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3 years ago

What are municipal bonds? Describe two different types of municipal bonds please help

Business

2 answers:

lesantik [10]3 years ago

8 0

Answer:

There are two main types of municipal bonds: general obligation bonds and revenue bonds. Like Treasuries, GOs are backed by the issuer's taxing power. Revenue bonds, on the other hand, are repaid from a specified revenue stream.

Volgvan3 years ago

6 0

Answer:

their is saving bonds and corporate bonds.

Explanation:

Bonds and other fixed-income investments play an important role in any investment portfolio, especially as you get closer to retirement. Learn the basics of bonds and their prices and yields, and find out how to incorporate them into your investment plan via bond funds, ETFs, and more.

"Advantages and disadvantages of bonds." The first panel reads: "Advantages: receive income through the interest payments.

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Judi Pendergrass is an account representative at Ever Pharmaceuticals. She has a company car for customer visits, which she uses

Delvig [45]

The valuation of the fringe benefit will be 3600.

<h3>How to calculate the benefits?</h3>

The valuation of the fringe benefit will be calculated thus:

= (2 × miles in each direction) × number of weeks × benefit rate

= (2 × 24) × 50 × 1.50

= 48 × 59 × 1.50

= 3600

In conclusion, the valuation of the fringe benefit will be 3600.

Learn more about benefit on:

brainly.com/question/1260189

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6 0

2 years ago

Powell Lighting was the first company to start selling LED light bulbs in its country—a product that gained popularity among div

morpeh [17]

Answer: sustainable competitive advantage

Explanation:

Sustainable competitive advantages refers to the assets and the abilities of a company that are difficult for others to duplicate and thereby giving the company an edge over others.

Since Powell Lighting decided to limit its LED light bulbs to outdoor models and ensured that the models were the longest-lasting and lowest-priced on the market thereby giving it an edge over its competitors.

In this scenario, Powell Lighting maintained a sustainable competitive advantage through its innovative strategy.

3 0

3 years ago

What is the present value of the future cash flows, if you also could earn $110,000 per year rent on the property? The rent is p

dem82 [27]

Answer:

a. The present value of the sales price is $1.657 million.

b. No. This is because an investment in the property will result in a negative net present value (NPV) of $0.443 million.

c-1. The present value of the future cash flows is $2.122 million.

c-2. Yes. Yes. This is because an investment in the property will result in a positive net present value (NPV) of $0.022 million.

Explanation:

Note: This question is not complete. The complete question is therefore presented before answering the question as follows:

You can buy property today for $2.1 million and sell it in 6 years for $3.1 million. (You earn no rental income on the property.)

a. If the interest rate is 11%, what is the present value of the sales price? (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)

b. Is the property investment attractive to you?

c-1. What is the present value of the future cash flows, if you also could earn $110,000 per year rent on the property? The rent is paid at the end of each year. (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)

c-2. Is the property investment attractive to you now?

The explanation to the answers is now provided as follows:

a. If the interest rate is 11%, what is the present value of the sales price? (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)

The present value of the sales price can be calculated using the simple present value formula as follows:

PV = FV / (1 + r)^n ……………………….. (1)

Where;

PV = Present value of the sales price = ?

FV = Future value or the sales price in 6 years = $3.1 million

r = interest rate = 11%, or 0.11

n = number of years = 6

Substitute the values into equation (1), we have:

PV = $3.1 / (1 + 0.11)^6

PV = $3.1 / 1.11^6

PV = $3.1 / 1.870414552161

PV = $1.65738659187525 million

Rounding to 3 decimal places, we have:

PV = $1.657 million

Therefore, the present value of the sales price is $1.657 million.

b. Is the property investment attractive to you?

No. This is because an investment in the property will result in a negative net present value (NPV) of $0.443 million.

The negative net present value (NPV) of $0.443 million is determined as follows:

NPV = Present value of the sales price - Acquisition cost = $1.657 million - $2.1 million = -$0.443 million

The present value of the future cash flows can be calculated using the following steps:

Step 1: Calculation of the present value of the $110,000 per year rent

Since the rent is paid at end of each year, this can be calculated using the formula for calculating the present value of an ordinary annuity as follows:

PVR = P * ((1 - (1 / (1 + r))^n) / r) …………………………………. (2)

Where;

PVR = Present value of yearly rent = ?

P = Annual rent =$110,000

r = interest rate = 11%, or 0.11

n = number of years = 6

Substitute the values into equation (2) to have:

PVR = $110,000 * ((1 - (1 / (1 + 0.11))^6) / 0.11)

PVR = $110,000 * 4.23053785373826

PVR = $465,359.163911209

Converting to million and rounded to 3 decimal places, we have:

PVR = $0.465 million

Step 2: Calculation of the present value of the future cash flows

Present value of future cash flows = Present value sales price + Present value of annual rent ……. (3)

Where;

Present value sales price = $1.657 million, as already calculate in part a above

Present value of annual rent = PVR = $0.465 million

Substituting the values into equation (3), we have:

Present value of future cash flows = $1.657 million + $0.465 million = $2.122 million

Therefore, the present value of the future cash flows is $2.122 million.

c-2. Is the property investment attractive to you now?

Yes. This is because an investment in the property will result in a positive net present value (NPV) of $0.022 million.

The positive net present value (NPV) of $0.022 million is determined as follows:

NPV = Present value of tof the future cash flows - Acquisition cost = $2.122 million - $2.1 million = 0.0219999999999998 million

Converting to million and rounded to 3 decimal places, we have:

NPV = $0.022 million

6 0

3 years ago

What is a credit report? What information does it provide?

enot [183]

A credit report could be a outline of however you have got handled credit accounts, as well as the categories of accounts and your payment history, also as sure alternative info that is reported to credit bureaus by your lenders and creditors.

Your credit report contains personal info, open-end credit history, credit inquiries and public records. This info is reported by your lenders and creditors to the credit

4 0

2 years ago

Better Bottles, Inc., Uses a periodic inventory system and has the following:

STALIN [3.7K]

Answer and Explanation:

1. The computation of the ending inventory and the cost of goods sold using the periodic FIFO method is shown below;

FIFO Ending Inventory 

Description # of Units Cost per Unit Total Cost 

Jan. 20 Purchase 33 $30 $990

Jan. 15 Purchase 11 $22 $242

Total 44 $1,232

 FIFO Cost of goods sold 

Description # of Units Cost per Unit Total Cost 

Jan. 20 Purchase 20 $20 $400

Jan. 15 Purchase 16 $22 $352

Total 36 $752

2. The computation of the ending inventory and the cost of goods sold using the periodic LIFO method is shown below;

 FIFO Ending Inventory 

Description # of Units Cost per Unit Total Cost 

Jan. 20 Purchase 20 $20 $400

Jan. 15 Purchase 24 $22 $528

Total 44 $928

FIFO Cost of goods sold

Description # of Units Cost per Unit Total Cost

Jan. 20 Purchase 33 $30 $990

Jan. 15 Purchase 3 $22 $66

Total 44 $1,056

3. The computation of the cost per unit using the Periodic Weighted Average method is

= Cost of goods sold ÷ Number of units

= $1,984 ÷ 80

= $24.80 per unit

Weighted average Ending inventory

# of Units Cost per Unit Total Cost

44 $24.80 $1,091

Weighted average Cost of goods sold

# of Units Cost per Unit Total Cost

36 $24.80 $893

4. The computation of the completed cost of goods sold by applying the three methods is

Particulars FIFO LIFO Weighted average

Beginning Inventory $400 $400 $400

Add: Purchases $1,584 $1,584 $1,584

Goods Available for Sale $1,984 $1,984 $1,984

Less: Ending Inventory -$1,232 -$928 -$1,091

Cost of Goods Sold $752 $1,056 $893

6 0

3 years ago