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
lutik1710 [3]
2 years ago
14

Union local school district has bonds outstanding with a coupon rate of 3.2 percent paid semiannually and 16 years to maturity.

The yield to maturity on these bonds is 3.7 percent and the bonds have a par value of $5,000. What is the dollar price of the bonds?
Business
1 answer:
Dmitriy789 [7]2 years ago
8 0

Answer:

Bond Price​= $4,700.15

Explanation:

Giving the following information:

coupon rate= 0.032/2= 0.016

YTM= 0.037/2= 0.0185

Number of periods= 16*2= 32

Par value= $5,000

<u>To calculate the price of the bond, we need to use the following formula:</u>

Bond Price​= cupon*{[1 - (1+i)^-n] / i} + [face value/(1+i)^n]

Bond Price​= 80*{[1 - (1.0185^-32)] / 0.0185} + (5,000/1.0185^32)

Bond Price​= 1,919.05 + 2,781.10

Bond Price​= $4,700.15

You might be interested in
Which one of the following statements about book value per share is most correct? Market price per common share usually approxim
Rom4ik [11]

Answer:

Book value per common share is the amount that would be paid to stockholders if the company was sold to another company.

Explanation:

Book value per common share is a process by which the per-share value of the company is calculated. The calculation is done based on the common equity of the shareholders of the company. In case when the company dissolves, the book value per common share helps in the calculation of the value of the assets left for the shareholders after the payment of the debtors and after the liquidation of the assets.

4 0
2 years ago
_____ in the emails serve the same role that headlines do in newspapers and magazines.
Anastaziya [24]

Subject lines in the emails serve the same role that headlines do in newspapers and magazines.

Subject lines are the short and single line sentence or phrase seen as the title of an email when received. They do the same purpose as that of the headlines of a newspaper. Newspaper headlines provide a brief idea of the news below it. It is also made attractive. The same goes with the subject line of an email. It needs to be catchy as well as compact. It gives the overall idea of the content of the email to the receiver.

Learn more about emails at brainly.com/question/16936700

#SPJ4

5 0
1 year ago
The stated purposed of NAFTA is to A. gain membership in the WTO. B. reduce the outsourcing of jobs to foreign countries. C. pha
jekas [21]

Answer:

C. phase out all trade and tariff barriers among​ Canada, Mexico, and the U.S

Explanation:

The North American Free Trade Agreement (NAFTA)

This agreement creates a bloc of trade for the region, Canada, Mexico and the US.

As state on "C" It result in the elimination or reduction of barriers to trade and investment between the countries.

It will be replaced in the following year by the United States–Mexico–Canada Agreement (USMCA)

But NAFTA will keep working until this new agreement is finished.

4 0
3 years ago
An important rule of budgeting is:
son4ous [18]

Answer:

A. Those responsible for complying with budgets must participate in budget preparation.

Explanation:

An important rule of budgeting is those responsible for complying with budgets must participate in budget preparation.

4 0
3 years ago
Public provision..
LenaWriter [7]
I think it’s a and b are correct
3 0
2 years ago
Other questions:
  • A company has the following aging schedule of its accounts receivable with the estimated percent uncollectible:______.
    5·1 answer
  • A broker enters into an Exclusive Right-to-Buy contract with a purchaser. The purchaser finds a satisfactory property and makes
    14·1 answer
  • Which best describes the effect of outsourcing on the labor market in the United States
    7·1 answer
  • Mr. Rob O'Leary owns 17.6 percent of the existing shares of stock in Dyna Corp. The corporation is presently issuing new stock.
    9·1 answer
  • Snow Co. began operations on January 2, 2017. It employs 15 people who work 8-hour days. Each employee earns 10 paid vacation da
    15·1 answer
  • When writing an in-depth story about a large drug-manufacturing company, Beth presents the company not as a conglomerate edging
    13·1 answer
  • Phân tích điều kiện bản thân với tư cách là người chủ doanh nghiệp
    8·1 answer
  • A machine has a cost of $15,000, an estimated residual value of $3,000, and an estimated useful life of four years. The machine
    10·1 answer
  • Volume-based rates are appropriate in situations where the incurrence of factory overhead?
    12·1 answer
  • Where should a company undergoing reorganization report the gains and losses resulting from the reorganization?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!