Answer:
Current bond price is $891.74
Explanation:
Coupon rate: 7%
Tenor (Nper): 13 years
Par value: $1,000
YTM (discounting rate): 8.4%
Coupon received annually (PMT) = $1,000 * 7% = $70
Current bond price = present value of coupon received annually + present value of bond
To calculate PV of coupon received, we use excel in formula PV(discounting rate ,Nper,- PMT) = PV(8.4%,13,-70) = $541.30
or calculate manually = 70/(1+8.4%)^13+70/(1+8.4%)^12+…..+70/(1+8.4%)^1 = $541.30
present value of bond = 1000/(1+8.4%)^13 = $350.44
Current bond price = $541.30 + $350.44 = $891.74
Answer:
the utilitarian theory of ethics in business contexts.
Explanation:
According to the Utilitarian theory of ethics, the steps to be chosen by any business of entity should rely on maximizing the good and minimizing the sufferings. Also, at the same time, the benefit or good to the maximum is required to be considered before taking any decision.
In the given excerpt, Hailey adopts the utilitarian theory of ethics by focusing on the outcome of the steps that he take.
Answer:
True
Explanation:
Professional skepticism is an examining mindset which makes you conscious of the situations that may suggest possible error or scam as well as a critical evaluation of audit facts.
Answer:
Annual depreciation (year 1)= $1,400
Explanation:
Giving the following information:
Buying price= $36,000.
Useful units= 300,000 units of product.
Salvage value= $6,000
During its first year, the machine produces 14,000 units of product.
To calculate the depreciation expense for the first year under the units of production method, we need to use the following formula:
Annual depreciation= [(original cost - salvage value)/useful life of production in units]*units produced
Annual depreciation= [(36,000 - 6,000)/300,000]*14,000
Annual depreciation= 0.1*14,000= $1,400
You like to convince people do what you want for the benefit of everyone.