Answer:
The answer is 0.4
Explanation:
The formula for total debt ratio is total debt ÷ total assets.
Total debt equals current debt plus total long-term debt.
To find total debt(liability), remember Asset = Liability + Equity.
Therefore, Liability (debt) will be Asset - equity
$1,123,900 - $679,400
Total debt(liability) = $444,500
So, total debt ratio will be:
$444,500/$1,123,900
=0.4
This ratio means 0.4 or 40 percent of the company asset is financed by debt.
It is indeed reasonable.We know this because interest rates rise when the economy is booming and fall when the economy goes into a
recession which is known as procyclic movement. What happens is that during recessions the government usually tries to keepcinterest rates low in order to stimulate investment. It is good because bond prices <span>and interest rates go in opposite directions so bond prices will rise when recession starts. </span>
Answer:
a hands on occupation
Explanation:
I dont like sitting around
Answer:
$880.31
Explanation:
Here for computing the new price of the bond we use the present value formula i.e. to be shown in the attachment
Given that,
Assuming Future value = $1,000
Rate of interest = 8.6% ÷ 2 = 4.3%
NPER = 8 years × 2 = 16
PMT = $1,000 × 6.5% ÷ 2 = $32.50
The formula is shown below:
= -PV(Rate;NPER;PMT;FV;type)
So, after applying the above formula, the new price of the bond is $880.31
Answer:
$146,212.00
Explanation:
PMT which is the annual savings is $2000
Rate is 8%
The annual savings would last for 25 years(65-40)
FVIFA FACTOR=(1+r)^n-1/r
r=8%
n=25
FVIFA FACTOR=(1+8%)^25-1/8%
FVIFA FACTOR=(1.08)^25-1/0.08
FVIFA FACTOR=(6.848475196-1)/0.08=73.106
Amount in the account at retirement=PMT*FVIFA FACTOR
Amount in the account at retirement=$2000*73.106=$146,212.00