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Tomtit [17]
3 years ago
6

issued $200,000 of 10-year bonds on January 1. The bonds pay interest on January 1 and July 1 and have a stated rate of 10 perce

nt. If the market rate of interest at the time the bonds are sold is 12 percent, what will be the issuance price of the bonds (pick the closest answer)?
Business
1 answer:
just olya [345]3 years ago
6 0

Answer:

$177,060.16

Explanation:

The issuance price of the bonds is also known as the current price of bonds and in the bond calculation we refer this as the Present Value or PV.

Using a financial calculator, PV of the Bond is determined as :

FV =  $200,000

N = 10 x 2 = 20

P/YR = 2

PMT = ($200,000 x 10%) ÷ 2 = $10,000

I/YR = 12 %

PV = ??

Thus,

The PV is determined as $177,060.16

therefore,

The issuance price of the bonds is $177,060.16

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What is the name of the federal health insurance program for senior citizens?
pav-90 [236]
The answer is Medicare
8 0
4 years ago
Strategically, AB InBev has 10 principles driving everything they do. At the core, AB InBev is focused on a shared dream that en
tigry1 [53]

Answer:

Consider the following explanation.

Explanation:

The international business environment is complex and requires a number of steps to be taken by the organizations that operate in the global environment. The large multinational corporations (MNC’s) should have both strong principles as well as flexible structure to operate at the global level. The strong principles help in creating uniformity at the global level and guide a common organizational culture.

This enables the MNC’s to create a central control over the Global operations and manage the business in an effective manner. On the other hand flexibility is required for adopting the global operations as per the needs of the local conditions. This makes the business responsive and survives in the situations that are not similar to their home country. Thus it can be seen that MNC need to create a balance between strong principles and flexibility. Without either of them it will not be easy for the organization to survive in the complex global business environment.

4 0
3 years ago
Cheryl is single, has one child (age six), and files as head of household during 2020. Her salary for the year is $19,500. She q
gogolik [260]

Answer: $3,557

Explanation:

Maximum amount of credit for 2020 is $3,584.

The income credit is calculated by:

= Maximum amount - (Earnings for the year - Minimum phase out range for single person with one child) * phase out percentage.

= 3,584 - (19,500 - 19,330) * 15.98%

= $3,557

5 0
3 years ago
Paiva Corporation splits its common stock 2 for 1, when the market value is $80 per share. Prior to the split, Paiva had 100,000
nydimaria [60]

Answer:

a. is reduced to $5 per share

Explanation:

Data given in the question

Market value per share = $80

Number of shares = 100,000

Par value = $10

So, after the split, the par value of the stock is

= Par value of the stock ÷ stock split ratio

= $10 ÷ 2

= $5 per share

By dividing the par value of the stock by the stock split ratio we can get the par value of the stock

3 0
3 years ago
(7 points)
Vikentia [17]

<u>SOLUTION AND EXPLANANTION:</u>

Let us define :Protection period” = P = Reorder period + Lead time = 7 + 3 days = 10 days

Z value for service level of 99% as per Z table= 2.33

Demand during protection period = = D = 80

Standard deviation of demand during Protection period = Sd = 10

Safety stock during protection period =Zxalue $*$ Sd $*$ Square root ( $P$ )

2.33 * 10 * \text { square root }(10)23.3 \times 3.162=73.67

<u>Therefore, </u>

Gross quantity to be ordered = Demand during protection period + Safety stock during protection period = 80 +73.67 = 153.67

However, number of items already in hand = 30 units

<u>Hence, </u>

Net quantity to be ordered = Gross quantity to be ordered – Number of items already in hand = 153.67 – 30 = 123.67 ( 124 rounded to nearest whole number)

7 0
4 years ago
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