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
zzz [600]
3 years ago
9

A corporate bond with a 6% coupon (paid semiannually) has a yield to maturity of 7.5%. The bond matures in 20 years but is calla

ble at $1050 in ten years. The maturity value is par. Calculate the bond’s yield to call. % terms w/o $ sign. (HINT: Find the current price and then solve for YTC.)
Business
1 answer:
Zina [86]3 years ago
8 0

Answer:

Yield to Call = 8.66%

Explanation:

The computation of the yield to call is shown below:

First determine Current Price of Bond,

PV = [FV = 1,000, PMT = 30, N = 40, I = 0.075 ÷2]

PV = $845.87

Callable Price = $1,050

Now

Calculating Yield to Call,

I = [PV = -845.87, FV = 1,050, N = 20, PMT = 30]

I = 8.66%

Yield to Call = 8.66%

You might be interested in
In June 2013, currency held by individuals and businesses was $1,124 billion; traveler’s checks were $4 billion; checkable depos
densk [106]

Answer:

M1 $2,530 billion

M2 $10,644 billion

Explanation:

  • M1 = Currency held + Travelers check + Checkable deposits

= $(1,124 + 4 + 1,402) billion = $2,530 billion

  • M2 = M1 + Savings deposits + Time deposits + Money market funds

= $(2,530 + 6,884 + 583 + 647) billion = $10,644 billion

4 0
3 years ago
Which of the five broad definitions of public opinion involves "rhetorical construction"?
Alexxandr [17]

Answer: Fiction

Explanation: According to some theorists, public opinion is a rhetorical construction. This means that it is a phantom, having no real link to "the public" as citizens. These theorists go on to claim that politicians and journalists tend to state that public opinion regarding a certain issue is concluded without any available evidence, or public's influence. However this is only one form of the definition of public opinion.

Other types of definitions include:

Public opinion is an aggregation: Journalists and politicians claim public opinion is the total of a lot of individual opinions.

Public opinion reflects the majority's beliefs: Theorists claim that public opinion is the equivalent of the values and beliefs of the majority.

Public opinion is discovered in groups clashing: Some theorists believe public opinion lies in power dynamics within a group, and how it coexists, or fails to do so, with other groups.

Public opinion reflects media: Theorists believe that public opinion is best gathered from what politicians, journalists and other influential elites believe.

6 0
3 years ago
⦁ a local drama company proposes a new neighborhood theater in san francisco. before approving the permit, the city planner comp
aleksandrvk [35]
<span>This is a negative externality. Since the cost of the traffic being in the community is not being borne by the theatre company itself, it is negative. The community as a whole is having to pay for the extra $5 in costs that will be accrued as a result of selling each ticket.</span>
3 0
2 years ago
Why is a high level of subsistence agriculture a characteristic of less developed countries?
slava [35]
<span>The answer is C. It means that more people are unemployed or underemployed. Subsistence Agriculture means that the farmers only grow enough food to feed their families. They don't grow extra food to sell. This is a sign of a less developed country, because the family members are using their time and resources to care for themselves and are not working outside of the home. Therefore they will be unemployed or underemployed.</span>
5 0
3 years ago
Read 2 more answers
Most amateur athletes eventually become professional athletes.<br> True<br> False
andrey2020 [161]

Answer:

False

Explanation:

6 0
3 years ago
Other questions:
  • A company is constructing an asset for its own use. Construction began in 2017. The asset is being financed entirely with a spec
    5·2 answers
  • Calculate the amount of depreciation to report during the year ended December 31, 2013, for equipment that was purchased at a co
    12·1 answer
  • Usually arise when companies give work groups complete autonomy and responsibility for task completion. continue
    5·1 answer
  • Identify which type of sampling is​ used: random,​ systematic, convenience,​ stratified, or cluster. upper a radio station asks
    7·1 answer
  • Residential Investment Payments of Factor Income to the rest of the world National Income Inventory Adjustment 0.00 Personal Con
    14·1 answer
  • The return of merchandise was recorded as a debit to accounts payable and a credit to purchases. This error would cause
    7·1 answer
  • WILL GIVE BRAINLIEST HELP ASAP
    9·2 answers
  • 2. Below are mixed SWOT factors of KFC case study. Fill the chart to Identify each SWOT factor. (2points each)
    12·1 answer
  • The movement of parts from one area of the factory to another is considered a value-added activity whereas the storage of raw ma
    5·1 answer
  • When a person at a lower level skips a level in the organization chart and consults his or her boss's boss, that person is said
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!