1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Misha Larkins [42]
3 years ago
13

BSW Corporation has a bond issue outstanding with an annual coupon rate of 7 percent paid quarterly and four years remaining unt

il maturity. The par value of the bond is $1,000. Determine the fair present value of the bond if market conditions justify a 14 percent, compounded quarterly, required rate of return. (Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16))

Business
1 answer:
Furkat [3]3 years ago
4 0

Answer:

$788.35

Explanation:

In this question, we use the present value formula which is shown in the spreadsheet.  

The NPER represents the time period.

Given that,  

Future value = $1,000

Rate of interest = 14% ÷ 4 quarters = 3.5%

NPER = 4 × 4 quarter = 16 years

PMT = $1,000 × 7% ÷ 4 quarters = $17.50

The formula is shown below:

= PV(Rate;NPER;PMT;FV;type)

So, after solving this, the answer would be $788.35

You might be interested in
Jill earns a salary of $425.00 per week, plus a commission of 20% on all sales. Last week she sold $1,123 worth of goods. How mu
ch4aika [34]
To find 20% of the value of the goods,
1,123 x 20% (this is the same as 1,123 x 0.2)
= 224.6

Add the salary and the commission,
425.00 + 224.6
= 649.60

Therefore Jill was paid $649.60 last week

4 0
3 years ago
Read 2 more answers
Suppose that a jewelry store found that when it increased prices by 10 percent, sales revenue increased by 3 percent. Which of t
Anna11 [10]

Answer:

The correct answer is Demand is inelastic, but not perfectly.

Explanation:

Inelastic demand is that demand that is not very sensitive to a change in price. In this way, before a variation in the price the quantity demanded reacts in a less than proportional way. For example, if the price increases by 10% and in response the quantity demanded is reduced by less than 10%, then the demand is said to be inelastic.

The elasticity of demand, also known as the elasticity-price of demand, is defined as the percentage change of the quantity demanded before a percentage change in the price.

4 0
3 years ago
In one of the case studies in the textbook, Ernie Phillips was a CPA who had fallen on hard times both financially and personall
olga_2 [115]

Answer:

The fraud was discovered Option D: The operations manager found a check made payable to Phillips while searching Phillips' desk for some accounting records.

Explanation:

In the given case study, Ernie Phillips had got a job as a 'controller'. He had started writing checks to himself other than the payroll checks.

This fraud can be discovered when the operations manager found a check on Phillips desk which was payable to himself and it was other than the payroll check. Thus, Option D is the statement as an answer.

Cancelled checks do not have to do anything with the fraud, as per Option A, because cancelled checks are never cleared in the bank. The receiver doesn't usually receive a call before check clearance. So, Option B is also incorrect. No error was there in the check as stated in Option C.

8 0
3 years ago
Which example best describes reducing risky behavior?
Vaselesa [24]

Answer:

deciding not to buy a car

8 0
3 years ago
Cayo Casta Cabins Corporation recently purchased Ship Island Resort and Casino and the land on which it is located with the plan
PilotLPTM [1.2K]

Answer:

4) recorded as a reduction of the cost of the land.

Explanation:

When you are calculating the cost of any land purchased, you must start with the purchase price and add all the expenditures necessary for getting the land  ready, e.g. legal fees, taxes, real estate commissions, land grading, clearing the trees, etc., and subtract any revenue obtained, e.g. from the sale of salvaged materials or timber.

total cost of land = purchase price + (fees, commissions, grading, clearance expenses, taxes, etc.) - revenue (salvaged materials, scrap, timber, etc.)

4 0
3 years ago
Other questions:
  • Collector Carl displays his beer can collection at the local swap meet. Mary sees the collection and is interested in buying it.
    14·1 answer
  • 1. Which design style resembles a half-moon?
    6·2 answers
  • An automobile battery manufacturer offers a 39/50 warranty on its batteries. The first number in the warranty code is the free-r
    14·1 answer
  • What is the good that you have selected?
    9·1 answer
  • ix company issued 16,000 shares of $10 par value common stock at a market price of $21. as a result of this accounting event, th
    6·1 answer
  • Petter Jansen purchased 100 shares each in Sygnette and Joey Stores a year ago. He paid $62.85 and $121.15 per share respectivel
    13·1 answer
  • Carlos needs to combine words in a First Name and a Last Name column. Which of the following functions should he use
    14·1 answer
  • During its first year of operations, Silverman Company paid $11,625 for direct materials and $11,000 for production workers' wag
    7·1 answer
  • A deductible of $500 requires ( select the correct answer )
    9·2 answers
  • what should you do if you do not have or do not believe that you have the proper materials to safely perform your job?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!