Answer:
a. <u>Calculation of the yield to maturity for a bond with a maturity years</u>
Yield to Maturity = [(Face value/Bond price)^(1/Time period)] - 1
i. One year = (1000/920.90) - 1 = 0.0858942339 = 8.59%
ii. Two year = (1000/912.97)^(1/2) - 1 = 0.04657835011 = 4.66%
iii. Three year = (1000/826.62)^(1/3) - 1 = 0.06552758403 = 6.55%
iv. Four year = (1000/785.62)^(1/4) - 1 = 0.06217693669 = 6.22%
b. <u>Calculation of the forward rate</u>
Forward rate = [(1 + Next year YTM)^Period / (1+Previous year YTM)^Period} - 1
i. Second year = (1+4.66%)^2/(1+8.59%) - 1 = 0.00872231328 = 0.87%
ii. Third year = (1+6.55%)^2/(1+4.66%) - 1 = 0.08474130517 = 8.47%
iii. Fourth year = (1+6.22%)^2/(1+6.55%) - 1 = 0.05891022055 = 5.89%
The best answer to that would be creating a thorough business plan. It can't be letter B because advertising is to attract customers. it can't be C too since an out of the way location for business is doomed to fail, and it can't be D too since this has nothing to do with investors. it is A because in order for you to attract investors, you have to give them a reason to invest in it. You have to convince them that your business idea is a good one and that they will be able to earn from it.
Answer:
The optimal order quantity is 6
Explanation:
Please see attachment
Answer:
because small business have compitator
Answer:
C) the costs to be incurred by the issuer in connection with the offering.
Explanation:
The bond resolution (or the bond contract) spells out the characteristics of the issue (maturities, call features, etc.), the issuer's responsibilities to bondholders, and any restrictive covenants to which the issuer must adhere. Costs to be incurred by the issuer have no impact on bondholders.
hope this helps have a nice day :)