On June 15, the firm purchased 50 units with a unit
dsp73

Answer: $83

Explanation:

Given that,

On 1 June,

Materials purchased = 50 units

Unit price of material = $1.30

On June 15,

Materials purchased = 50 units

Unit price of material = $1.20

Total cost of 65 units:

= (Material purchased on 1 June × Unit price of material) + [(65 units - 50 units) × $1.20]

= (50 units × $1.30) + (15 units × $1.20)

= $65 + $18

= $83

8 0
4 years ago
The characteristics of ERP systems include all of the following except: Question 16 options: 1) Integrating the planning, manage
aleksandrvk [35]

Answer:

D Typically fitting an organiatins existing business processes  

Explanation:

ERP are business process management soft wares. It allows the organization to use a system of integrated application to automate and mange the back office work related to services, human resources and technology.

It utilizes centralized database for business processes to simplify the workflow and reduce the manual labor. Such software have dashboards where the users can have a look at the real-time data that is collected  from various business processes  to measure profitability and productivity. Odoo, SAP Business One, SAP ERP and Microsoft Dynamics are some ERP soft wares.

7 0
3 years ago
Suppose that the equilibrium price in the market for widgets is $5. If a law increased the minimum legal price for widgets to $6
dmitriy555 [2]

Answer:

c. might increase or decrease

Explanation:

Equilibrium price is the price at which quantity demanded equals quantity supplied in a competitive market.  

Producer surplus is the excess of revenue realized from the sales of the equilibrium quantity at a price higher than the equilibrium price.  

The producer surplus may increase or decrease. It may increase if the quantity demanded, do not decrease. It may decrease if the quantity demanded, decreases.

8 0
3 years ago
A store is offering a 25% discount on all items. Also, employees get a 10% employee discount. If you are an employee which disco
mr Goodwill [35]
Let x be the original price of an item. For the first case, the employee avails the 25% first then the 10%. 
                     Price: (0.75x)(0.90) = 0.675x
For the second case, the 10% discount is availed first then, the 25%.
                    Price: (0.90x)(0.75) = 0.675x
Thus, whichever is the case, the price would be the same. The answer is letter D. 
4 0
3 years ago
Read 2 more answers
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