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3 years ago

1) You are considering purchasing a 20 year bond from Saudi Arabia. You have a required return

Business

1 answer:

inessss [21]3 years ago

6 0

Answer:

$812.20

Explanation:

Given the following bond characteristic:

Coupon rate = 12%

Market or yield rate = 15%

Years to maturity = 20 years

Face or par value = $1000

Inputting the values into a bond value calculator, the bond value output is : $812.20

This means that the sum of the present value of all likely coupon payment and par at maturity. It is simply the present value of all cash streams it is projected to generate.

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Eneral Products Inc. is a small clothing designer and manufacturer located in the United States. A vast majority of the company'

ololo11 [35]

Answer: The correct answer is "e. Export strategy".

Explanation: and. Export strategy is the global corporate strategy that best describes General products inc. because In spite of being in the United States and that the majority of its income comes from there, it does not stop focusing the business in Canada, because 10% of the income comes from exports to Canada.

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3 years ago

A taxpayer places a $50,000 5-year recovery period asset in service in 2016. this is the only asset placed in service in 2016. a

Charra [1.4K]

50,000×5=250,000
250,000÷4=625,000
250,000-625.000=375.00
Sum=375.00

8 0

3 years ago

You purchase another company for $50m. The company you purchase has assets with a fair value of $75m and liabilities with a fair

Crazy boy [7]

Answer:

b. $5m

Explanation:

If we purchase another company for $50m and the company you purchase has assets with a fair value of $75m and liabilities with a fair value of $30m. The amount of goodwill we should record in this transaction is: $5m

Goodwill upon acquisition of companies is derived by subtracting the fair value of NET ASSETS from the TOTAL CONSIDERATION (i.e the price paid to acquire the company)

In the scenario, the value of Net Assets is the value of the fairvalue of the assets less the fair value of the liabilities which is $75 - $30 = $45

While the Total Consideration = $50

Therefore Goodwill = $50m - $45m = $5m

5 0

3 years ago

American Hat has $1,000 face value bonds outstanding with a market price of $1,150. The bonds pay interest semiannually, mature

Aneli [31]

Answer:

Current Yield of bond is 3.53%

Explanation:

Current yield is the ratio of coupon payment of a bond to its current market price.

Formula for Current yield is as follow

Current Yield = Annual Coupon payment / Current market price

First we need to calculate the coupon payment by using following formula

YTM = [ C + ( F - P ) / n ] / [ ( F + P ) / 2 ]

5.8%/2 = [ C + ( $1,000 - $1,150 ) / 16 ] / [ ( $1,000 + $1,150 ) / 2 ]

2.9% = [ C + ( $1,000 - $1,150 ) / 16 ] / [ ( $1,000 + $1,150 ) / 2 ]

2.9% = [ C - $9.375 ] / $1,075

1,075 x 2.9% = C - $9.375

31.175 = C - 9.375

C = 31.175 + 9.375 = $40.55 annually

Current Yield = Annual Coupon payment / Current market price

Current Yield = $40.55 / $1,150 = 0.0353 = 3.53%

7 0

2 years ago

Read 2 more answers

What is it about incentive systems that makes them so attractive to leaders attempting to implement organizational change

sveticcg [70]

Answer:

Incentive systems are so attractive to leaders who attempt to implement organizational change because they are powerful tools that can influence and motivate workers to embrace organizational change.

Explanation:

Incentive systems promote and encourage specific workers' actions or behavior. They are particularly used in businesses to motivate employees to adopt certain behaviors during a change transition by management. Studies have shown that if correct incentive systems are correctly selected, implemented, and monitored, they can increase team performance by an average of 44 percent. This improved performance makes incentive systems attractive to leaders who are implementing organizational changes.

4 0

3 years ago