Answer:
The main economic benefit that debt rescheduling has for developing countries is that it changes principal and interest payments to more favorable conditions.
This means that after the reschedule, developing countries will have to put less resources into the payments of public debt, which allows them to have more resources available for other public investments like education, healthcare, and infraestructure.
Answer:
The current yield is 5.2% and capital gain is 2.63%.
Explanation:
The par value of bond = $10000
Current price = $9500
Annual coupan payment = 5%
Annual coupan payment = 10000 × 5% = $500
Now calculate the current yield.
The current yield = annual coupon payment / current price
The current yield = 500 / 9500 = 0.052 or 5.2%
Now calculate the capital gain. In the question, it says that it starts at $9500 so its original price is 9500.
Capital gain yield = (9750 – 9500) / 9500 = 0.0263 or 2.63%
Probably engineering and probably airplanes
Answer:
The maximium cost I would be willing to purchase the asset is 26.033,84 above this price the investment will not yield the 6% return.
Explanation:
We calcualte the present value of all cash flows:
annual cashflow:
15,000 revenue - 2,000 expenses = 3,000
C 3,000.00
time 20
rate 0.06
PV $34,409.7637
Pv of the 10th year investment:
Maturity $15,000.0000
time 10.00
rate 0.06000
PV 8,375.9217
present value of the cashflow
34,409.7637 - 8,375.92 = 26.033,84
