Answer: 7.43%
Explanation:
The yield to maturity simply refers to the total return that is expected on a bond as long as the bond is held till it matures.
In this case, since the investor is indifferent between this municipal bond and an otherwise identical taxable corporate bond, the yield to maturity of the corporate bond will be:
4.83% = Corporate bond YTM × ( 1- 35%)
4.83% = Corporate bond YTM × 65%
Corporate bond YTM = 4.83% / 65%
Corporate bond YTM = 0.0483/0.65
Corporate bond YTM = 7.43%
The yield to maturity of the corporate bond is 7.43%
It would not fall at all. Monopolists own the entire industry meaning the consumers have no alternatives. If they have no alternative they have no choice but to buy even if the price increases
Answer:
the bad debt expense is $900
Explanation:
The computation of the bad debt expense is shown below:
bad debt expense is
= Written off amount + estimated uncollectible amount at the year end
= $650 + $250
= $900
We simply added the above two items so that the amount of the bad debts for the first year could come
Hence, the bad debt expense is $900
If management implements proper organization and <span>productivity will be higher,.
Proper organization refers to placing the Right people to do the right job, employee moral will make the employees have positive attachment to the company which will make them do their best to bring a good contribution for the company.</span>
