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3 years ago

What is the yield to maturity of a one-year zero-coupon bond with a $10,000 face value and a price of $9400

Business

1 answer:

svp [43]3 years ago

3 0

Answer:

6.383%

Explanation:

Calculation for the What is the yield to maturity

Using this formula

YTM=n√Face value/Bond price -1

Where,

n=one-year

Face value=10,000

Bond price=9,400

Let plug in the formula

YTM=1√10,000/9,400−1

YTM=1.06383-1

YTM=0.06383*100

YTM=6.383%

Therefore the yield to maturity will be 6.383%

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Historically, demand has averaged 1447 units per week with a standard deviation of 715. The company currently has 2855 units in

Alik [6]

Answer:

c. 97.558%

Explanation:

Options are <em>"A. 50.0.% B. 2.442% C. 97.558% D.197.0% E. 47,442%"</em>

Mean = μ = 1447

Standard deviation = σ = 715

Observed value = X = 2855

Using z-score formula, Z = (X - μ) / σ

Z = (2855 - 1447) / 715

Z = 1.97

P(Z<1.97) = 0.97558

P(Z<1.97) = 97.558%

So, the probability of a stock-out is 97.558%.

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3 years ago

Consider the four-step process that many companies follow to estimate the market demand curve for their product. Place the steps

mote1985 [20]

Answer:

The four-step process that many companies follow to estimate the market demand curve for their products are:

a. survey customers

d. add up the total quantity demanded by the customers at each price

c. scale up the quantities demanded by the survey respondents

b. plot the demand curve

Explanation:

The above steps enable the companies to estimate the market demand for their products. They also segment the demand to ascertain the segments that will perform better than others. The behavior of consumers is modeled during the estimation to verify how the price of the product, consumer income, or any other variables will impact the market demand.

6 0

3 years ago

Identify whether each statement in the following table best illustrates the concept of consumers’ surplus, producers’ surplus, o

Blizzard [7]

Answer:

1. Neither ; 2. Consumer Surplus ; 3. Producer Surplus

Explanation:

Consumer Surplus is the difference between a good's price paid by consumer, & maximum price the consumer is willing to pay for the good.

Producer Surplus is the difference between a good's price received by a seller, & minimum price at which the seller is willing to sell the good.

1. Willing to pay $209 for watch, buyer willing to sell at $196, no trade as price ceiling at $190 : It illustrates neither concept as transaction has not actually occurred, so no price established.

2. Willing to pay $39 for sweater, purchased it for $32 : It illustrates 'Consumer Surplus' case = $7 , as it shows difference between maximum willingness to pay by buyer ($39) & the actual buy price ($32)

3. Willing to sell laptop at $190, sold it at $199 : It illustrates 'Producer Surplus' case = $9 , as it shows difference between minimum willingness to sell price ($190) & actual sale price ($199)

5 0

4 years ago

Nipigon manufacturing has a cost of debt of 9 %, a cost of equity of 11%, and a cost of preferred stock of 10%. nipigon currentl

Vanyuwa [196]

the weighted average cost of capital for Nipigon is 0.049716

Calculate the weighted average cost of capital for Nipigon

cost of Equity share= 120,000 x $25= $30,00,000

cost of Preference share= 49,000 x $38= $18,62,000

cost of debt= $9,50,000

Total cost = $30,00,000 + $18,62,000 + $9,50,000

= $58,12,000

Weightage

Equity= $30,00,000/$58,12,000= 0.516

Preference= $18,62,000/$58,12,000= 0.320

Debt= $9,50,000/$58,12,000= 0.164

Rates

Equity = 0.11

Preference= 0.10

Debt= 0.09 (1-0.4)= 0.54

weighted average cost

Equity= 0.516 x 0.11 = 0.05676

preference= 0.320 x 0.10= 0.0320

Debt= 0.164 x 0.54= 0.00886

Total weighted average cost= 0.05676+0.0320+0.00886

=0.049716

What is the weighted average cost method?

A weighted average computation accounts for the varying levels of significance of the numbers in a data collection. A specified weight is multiplied by each value in the data set before the final computation is completed when calculating a weighted average.

Learn more about weighted average cost method: brainly.com/question/8543883

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2 years ago

If a service firm wants to build a global presence quickly and at a relatively low cost and risk, it must employ:___.

lisabon 2012 [21]

If a service firm wants to build a global presence quickly and at a relatively low cost and risk, it must employ Franchising

worldwide presence method increasing the corporation's commercial enterprise into specific international locations at some point of numerous regions of the arena. maintaining an worldwide presence of the employer is the most vital a part of global presence.

worldwide presence makes available to the company's managers 5 price-advent possibilities: to adapt to neighborhood market variations, to take advantage of economies of global scale, to make the most economies of global scope, to faucet optimum locations for sports and assets, and to maximise knowledge switch across locations.

A franchise is a way of dispensing services or products related to a franchisor, who establishes the emblem's trademark or alternate name and a enterprise system, and a franchisee, who will pay a royalty and frequently an initial price for the right to do enterprise under the franchisor's name and system.

Learn more about global presence here:-brainly.com/question/14389228

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5 0

2 years ago