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Rama09 [41]
2 years ago
14

A $1,000 face value bond can be redeemed early at the issuer's discretion for $1,030,plus any accrued interest.The additional $3

0 is called the:_____________A) dirty priceB) redemption valueC) call premiumD) original-issue discountE) redemption discount
Business
1 answer:
Nina [5.8K]2 years ago
6 0

Answer:

C) call premium

Explanation:

These additional $30 are called the call premium. They are basically a fee that the issuer pays to the holder when they break the agreed-upon time frame and recall the bond at an earlier date. Basically, it is a payment form of saying sorry redeeming the asset earlier than expected. This call premium is applied to a variety of different assets such as bonds and preferred shares, among others.

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Financial markets make the process of borrowing large amounts of money easier because they simplify the negotiation process betw
Mekhanik [1.2K]

Answer:

Reducing risk

Explanation:

The two ways by which risk can be managed are;

✓ Risk avoidance

✓ risk reduction

risk reduction are activities needed to bring about lower likelihood of risk as well as severity of loss. We can reduce risk through reduction of allocation of our resources to risky situation. An example of reducing risk is in the instance of Financial markets that are making the process of borrowing large amounts of money easier because they simplify the negotiation process between borrowers and lenders.

3 0
2 years ago
When the Fed buys bonds the supply of money decreases and so aggregate demand shifts left. the supply of money decreases and so
stealth61 [152]

Answer: The supply of money increases and so aggregate demand shifts right.

Explanation: When the Federal Government buy Bond they help to increase the amount of money available for the Banks to loan to Business entities, Organisations and individuals.

The Aggregate Demand will Shift to the right, signaling the Increase in the rate of Demand as a result of the Increase in the volume of Money in circulation within the Economy. Once consumers have money to spend or invest they will cause the Demand for goods and services to increase.

4 0
3 years ago
You are helping a customer who wants to purchase pavers and they have selected
IrinaVladis [17]

Answer:

D. Ask the customer if they need any other products for the project.​

Explanation:

Customers who buy pavers are usually involved in a medium or large house project, and probably need other products. For this reason, a sales representative should ask the customer if they need anything else for the project in order to increase sales for the company.

7 0
3 years ago
What is the impact of war in international trade
Bezzdna [24]

The impact of war in international trade includes:

  • restriction of goods to the countries
  • conflict leading to non-agreement on trade
  • low or no trade relationship between countries.

<h3>What is an international trade?</h3>

This refers to the economic transactions that are made or took place between countries.

Hence, any military conflict impact on international trade by causing a restriction of goods to the countries, conflict leading to non-agreement on trade, low or no trade relationship between countries etc.

Read more about international trade

<em>brainly.com/question/15115779</em>

#SPJ1

8 0
1 year ago
Daley Company estimates uncollectible accounts using the allowance method at December 31. It prepared the following aging of rec
Gre4nikov [31]

Answer:

a. 5% of $ 650,000=     $ 32,500

b. Required Adjustment  = $ 19,100

c. Required Adjustment  = $ 34,900

Explanation:

             Days Past Due

         Total           0                1 to 30          31 to 60      61 to 90         Over 90

Accounts- $650,000 $412,000 $106,000 $52,000 $34,000 $46,000

receivable

             

Percent-                          2%          3%             6%                8%               11%

uncollectible    22,320    8,240      3180         3120          2720            5060  

a. 5% of $ 650,000=     $ 32,500

B . Unadjusted Balance = $ 13,400 Credit

    Estimated Balance= $ 32,500

Required Adjustment  = $ 19,100

C. Unadjusted Balance = $ 2,400 Debit

        Estimated Balance= $ 32,500

Required Adjustment  = $ 34,900

4 0
3 years ago
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