Answer:
b. One year from now, Bond A’s price will be higher than it is today
Explanation:
Bond A has 7% annual coupon
Bond B has 9% annual coupon
YTM (market rate) 8%
Bond A yield for less than market market thus, they will be offered below ther face value to make it more profitable.
Bond B yield above market rate therefore; investors will accept to pay higher than face value up to yield market rate.
Both bonds, will move towards face value in the future as at maturity both will pay 1,000 regardless of the coupon payment and market rate.
<u>We can conclude then:</u>
<em>Bond A is below 1,000 dollars one year from now will be closer from this value thus; higher value.</em>
Answer:
C. A listing of balances
Explanation:
Balance sheet or statement of financial position is a financial statement that reports all the company's assets and liabilities and equity in a specific accounting period
Answer: a. 1.42
b) 2.74
c) 3.89
Explanation:
a) The Degree of Operating Leverage measures how much operating Income will change by if Sales change.
It is calculated with the formula,
= (Sales - Variable Costs) / (Sales - Variable Costs - fixed costs)
= (960,000 - 532,000) / (960,000 - 532,000 - 127,000)
= 1.42
b) The Degree of financial leverage measures how much Income will change due to a change in operating Income.
The formula is,
=Earnings before Interest and tax / Earnings before Interest and tax - Interest or just Earning before tax
= 301,000/110,000
= 2.74
c. Degree of Total Leverage is a measure of how sensitive the net income of a company is to a change in goods produced and/or sold.
It is calculated by multiplying DOL and DFL.
= 1.42 * 2.74
= 3.89
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It can see how well certain people work together or by themselves and see how they react to certain things people say or do and see who they get along with.
Hope that helps!! ;)
Brainliest??
The US economic system is based on Consumer Sovereignty.
The basis for this is that the government does NOT regulate the economic system, rather it is done by economists, companies, banks, consumers, producers, etc. Freedom from tyranny is true but has nothing to do with the economic system, and the right to bear arms is the second amendment.