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hoa [83]
2 years ago
5

Perpetual Life Corp. has issued consol bonds with coupon payments of $50. (Consols pay interest forever and never mature. They a

re perpetuities.)a. If the required rate of return on these bonds at the time they were issued was 5.0%, at what price were they sold to the public
Business
1 answer:
forsale [732]2 years ago
3 0

Answer: $1,000

Explanation:

The price of a perpetual bond is calculated like a perpetuity and this is calculated by dividing the coupon payment of the bond by the prevailing required rate of return.

Price of this bond is:

= Coupon payment / Required return

= 50 / 5%

= $1,000

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Organizing the second level of the Work Breakdown Structure by major design components facilitates rolling wave planning.True /
bazaltina [42]

Answer:

The statement is false

Explanation:

WBS stands for Work Breakdown Structure is the outcome or output that is oriented analysis of the work, comprise in the project and describe the aggregate scope of the project.

It provides the basis for managing as well as planning the schedule of the project and the budget.

And organizing the second level of WBS, states the objectivities of the project, therefore, it does not facilitates the rolling wave planning through the design components.

4 0
3 years ago
Wayco Industrial Supply has a pretax cost of debt of 7.6 percent, a cost of equity of 16.8 percent, and a cost of preferred stoc
Vanyuwa [196]

Answer:

14.88%

Explanation:

Market value of common stock outstanding = 220,000 * $27 = $5,940,000

Market value of preferred stock = 25,000 * $41 = $1,025,000

Market value of bond = $550,000 * 101.2% = $556,600  

Wayco's total financing market value = $5,940,000 + $1,025,000 + $556,600 = $7,521,600

Weighted average cost of capital = [($5,940,000 / $7,521,600) * 16.8%] + [($1,025,000 / $7,521,600) * 9.1%] + [($556,600 / $7,521,600) * 7.6% * (1 - 34%)] = 0.1488, or 14.88%

8 0
3 years ago
Elise is the marketing manager in a travel company. She is planning to place an advertisement in local newspapers to promote her
Scorpion4ik [409]

Answer:

The answer is C. link the advertisements to online promotions.

Explanation:

Now lets take a look at it one by one and see why C is the answer.

As in option A, she can ask a few friends whether they've seen the ad or not, but their replies would not accurately show the success of the promotion strategy.

In Option B,  it take some time to measure the results and the quarterly sales numbers can be influenced by many factors and may not reflect the impact of this specific promotional campaign.

Option D is irrelevant, Elise's company sales and the sales of the newspapers are not related. So we can not take this as an answer.

Option C however is very applicable. If you link the advertisements to online promotions, when those who read the news paper comes to check the online promotion, we can see how well has the ad performed based on the number of online enrollments of the readers.

6 0
3 years ago
During 2014, carlita's competitor farside had double the sales of carlita, but it also earned a gross margin of $30,000. what wa
Olegator [25]

The gross margin percentage is 12.5%.

Gross income is revenue much less the charges of products bought. Gross profit and gross margin are on occasion used interchangeably. in the meantime, gross margin and gross profit margin also are used interchangeably, Gross profit margin takes the gross income (sales much less value of goods bought) and divides it via sales.

Gross margin is revenue minus the price of goods bought (COGS). Gross margin is now and again used to refer to gross income margin, that's revenue minus price of goods bought (or gross income) divided by means of revenue.

Gross margin equates to internet sales minus the fee of products offered. The gross margin indicates the amount of profit made earlier than deducting promoting, standard, and administrative (SG&A) fees. Gross margin can also be called gross profit margin, that's gross profit divided via net sales.

Farside's sales = (Sales of Carlita * 2) = $120,000*2 = $240,000.

Farside's gross margin percentage

= (Gross margin / Sales) * 100

= ($30,000 / $240,000) * 100

= 12.5%

Learn more about gross margin here: brainly.com/question/8189926

#SPJ4

6 0
2 years ago
Here are the data for the past 21 months for actual sales of a particular product:LAST YEAR THIS YEARJanuary 325 260February 440
Ronch [10]

Answer:

Fore cadet for fourth quarter us $1085

Explanation:

One Quarter = 3 months

Demand for quarter 1 = 325 + 440 + 450 = 1215

Quarter Demand in Each Quarter Weighted Forecast

1 1215

2 1280

3 1125

4 1610

5 1010

6 1220

7 1055

8 1085

Weighted moving Average Forecast = ((0.25 * 1010) + (0.25 * 1220) + ( 0.5 * 1055) = 1085

Forecast for the fourth quarter is 1085

7 0
3 years ago
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