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olga2289 [7]
3 years ago
10

Amram Inc. can issue a 20-year bond with a 6% annual coupon at par. This bond is not convertible, not callable, and has no sinki

ng fund. Alternatively, Amram could issue a 20-year bond that is convertible into common equity, may be called, and has a sinking fund. What most accurately describes the coupon rate that Amram would have to pay on the second bond, the convertible, callable bond with the sinking fund, to have it sell initially at par?
Business
1 answer:
tino4ka555 [31]3 years ago
3 0

Answer:

b. It could be less than, equal to, or greater than 6%.

Explanation:

THIS ARE THE OPTIONS FOR THE QUESTION BELOW!

a. Exactly equal to 6%.

b. It could be less than, equal to, or greater than 6%.

c. Greater than 6%.

d. Exactly equal to 8%.

e. Less than 6%.

Convertible bonds can be regarded as one which can be converted to equity shares at a particular time, so in this case, Base on specific terms set the coupon rate can be equal, greater even less than 6%, talking of real world, the feature of the convertible could make the coupon rate to be probably less than 6%.

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Luna Manufacturing uses a process costing-system. Luna uses the weighted average method . The following information pertains to
Goshia [24]

Answer:

conversion cost per equivalent unit: 10.47

Explanation:

Luna uses the weighted average method:

complete units + equivalent units ending WIP

Completed  during the period  187,000

ending WIP      197,000 x 30% =<u> 59,100‬ </u>

       Equivalent units                 246,100‬

cost: beginning invenotry + added during the period

165,600 + 2,410,800 = 2,576,400‬

cost per equivalent unit: cost / equivalent untis

2,576,400 / 246,100 = 10,4689 = 10.47

3 0
3 years ago
Land Transactions on the Statement of Cash Flows Alpha Corporation purchased land for $211,000. Later in the year, the company s
horsena [70]

Answer:

<u>investing activities:</u>

acquisition of land   (211,000)

sale of land              (101,000)

<u>Operating Activities:</u>

gain on sale: NO EFFECT if direct method is used

                adjusting the net income if the indirect method is used.

Explanation:

The cash disbursmenets and cash proceeds fro mthe purhcase and sale of land respectevely will appear as investing activities.

The gain on the sale will adjust the net incoem if the company used indirect method to determinatethe cash from operating activities.

As is a non-monetary term It will be removed.

If the company used the direct method there will be no mention to the gain on sale.

3 0
3 years ago
ssume you are the Chief Information Officer (CIO)1 of the company that you dream of (any company, real or hypothetical). Give a
MAVERICK [17]

Answer: External threats are almost always malicious, with data theft, vandalism, and disruption of services all possible goals. Internal threats can be equally vicious and may also include blackmail or other illicit activities. Internal threats, however, are not always malicious

Internal threats originate from within the organization. The primary contributors to internal threats are employees, contractors, or suppliers to whom work is outsourced. The major threats are frauds, misuse of information, and/or destruction of information.

Explanation: An internal threat refers to the risk of somebody from the inside of a company who could exploit a system in a way to cause damage or steal data.

Employee Sabotage and Theft. ...

Unauthorized Access by Employees.

Weak Cyber Security Measures and Unsafe Practices. ...

Accidental Loss or Disclosure of Data

The following are ways to prevent Internal and External Security Threats :

1. Access data vulnerabilities, Penetration testing tools can be adopted to check the vulnerabilities or weak areas in the software systems. ...

2. Calculate Risk Scores. ...

3. Train Your Workforce. ...

4.Remove excessive privileges. ...

5.Encrypt Data. ...

6. Embrace the cloud.

8 0
2 years ago
Consider the market for meekers in the imaginary economy of Meekertown. In the absence of international trade, the domestic pric
LenKa [72]

Answer:

Export

True

False

True

Explanation:

Free trade is a form of trade policy where there are no restrictions to imports or exports of goods and services.

The price of meekers is $30 in Meekertown and $40 In the world. Because meeker's are cheaper in Meekertown, it means that Meekertown is efficient in the production of meekers. As a result, they would export meekers to the rest of the world. It would be cost efficient for the rest of the world to import from Meekertown.

Consumers in Meekertown are worse of because of the trade because the price of Meekers would rise.

Producers are better off because they would earn more profits from the sale of Meekers at the world price.

Free trade increases total surplus because of efficient production. If a country is inefficient in production, it would import . This would increase consumer surplus and if it is efficient in production, it would export increasing producer surplus.

I hope my answer helps you

7 0
3 years ago
The basic distinction between a primary and a secondary market is a. proceeds from sales in the primary market go to the current
zavuch27 [327]

Answer:

c. Only new securities are sold in the primary market.

Explanation:

  • Primary markets is where securities are sold for the first time. Secondary market is a place (physical o virtual place) where securities are renegociated.
  • As an example, think about a company which is increasing its capitalization and wants to emit new stocks: it would do it in the primary market.
  • On the other hand, if some of the members of the company wantsto buy more stocks from that company, unless the company is emiting new stocks, he or she would have to buy the stocks in the secondary market.
3 0
2 years ago
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