Answer:
Ans. 26 years is the remaining maturity of this bond.
Explanation:
Hi, we have to find the price of the bond, so we use the following formula.
This means that:
Let´s not forget that the Coupon is calculated by the following formula.
Now that we found that the price of the bond is $717.79, we have to bring to present value the remaining coupons and the principal that is paid at the end, so we have to solve for "n" the following equation, discounted at the yield to maturity.
Let´s fill up what we can
But to solve for "n" is pretty painful, so we can use a financial calcultator o MS Excel. Please find the MS Excel sheet that I used with the "Seek Goal" formula instruccions as follow.
Set Cell: $C$19
To Value: 717,79
By Changing cell: $C$14
So the answer is 26
Best of luck.
Answer
The answer and procedures of the exercise are attached in a microsoft excel document.
Explanation
Please consider the data provided by the exercise. If you have any question please write me back. All the exercises are solved in a single sheet with the formulas indications.
Answer:
Total liabilities: 42.41%
Explanation:
On a vertical analysis the balance sheet values are expressed as a percentage of total assets.
We will express the total liaiblities as a percentage of total assets.
The reasoning for this is kind of analysis is to compare the values as relatives rather than nominal values.
Answer:
bad debt expense 45,000 debit
account receivable 45,000 credit
--to record write-off of Leer account--
account receivable 45,000 debit
bad debt expense 45,000 credit
--to record recovery of Leer account--
cash 45,000 debit
account receivable 45,000 credit
--to record collectiong from Leer account--
Explanation:
As it applies direct method when a write-off occurs It decrease the A/R and declares the bad debt expense for the full amount.
If the account is recovered, we reverse the entry and proceed to record the collection like a normal entry.
The choices can be found elsewhere and as follows:
A) a greater percentage of work force is unionized.
<span>B) The minimum wage is higher than the market wage. </span>
<span>C) unemployment insurance benefits are paid for fewer weeks. </span>
<span>D) Firms pay efficiency wages.
</span>
I believe the correct answer is option B. The natural rate of unemployment tends to be lower when the the minimum wage is higher than the market wage. Hope this answers the question. Have a nice day.