Answer:
Undisclosed principal
Explanation:
Am undisclosed principal in an agency relationship is one whose existence is not known to the third party. The third party believes they are making the transaction with the only agent involved in the transaction.
In this instance Sarah believed she was selling to Alice and was not aware Alice has a principal (Harold). In her mind she sold the land to Alice and no other person.
It was at the point where Harold said he no longer wanted the land that Alice told Sarah about him. At this point the contract between Harold and Alice had been terminated
Answer:
Assuming a par value of $1,000, the most i would be willing to pay for this bond is $875.85
Explanation:
The price of a bond is equivalent to the present value of all the cash flows that are likely to accrue to an investor once the bond is bought. These cash-flows are the periodic coupon payments that are to be paid semi-annually and the par value of the bond that will be paid at the end of 5 years.
During the 5 years, there are 10 equal periodic coupon payments that will be made. Assuming a par value equal to $1,000, in each year, the total coupon paid will be
=$66. This annual payment will be split into two equal payments equal to
. This stream of cash-flows is an ordinary annuity.
the required rate of return is to 9.8% per annum which equates to 4.9% per semi annual period.
The PV of the cash-flows = PV of the coupon payments + PV of the par value of the bond
=33*PV Annuity Factor for 10 periods at 4.9%+ $1,000* PV Interest factor with i=4.9% and n =10
![= 33*\frac{[1-(1+0.049)^-^1^0]}{0.049}+ \frac{1,000}{(1+0.049)^1^0} =875.85](https://tex.z-dn.net/?f=%3D%2033%2A%5Cfrac%7B%5B1-%281%2B0.049%29%5E-%5E1%5E0%5D%7D%7B0.049%7D%2B%20%5Cfrac%7B1%2C000%7D%7B%281%2B0.049%29%5E1%5E0%7D%20%3D875.85)
Answer: 2,080,000 shares
Explanation:
The question states that 2,080,000 shares were issued at a price of $15 per share so this will be the number of shares issued.
Shares issued are those shares that were actually sold by the company from the number of Authorized shares and quite often they will be less than the number of Authorized shares allowed.
Answer:
$1,500
Explanation:
Relevant data provided
Annual cash flow = $150
Current Stock percentage = 10%
The computation of today value of Dynamo is shown below:-
Today value of Dynamo = Annual cash flow ÷ Current Stock percentage
= $150 ÷ 10%
= $150 ÷ 0.10
= $1,500
Therefore for computing the today value of Dynamo we simply divide the annual cash flow by current stock percentage.