Answer: The value of the bond will decrease
Explanation:
The Interest rate has a negative inverse relationship with the value of a bond
. When the interest rate increases the value of a bond decreases and when interest rate decreases the bond value increases. Bonds with low coupon rates tend to be more sensitive to interest rate changes this is known has coupon effect.
Bonds with long time frame (long term bonds), they also tend to be are more sensitive to changes in the interest rate this is known has the maturity effect. Therefore a change in the interest rate will cause a huge change in the value of a Bond with low coupon rate and long time period.
The Bond is a 20 year Bonds which qualifies it to be a long term bond and the coupon Rate is 7%, with these facts and knowing that long term bonds are more sensitive to interest rate changes we can conclude that the sudden increase of the interest rate to 15% will cause a huge decrease in the value of the bond
An important use of customers' lifetime value data (CLVD) is all of the options. Option A is correct.
<h3>What is customer lifetime value data?</h3>
Customer lifetime value (CLV) is amongst the most important metrics to measure as a component of a customer experience journey. Customer lifetime value (CLV) is a metric for determining how important a client is to your business, not just for a single transaction, but for the entire relationship.
It's a crucial measure since keeping existing customers costs less than acquiring new ones, thus boosting the quality of your existing customers is a fantastic method to generate growth.
Knowing the Customer lifetime value (CLV) may help organizations establish strategies for:
- Acquiring new consumers and
- Retaining existing ones,
While keeping profit margins intact.
Learn more about Customer lifetime value (CLV) here:
brainly.com/question/22684208
<h2>According to Allport, this preference is an example of a <u>Secondary trait</u></h2>
Explanation:
There are 3 types of traits.
1. Cardinal traits:
- This is the dominating traits
- The person can be found by the qualities
2. Secondary traits:
- This is closely related to attitudes
- This is also related to preferences of a human
- This would differ from person to person
- This might change according to the situation.
3. Central traits:
- This forms the base for the personality development
- This would be meaningful
- Central traits can be polite, helping, anxiety, etc.
Complete Question:
BrainTrust company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is what percentage of total distribution cost?
a. 50%
b. 75%
c. 30%
d. 100%
Answer:
a. 50%
Explanation:
In this scenario, BrainTrust Company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is 50% of total distribution cost.
In supply chain management, the total distribution cost can be defined as the overall expenses incurred by a manufacturer in the process of delivering finished goods and services from the production stage to the final consumer. The total distribution cost can either be direct or indirect expenses incurred on insurance, handling, storage, shipping, packing and logistics.
<em>Generally, the total amount spent on the movement of goods and services from one location to another, usually accounts for half (50%) of the overall expenses incurred in total distribution cost. </em>
Answer:
Diluted earnings per share is $1.7 per share
Explanation:
The number of diluted shares from the options is calculated thus
Total number of shares from options 34,500
Actual number of shares that can be purchased
(options shares*option price/share market price)
(34,500*$11/$15) (25,300)
Diluted shares 9,200
Diluted earnings per share=net income/(outstanding common stock + diluted common stock)
net income is $331,840
outstanding common stock is 186,000
diluted common stock is 9200
diluted earnings per share=$331,840/(186,000+9200)
=$1.7 per share
