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Inessa05 [86]
2 years ago
9

On January 1, 2010, Broker Corp. issued $3,000,000 par value 12%, 10 year bonds which pay interest each December 31. If the mark

et rate of interest was 14%, what was the issue price of the bonds
Business
1 answer:
VMariaS [17]2 years ago
6 0

Answer:

$2,686,898

Explanation:

The computation of the issued price of the bond is as follows;

= Maturity value present value + interest payment maturity value

= $3,000,000 × 02697 + (($300,000 × 0.12) × 5.2161)

= $2,686,898

The 0.297 represent the PVF at 14% for 10 period

5.6502 represent the Present value of an annyity for 10 period at 12%

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Three years ago, Charles purchased a health policy from the QRS Company; he has purchased two additional contracts from the same
ikadub [295]

Answer: a. Only one policy will pay, the premiums for the other contracts will be returned.

Explanation:

When there are multiple insurance contracts from the same insurer and these contracts have a ''Other Insurance With This Insurer'' provision, it means that in cases where the insured wants to claim, they can choose whichever of the policies they want and that one will pay out but they cannot pick them all.

The premiums paid on the other contracts/s will be returned to the insured because it represents excess coverage.

5 0
3 years ago
​Moe's Pizza Shop sells a large pizza for​ $12.00. Unit variable expenses total​ $8.00. The breakeven sales in units is​ 7,000 a
Nookie1986 [14]

Answer:

Margin of safety= $12,000

Explanation:

Giving the following information:

Moe's Pizza Shop sells a large pizza for​ $12.00. Unit variable expenses total​ $8.00. The breakeven sales in units are​ 7,000 and budgeted sales in units are​ 8,000

To calculate the margin of safety in dollars, we need to use the following formula:

Margin of safety= (current sales level - break-even point)

Margin of safety= (8,000*12) - (7,000*12)= $12,000

3 0
3 years ago
Why​ isn't elasticity just measured by the slope of the demand​ curve?
marissa [1.9K]
I think its B if not B than C most likely
6 0
3 years ago
Financial literacy is the set of skills and knowledge needed to make __________ about money matters. A.informed decisions B.unin
JulsSmile [24]
Financial literacy is the set of skills and knowledge needed to make INFORMED DECISION about money matters.  The correct option is A.
Financial literacy refers to an education that empowers one with knowledge and understanding about how to manage money in an efficient manner. It enables one to make financial decisions that are based on facts and not emotions. Financial literacy involves acquiring skills in making appropriate financial decisions which can involve any of the following: budgeting, insuring, investing, tax planning, retirement, etc.
3 0
3 years ago
If the dividend yield for year 1 is expected to be 5% based on a stock price of $25, what will the year 4 dividend be if dividen
MariettaO [177]

Answer:

$1.33

Explanation:

Calculation for what will the year 4 dividend be

Using this formula

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Let plug in the formula

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Year 4 dividend=(.05 × $25) × 1.06

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Therefore what will the year 4 dividend be if dividends grow annually at a constant rate of 6% is $1.33

6 0
2 years ago
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