Its annual compound yield to maturity (YTM) is $881.00
An annual compound hobby is calculated by multiplying the initial main amount by one plus the once-a-year hobby fee raised to the wide variety of compound durations minus one. A hobby may be compounded on any given frequency agenda, from continuous to every day to annually.
"12% hobby" approach that the hobby fee is 12% in keeping with year, compounded annually. "12% interest annual compound monthly" manner that the hobby charge is 12% in line with the year (no longer 12% consistent with month), compounded month-to-month. Consequently, the hobby price is 1% (12% / 12) in line with the month.
A compound hobby is the addition of a hobby to the principal sum of a mortgage or deposit, or in other phrases, interest on essential plus interest.
First, find YTM
N = 20
I = YTM
PV = -860
PMT = 50
FV = 1000
YTM = 6.245%
The price after 5 years is nothing but the future value of the bond after 5 years
N = 5
I = YTM = 6.245
PV = -860
PMT = 50
FV = $881
So the answer is $881.00
Learn more about annual compound here brainly.com/question/24274034
#SPJ4
Answer:
The portfolio with a beta of 1.38 should earn the most risk premium based on CAPM.
The correct answer is B
Explanation:
A diversified portfolio with returns similar to the overall market will not earn the most risk premium because its beta is equal to 1.
A stock with a beta of 1.38 produces the most risk premium because any stock with the highest beta gives the highest risk-premium. This is the correct answer.
A stock with a beta of 0.74 does not provide the highest risk premium.
Us treasury bill does not provide any risk premium since it is the risk-free rate.
A portfolio with a beta of 1.01 does not produce the highest risk premium.
Answer:
Licensing
Explanation:
Based on the scenario, it can be said that the Selman & Saks would be using the market entry strategy of Licensing. This is an arrangement in which the firm transfers the rights to be able to use a certain product or service to another firm. Therefore the other firm is able to produce and market the product as their own in order to make profit on it. Which is what Selman & Saks are doing by allowing the French company to produce and market razors and trimmers carrying the company's brand.
Answer:
$51.00
Explanation:
Calaulation of Baka Corporation predetermined overhead rate for the year.
Formula for predetermined overhead rate:
Predetermined overhead rate=Estimated overhead÷Estimated direct labor hours
Where,
Estimated overhead= 239,700
Estimated direct labor hours= 4,700
Let plug in the formula
(239,700/4700)
=$51 per direct labor hour
Therefore the predetermined overhead rate for the year was closest to $51 per direct labor hour.
Answer:
1.66
Explanation:
From the question above, S corporation earns $2.07 per share before taxes are paid.
$2.07 is received for each share
The marginal tax rate is 20%
= 20/100
= 0.2
Therefore, the amount of shares that is left after payment of taxes can be calculated as follows
Amount of shares left= Price per share-(Price per share×tax rate)
= $2.07-($2.07×0.2)
= $2.07-0.414
= 1.66
Hence the amount of shares left after taxes have been paid is 1.66