Answer:
$1,115.58
Explanation:
Calculation to determine how much should you be willing to pay for this bond
Using this formula
Bond Price= cupon*{[1 - (1+i)^-n] / i} + [face value/(1+i)^n]
Where,
Par value= $1,000
Cupon= $35
Time= 10*4= 40 quarters
Rate= 0.12/4= 0.03
Let plug in the formula
Bond Price= 35*{[1 - (1.03^-40)] / 0.03} + [1,000/(1.03^40)]
Bond Price= 809.02 + 306.56
Bond Price= $1,115.58
Therefore how much should you be willing to pay for this bond is $1,115.58
$485 + $380 + $15 + $48 - $120 = $808
Have a great night!
Answer:
E. High manufacturing cost
Explanation:
Export involves the sales of goods and services to another country. It is part of the international trade whereby goods produced in a country are sold to other countries. Just like all business activities, there are risk involved. Risk of exporting is the likelihood that there will be a loss in the sales of goods and services to another country. Various risk factors includes tariff barriers, cost of transportation and so on.
However, high manufacturing cost is not a risk of exporting. High manufacturing cost is the increase in the cost of producing and manufacturing a certain good. When this increases or rather when it's high, the prices of the products manufactured also increases. So there is no potential loss posed by high manufacturing cost.
Explanation:
The determination of the maturity date and the interest for each notes is as follows
Contract date Maturity Month Maturity Date Interest expenses
March 19 May 18 $280
May 11 August 9 $660
October 20 December 4 $105
For March 19, the interest expense calculation is
= $28000 × 6% × 60 days ÷ 360 days
= $280
For May 11, the interest expense calculation is
= $33,000 × 8% × 90 days ÷ 360 days
= $660
For October 20, the interest expense calculation is
= $21000 × 4% × 45 days ÷ 360 days
= $105
Answer:
predetermined manufacturing overhead rate $1.23
Explanation:
We will distribute the expected overhead cost along a cost driver.
In this case we are asked to use direct labor cost:
estimated overhead 270,300
estimated labor 219,800
overhead rate = 270,300 / 219,800 = 1,229754 = 1.23
