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qwelly [4]
3 years ago
5

Madsen Motors's bonds have 21 years remaining to maturity. Interest is paid annually, they have a $1,000 par value, the coupon i

nterest rate is 12%, and the yield to maturity is 15%. What is the bond's current market price

Business
1 answer:
GarryVolchara [31]3 years ago
4 0

Answer:

$810.63

Explanation:

For computing the current market price we need to use the present value formula i.e to be shown in the attachment below

Provided that,  

Future value = $1,000

Rate of interest = 15%

NPER =  21 years

PMT = $1,000 × 12% = $120

The formula is shown below:

= -PV(Rate;NPER;PMT;FV;type)

So, after applying the above formula, the bond current market price is $810.63

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All counties in Texas have the same basic structure, as dictated by law, with little localized variation. Critics take issue wit
Annette [7]

It is true that employment in county government is not based on system but rather is often determined by political or personal relationships. Critics contend that this leads to inefficiencies.

<h3>How employment is determined by political or personal relationships?</h3>
  • Employing someone based only on their political and personal connections could result in inefficiency.
  • To make sure they are hiring people who are deserving of the roles they are giving, employers must constantly search the open market for qualified personnel.
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Learn more about Employment here:

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5 0
1 year ago
Why is honesty an important component of bargaining it is not you can use more marketing techniques to sell a product if you str
ser-zykov [4K]

If a person doesn't trust you then they will tell other people and the other people won't trust you

8 0
3 years ago
Toyota's just- in- time system is an example of using transfer pricing to avoid price controls. backward (upstream) integration.
wel

Answer:

quasi vertical integration

Explanation:

Quasi vertical integration is the vertical integration in which there is ownership by one firm i.e. downstream that closed to point where consumption ends or the upstream where the specialized tool and equipment are used

Also the firm that controls has a strong position but it is less as compared with the real vertical integration

Therefore according to the given situation, the second option is correct

4 0
3 years ago
Granfield Company is considering eliminating its backpack division, which reported an operating loss for the recent year of $41,
quester [9]

Answer:

 The impact of eliminating the backpack division

Particulars                                           Amount

Decrease in contribution margin      $480,500   ($950500-$470,000)

<u>Decrease in Expenses:</u>

Fixed expenses                                  <u>$208,800 </u>   ($70522,000*40%)

Decrease in Net operating income <u>$271,700</u>      (Financial disadvantage)

3 0
3 years ago
The following are budgeted data:Sales (units ) Production (units)April 15,000 18,000May 20,000 19,000June 18,000 16,000Two pound
zmey [24]

Answer:

Total= 36,800 pounds

Explanation:

Giving the following information:

Sales (units ) - Production (units):

May: 20,000 - 19,000

June: 18,000 - 16,000

Two pounds of material is required for each finished unit. The inventory of materials at the end of each month should equal 20% of the following month's production needs.

Purchases for May= production for the month + desired ending inventory - beginning inventory

Production= 19,000*2 pounds= 38,000 pounds

Desired ending inventory= (16,000*2)*0.2= 6,400 pounds

Beginning inventory= (38,000*0.2)= (7,600)

Total= 36,800 pounds

3 0
3 years ago
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