Answer:
$414.64
Explanation:
For computing the value of zero-coupon bond we need to apply the present value formula i.e to be shown in the attachment
Given that,
Future value = $1,000
Rate of interest = 9% ÷ 2 = 4.5%
NPER = 10 years × 2 = 20 years
PMT = $0
The formula is shown below:
= -PV(Rate;NPER;PMT;FV;type)
So, after applying the above formula, the present value is $414.64
Answer:
33,000
Explanation:
The number of units included in the production budget is given by dividing the budgeted value by the cost per unit.
The cost per unit is:

The number of budgeted units is:

33,000 units are included in the production budget for next year
I found the correct table and copied its form in an excel file. I also inputted my answers there.
Fixed cost is a fixed amount regardless of the number of units created.
Variable cost is the amount that is directly related to the number of units. As the number of units produced increases, so does the variable cost.
These are the formulas I used in the table I made.
Total Cost = Fixed Cost + Variable Cost
Fixed Cost = Total Cost - Variable Cost
Variable Cost = Total Cost - Fixed Cost
Average Fixed Cost = Fixed Cost / Quantity output
Average Variable Cost = Variable Cost / Quantity output
Average Total Cost = Total Cost / Quantity output OR Ave. Fixed Cost + Ave. Variable Cost.
Marginal Cost = Change in Total Cost / Change in Quantity output
Answer:
Total dollar return is $103.00
Explanation:
The total dollar return on the investment comprises of the increase in price as well as the annual coupon of 7.4% of face value received over the holding period of one year.
annual coupon=face value*coupon rate=$1000*7.4%=$74.00
increase in bond's price=$926-$897=$29.00
Total dollar return on investment=$74.00+$29.00
Total dollar return on investment=$103