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
Butoxors [25]
3 years ago
7

XZYY, Inc. currently has an issue of bonds outstanding that will mature in 16 years. The bonds have a face value of $1,000 and a

stated annual coupon rate of 13.0% with annual coupon payments. The bond is currently selling for $1,176. The bonds may be called in 3 years for 113.0% of the par value. What is your expected quoted annual rate of return if you buy the bonds and hold them until maturity
Business
1 answer:
borishaifa [10]3 years ago
5 0

Answer: 10.66%

Explanation:

The expected quoted annual rate of return when the bonds are bought and being held until maturity will be calculated thus:

Coupon payment = 1000 × 13% = 130

The Yield to Maturity formula will be:

= Rate(maturity period, coupon payment, -price, fave value)

= Rate(16, 130, -1176, 1000)

Yield to Maturity = 10.66%

Therefore, the expected quoted annual rate of return is 10.66%.

You might be interested in
On January 1, 20X4, Polar Corp. paid $104,000 for $100,000 par value, 9% bonds of Seal Corp. Seal had issued $300,000 of the 10-
Eddi Din [679]

Answer:

$14,000

Explanation:

Amount of interest expense = [(Bond issued by 'S' company x 9%) - Amount of    

                                                   premium x (unsold bonds / Bonds issued)]

                                           =  (300,000 x 0.09) - 60000/10 x 200,000/300,000

                                          =  (27,000 - 6000) x 0.66667

                                          =  21,000 x 0.66667

                                          = $14,000

                                         

 

7 0
3 years ago
One sign of transition to a mixed-market economy is the establishment of..
Katena32 [7]

A) a fair labor market

3 0
4 years ago
Read 2 more answers
You paid $25 for your ticket to the football game, only to see your favorite team losing 28-0 at the end of the first quarter. T
Alexus [3.1K]

Answer:

Sunk; disregarded

Explanation:

Sunk cost is cost that has already been expended and cannot be recovered. It shouldn't be considered when making decisions.

No matter how much one argues, one would not be able to recover the $25. Therefore, it is sunk cost.

I hope my answer helps you

8 0
3 years ago
The Overstock-Grant Thornton dispute was publicly aired via disclosure statements filed with the SEC. What impact do you believe
Tresset [83]

Answer:

In light of research of Overstock's money related accomplishment, clearly these exposures influenced Overstock's trading cost. Theorists and customers of the spending reports despite everything have restrictive necessities that the self-governing reviewers ensure that financial reports are truly addressed. This has influenced audit and the board obligations and puts more weight on associates and authorities to appropriately address their financial rundowns. I think Grant Thornton acted inappropriately in light of their clashing use of the $785,000 A/R/Gain Contingency. Grant Thornton didn't from the outset prescribe making an altering section in this way Overstock gave their 10-k with the $785000 as expansion plausibility.

6 0
3 years ago
Suppose that the # of Employed = 160 million, # of Unemployed = 10 million, and the Adult Civilian Population = 250 million. In
PIT_PIT [208]

Answer:

labor force participation rate = 68%

employment to adult civilian population ratio = 64%

Explanation:

total number of employed people = 160 million

total number of unemployed people = 10 million

total adult population = 250 million

total labor force = 170 million

labor force participation rate = total labor force / total adult population = 170 million / 250 million = 68%

employment to adult civilian population ratio = total number of employed people / total adult population = 160 million / 250 million = 64%

8 0
3 years ago
Other questions:
  • Kuzma​ Foods, Inc. has budgeted sales for June and July at $ 680 comma 000.00 and $ 720 comma 000.00​, respectively. Sales are 8
    14·1 answer
  • Pierre, a cash basis, unmarried taxpayer, had $2,180 of state income tax withheld during
    14·1 answer
  • In evaluating how well a company's strategy is working, the best place to start is
    13·1 answer
  • In order to reduce the harmful affects of recession and carbon emissions, the government provided tax incentives for manufacturi
    5·2 answers
  • Your boss asks you to give a presentation and you need to use a projector to show a slideshow. What are the steps to display the
    10·1 answer
  • Help with question no.19?
    5·1 answer
  • g Companies can help to ensure they do their part toward achieving the Sustainable Development Goals set out by UNCTAD by
    8·1 answer
  • Consignment goods are:
    10·1 answer
  • What are steps through a civil case?
    9·1 answer
  • The payment of accounts payable would
    11·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!