Answer:
The proceeds from the bond issue are allocated between the bonds and the warrants on the basis of their relative market values.
Explanation:
Bonds are securities issued by the company where investor can invest in such securities and can earn interest.
Warrants are rights which states that on redemption of bonds it shall be converted into company's shares.
When bonds are issued with detachable warrants, that means there is a basic amount of bonds and warrants. Also, each shall be accounted separately.
Bond issue of these bonds includes value of bonds that shall be accounted and added to value of bonds, and the value of warrants shall be accounted in warrants.
Answer:
$18,750
Explanation:
Present value (PV): $12,000
Tenor: 3 years
Future value (FV): $15,700
We have the formula:
FV = PV*(1+ annual rate) ^ number of year
15,700 = 12,000 * (1 + rate) ^3
-> Rate = (15,000/12,000)^(1/3) – 1 = 7.722%
If Sam invest in 6 year, the amount he expect to have is the future value in below calculation:
FV = 12,000 * (1+ 7.722%)^6 = 18,750
Answer:
Explanation:
A resume is a document used to present one's background,skill sets,and accomplishments used in job searches.
A.) investment in capital
This would be the best foster for economic growth