1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
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

You might be interested in
Assume for a perfectly competitive firm, the market price of one box of tissues is $2. What is the marginal revenue when sales i
trapecia [35]

Answer:

The marginal revenue = $2

Explanation:

Firstly we calculate the value in dollars for the number of boxes sold

For 100 boxes, we have 100 * 2 = $200

For 200 boxes, we have 200 * 2 = $400

Mathematically, the marginal revenue = (cost of 200 boxes- cost of 100 boxes)/difference in quantity

= (400-200)/(200-100) = 200/100 = $2

Thus affirms the fact that for a perfectly competitive firm, marginal revenue MR = P (price)

8 0
2 years ago
A company that sells running shoes online wants to compare two new marketing strategies. They will test the strategies on 10 wee
PIT_PIT [208]

Answer:

The explanation of the three factors and they conclusion are below.

Explanation:

To begin with, when we talk about experimental units we refer to the entities that the researcher looks forward to make inferences about, so that means that in this case the experimental units of the situation will be all the people who got to visit the website in both schedules, the morning shift and the afternoon shift.

Secondly, the treatments is understood to be the process or the way, it could be said, that the researchers administrate to the experimental units. So that implicates that in this case the treatments will be the morning with its comfort described and the afternoon on the other side with its discounted prices shown.

Finally, the most probable outcomes for this experiments will be that the statics will show how the people interact with the variables and which of them generated more interest, that being either price or comfort. It will also show the behavior of the people when it comes to understand if the tend more to visit the web site at morning or afternoon.

6 0
2 years ago
Which professional helps individuals and families minimize risk? A. real estate broker B. insurance agent C. personal finance ma
Aleks04 [339]
B. Insurance agent.......
4 0
3 years ago
Read 2 more answers
Haskins Textile Co. manufactures a variety of fabrics. All materials are introduced at the beginning of production; conversion c
aliya0001 [1]

Answer:

D. 13,000.

Explanation:

The computation of the equivalent units of direct materials for April month is given below

= Number of units completed + ending units remained in production × completion percentage

= 9,000 units + 4,000 units × 100%

= 9,000 units + 4,000 units

= 13,000 units  

All the other information that is mentioned is not relevant. Hence ignored it

5 0
3 years ago
Which life insurance settlement option guarantees payments for the lifetime of the recipient, but also specifies a guaranteed pe
SOVA2 [1]

Answer:

Life income with certain period annuity

Explanation:

This type of policy guarantees a certain amount of money during the remaining life of the insured. It also guarantees that during a minimum specified time, the certain period, the payments will be carried out even if the insured dies. In this case the benefits will be paid to his/her beneficiary. The insured determines the certain period when choosing the life insurance plan, and the certain period can vary from 5 to 30 years.

8 0
3 years ago
Other questions:
  • Oann and mark, a white american couple, are planning to purchase a home in the next year or so. they approve of residential inte
    15·1 answer
  • Through its ________ program, the SBA oversees about 11,500 volunteers with international trade experience to provide one-on-one
    13·1 answer
  • Which of the following are microeconomic problems? (You may select more than one answer.)(a) Work/leisure choice.(b) Marketing s
    10·1 answer
  • What do you call a bat with hands, and, feet and, a cape...
    8·1 answer
  • Canniff Air uses two measures of activity, flights and passengers, in the cost formulas in its budgets and performance reports.
    15·1 answer
  • PERSONAL FINANCE WILL GIVE BRAINLIEST !!Melanie is having a lot of financial problems. She is drowning in debt and needs help. S
    7·1 answer
  • Asset management ratios are used to measure how effectively a firm manages its assets, by relating the amount a firm has investe
    5·1 answer
  • During 2019, Pepe Guardio purchases the following property for use in his calendar year-end manufacturing business:
    15·1 answer
  • Which one is not a benefit to
    5·1 answer
  • 30points
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!