Answer:
$918.48
Explanation:
price of bond A after the interest rate increased to 5% and the time to maturity is 3 years:
PV of face value = $1,000 / (1 + 5%)³ = $863.84
PV of coupon payments = $20 x 2.7232 (PV annuity factor, 5%, 3 periods) = $54.46
Market value of bond A = $863.84 + $54.46 = $918.48
Since the market rate is higher than the coupon rate, the bond will sell at a discount.
Answer:
Demographic segmentation
Explanation:
Demographic segmentation - it is the term used for segmentation of the population on the basis of sex, culture, income, etc. The main reason behind the segmentation of the population is to target the customers according to their needs.
for example - if in any locality, the majority of people believing in one culture or having the same status then the corporation must target the customers according to belief or their status. which can be achieved by demographic segmentation.
Answer:
easements, trespassing, and eminent domain. Explanation: Zoning is the most common form of land-use regulation, used by municipalities to control local property development. Other legal issues pertaining to land use include
Answer:
16.30%
Explanation:
Calculation for what the percentage of the company's capital structure consists of debt
Using this formula
rs=D1/P0+g
First step is to find the D1 using this formula
D1=(1+Dividend expected grow constant rate) *+Dividend per share
Let plug in the formula
D1=(1+0.07)*$2.00
D1=1.07*$2.00
D1=$2.14
Now let find the percentage of the company's capital structure Using this formula
rs=D1/P0+g
Let plug in the formula
rs=$2.14/$23.00+0.07
rs=0.09304947+0.07
rs=0.1630*100
rs=16.30%
Therefore the percentage of the company's capital structure consists of debt will be 16.30%
