To calculate the yield-to-maturity (YTM) as an annual percentage rate (APR) for the 25-year bond issued by West Corp., we need to consider the current selling price, coupon rate, coupon payments, and the time to maturity.
Given information:- Coupon rate: 5.2% (annual)
- Bond maturity: 25 years- Bonds sell for 105% of the par value (which implies a selling price of 105% of the face value)
Since the bonds make semiannual payments, the coupon rate needs to be divided by 2, resulting in a semiannual coupon rate of 2.6% (5.2% / 2).
To calculate the YTM, we need to find the interest rate that discounts the bond's cash flows (coupon payments and face value) to the current selling price.
semiannual coupons, we consider the time periods as half-years.
Using a financial calculator or spreadsheet, we can determine the YTM that equates the present value of the bond's future cash flows to its current selling price of 105%.
It's important to note that the bond's price includes both the present value of the coupon payments and the face value.
By applying this calculation method, the YTM (APR) for the bonds can be determined.
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Define a Small Scale Enterprise as per ‘MSMED Act, 2006’.
Explanation:
the Government of India has in acted, small and medium enterprises development (MSMED) Act, 2006 in terms of which the definition of micro, small and medium enterprises is an enterprise where the investment in plant and machinery is more than rate 25 lakh but does not exceed rate.
5. calculating tax incidence suppose that the local government of columbus decides to institute a tax on cider producers. before the tax, 30,000 cases of cider were sold every week at a price of $10 per case. after the tax, 23,000 cases of cider are sold every week; consumers pay $14 per case, and producers receive $7 per case (after paying the tax). the amount of the tax on a case of cider isper case. of this amount, the burden that falls on consumers isper case, and the burden that falls on producers isper case. true or false: the effect of the tax on the quantity sold would have been smaller if the tax had been levied on consumers. true false
To calculate the tax incidence, we need to compare the market equilibrium before and after the tax.
Before the tax, the market equilibrium was:
Quantity: 30,000 cases of cider
Price: $10 per case
After the tax, the market equilibrium is:
Quantity: 23,000 cases of cider
Price: $14 per case
The tax is $4 per case, which the producers pay.
To calculate the burden on consumers and producers, we need to compare the price change with and without the tax.
Without the tax, the price would have been $10 per case.
With the tax, the price is $14 per case.
So, the price increase due to the tax is $4 per case.
The burden that falls on consumers is the price increase, which is $4 per case.
The burden that falls on producers is the decrease in the price they receive, which is also $4 per case.
Therefore, the true statement is:
The effect of the tax on the quantity sold would not have been smaller if the tax had been levied on consumers. The tax incidence depends on the price elasticity of demand and supply, not on who is legally responsible for paying the tax.
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what did not contribute to the collapse of the stock market in 1929?
Answer: stock prices reflected the real value of companies
Explanation:
A 65-year old individual has just retired after working for the same employer for 20 years. He will collect an annual pension benefit of $50,000, but is not yet ready to stop working. He has lined up a part-time job that will pay $3,000 this coming year. How much can he contribute to a Traditional Individual Retirement Account for his first year in retirement
Answer:
$3,000
Explanation:
Based on the information given we were told that he has a PART-TIME JOB THAT WILL PAY him the amount of $3,000 this coming year which means that the amount he can contribute to a TRADITIONAL INDIVIDUAL RETIREMENT ACCOUNT for his first year in retirement will be the EARNED INCOME of the amount of $3,000 which will therefore be his maximum INDIVIDUAL RETIREMENT ACCOUNT (IRA) contribution for this year.
All the following are needed for the computation of depreciation exceptA. training costs of manufacturing personnel (fact)B. cost (fact)C. salvage value (company does estimation)D. estimated useful life
All the following are needed for the computation of depreciation except training costs of manufacturing personnel. The correct option is A.
Depreciation is a process of allocating the cost of a long-term asset over its useful life. It is an important accounting concept used to spread the cost of an asset over its useful life so that the cost can be matched with the revenue generated from using the asset. In order to compute depreciation, the following information is needed:
Cost of the asset: This is the original purchase price of the asset, including any other costs necessary to bring the asset into service such as shipping, installation, taxes, and insurance.Estimated useful life: This is the expected period of time that the asset will be in service before it is retired or disposed of.Salvage value: This is the estimated amount that the company expects to receive when the asset is retired or disposed of at the end of its useful life.These three factors are used in various depreciation methods to determine the amount of depreciation that should be recorded each period. Other factors such as training costs of manufacturing personnel are not needed for the computation of depreciation because they are not directly related to the cost of the asset or its useful life.
The correct option is A.
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1. What is a business plan?
Answer:
It's simple, what you want to do with your business. Or what your planning to do with it.
What's a curling iron?
Answer:
A curling iron is a tool that is used on hair to create a tight or loose curl.
Marinis Corporation is considering buying a brand new machine and has gathered the following data: Investment $104,700 Estimated life 5 years Estimated annual cash inflows $29,900 Estimated annual cash outflows $10,000 Salvage value for the machine is estimated to be zero. Click here to view PV table. Calculate the net present value of the machine assuming a 5% discount rate. (If the net present value is negative, use either a negative sign preceding the number eg -45 or parentheses eg (45). For calculation purposes, use 5 decimal places as displayed in the factor table provided, e.g. 1.25124. Round present value answer to 0 decimal places, e.g. 125.) Net Present Value $ Should the company buy the machine based on your results
The net present value (NPV) of the machine, considering a 5% discount rate, is $26,912.45. Therefore, based on the NPV analysis, the company should proceed with buying the machine.
The net present value (NPV) is a financial indicator used to assess the profitability of an investment by comparing the present value of cash inflows and outflows.
A positive NPV suggests that the investment is expected to generate more cash inflows than outflows, resulting in a net positive return. In this case, the estimated annual cash inflows of $29,900 exceed the estimated annual cash outflows of $10,000.
By the discount these cash flows at a 5% rate over the 5-year life of the machine, the NPV is calculated to be $26,912.45.
Since the NPV is positive, it implies that the investment is expected to create value for the company and generate a positive return, indicating that purchasing the machine is a financially favorable decision.
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distinguish between individual Centred career and Organisation Centred career
Answer:
please check my profile
Explanation:
martin noticed an older woman slip and fall on the street. he started to look around at the strangers who were noticing the woman on the ground but were walking past the woman. since no one else was stopping to help her, he decided the woman did not need help. what has influenced martin's decision? question 7 options: 1) altruism 2) priming 3) pluralistic ignorance 4) cost-benefit analysis
Option 3. The factor that has influenced the decision that Martin has made here on whether to help the woman or not is the pluralistic ignorance.
What is the pluralistic ignorance?Pluralistic ignorance, to put it simply, is the notion that others in a group (such as a school, a team, a workplace, or a group of friends) possess attitudes, beliefs, or behaviors that are similarly more or less severe.
People who are falsely convinced that everyone else has opinions that differ from their own are said to be suffering from pluralistic ignorance. This frequently results in a false consensus, where people follow what is perceived to be the majority opinion even though it may not be shared by all.
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The fundamental problem with the option ARM loan, as most commonly used, was that it created a rapid increase in the:
Based on loan and credit analysis, the fundamental problem with the option ARM loan, as most commonly used, was that it created a rapid increase in monthly payments.
This situation is often described as payment shock risk.
In this option ARM loan, the monthly payments increase based on many reasons like unscheduled recast when a negative amortization limit is attained.
Hence, in this case, it is concluded that the correct answer is "monthly payments."
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To measure the strength of a currency, you can
measure the face value against what other
value?
A. market
B. intrinsic
C. foreign
ABC stock is currently selling for $120. The exercise price of the call option is $125. Using a one-period binomial model, calculate the price of the call option assuming an interest rate of 3% per year. Assume further that over the next year, the stock price will either increase by 10% or decrease by 10%. What is the price of the call option? Show detailed work
The probability weighted average of the interest rate future values at the end of each of the three periods is used to determine this, and the future values are then discounted back to the present using the interest rate.
The tree is built using the current stock price and a simulation of the up and down movements over the course of the three periods using the provided probability and percentage changes.
Each end node's option value is determined before being processed back up the tree to the starting node. The starting node's computation serves as the end option value.
The stock's annual payout range is $27 - $17 = $10.
If the stock price is $27 when the option expires, its value will be =$27-$22 =$5.
If the stock price is $17, the option will also have no value.
The stock option has a payment range of $5 and $0;0 = $5.
To determine the amount of stock shares, balance the range:
$5/10 = 0.5 Option range/Stock range
The stock option payoff for 0.5 shares will be either $13.5 or $8.5. The payout for the portfolio and options will be $13.5- $5, which equals $8.5, or $8.5 $0; 0 = $8.5.
PV = $8.5/ (1+) is the present value of $8.5 at the daily compounding risk-free rate.
Complete question:
ABC stock is currently selling for $120. The exercise price of the call option is $125. Using a one-period binomial model, calculate the price of the call option assuming an interest rate of 3% per year. Assume further that over the next year, the stock price will either increase by 10% or decrease by 10%. What is the price of the call option? Show detailed work?
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Any two feature of business
Answer:
buying and selling ,profit motive
Ingrid wants to acquire a lot of exposure for a new product line that she's launching. She understands that she can reach a significant portion of people on the internet with the help of a Display campaign. In what way will a Display campaign achieve Ingrid's marketing goal?
Answer:
Explanation:
A Display campaign will allow Ingrid to put her new product in front of the eyes of an extremely large audience of individuals who are interested in such a product. Display campaigns focus on targeting specific individuals who have searched for search terms that pertain to your product or who have searched for similar products. By placing ads in front of these people about Ingrid's product it will drastically increase the chances of getting more sales.
What might be an advantage of using credit
the dream stage of the appreciative inquiry process involves____.
a. creating a shared vision of the best possible future, grounded in the reality of what already exists.
b. translating the ideas identified in the previous stages into concrete action steps
c. interviewing people and asking them to tell stories that identify the best of their experiences with an organization
d. formulating action plans for transforming dreams Into reality.
The dream stage of the appreciative inquiry process involves creating a shared vision of the best possible future, grounded in the reality of what already exists.
Option A is correct.
The dream stage of the Appreciative Inquiry process is about envisioning and articulating a compelling and positive future. During this stage, individuals and groups involved in the process come together to create a shared vision of what the organization or situation could be at its best. This vision is not detached from reality; it is grounded in an understanding of the current strengths, positive aspects, and potential of the organization or situation.
The dream stage encourages participants to think beyond existing limitations and constraints, allowing them to imagine and articulate their aspirations, hopes, and goals. The focus is on creating a vivid and inspiring picture of the desired future state.
Option a) correctly captures the essence of the dream stage, emphasizing the importance of building a shared vision that is grounded in the reality of what already exists. This approach helps to ensure that the vision is realistic and achievable while still pushing the boundaries of what is currently possible.
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Which statement explains a reason why the United States relies more heavily on expensive, high-tech medical treatments as compared to European countries
The main reason why the U.S. relies more on this is because the its health care costs are paid from a mixture of sources which leaves no single source primarily responsible for controlling health care costs.
In Europe, the countries does not rely more heavily on expensive and high-tech medical treatments as United States does.
In conclusion, the main reason why the U.S. relies more on this is because the its health care costs are paid from a mixture of sources which leaves no single source primarily responsible for controlling health care costs.
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during peak usage, what happens to the cost of electricity?
During periods of peak electricity usage, the cost of electricity typically increases due to higher demand and the need for additional resources to meet the load.
Cost of electricity during peak usage: During peak usage periods, such as high-demand times of the day or year, the cost of electricity tends to rise. This increase in cost is due to the higher demand for electricity, which puts strain on the power grid and requires additional resources to meet the increased load.
Factors influencing the cost increase: Increased demand for electricity during peak periods puts pressure on power providers to generate or purchase more electricity, often from less efficient and more expensive sources.
To cover these additional costs, power providers may adjust the pricing structure, leading to higher rates during peak hours or seasons. This pricing mechanism is designed to incentivize consumers to shift their electricity usage to off-peak hours, reducing strain on the grid and balancing the supply and demand.
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A disadvantage of extending credit to customers is that the cost may ______ the additional sales revenue received through credit transactions.
The disadvantage of extending credit to customers is that the cost may exceed the additional sales revenue received through credit transactions. hence, Option C is the correct statement.
What do you mean by extending credit to customers?The method of extending credit to customers permits them to buy items and services and pay for them later on. Offering credit is usually a win-win for each trader and buyer.
Customers have greater buying strength and have a tendency to shop for greater in the event that they are not restrained to the cash they have got at the time of the sale.
The missing information from the above question is given below:
increase
be less than
exceed
Thus, The disadvantage of extending credit to customers is that the cost may exceed the additional sales revenue received through credit transactions. hence, Option C is the correct statement.
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a country's balance of trade refers to the value of its
Answer:
Balance of trade (BOT) is the difference between the value of a country's exports and the value of a country's imports for a given period.
Explanation:
A dairy plant is producing cream from milk with a fat content of 6% by weight. The cream is to have a fat content of 50% by weight and the skimmed milk produced as a byproduct has a fat content of 1%. Milk supplied to the creamery at a rate of 100 US tons per day. What is the daily skim milk production?
The daily skim milk production is 144 US tons with a fat content of 0%. fat content in the skimmed milk and the fat content in the cream produced.
To calculate the daily skim milk production, we need to determine the fat content in the skimmed milk and the fat content in the cream produced.
Let's start with the fat content in the cream:
- The milk supplied to the creamery has a fat content of 6%.
- The cream to be produced needs to have a fat content of 50%.
- The fat content in the cream is increasing from 6% to 50%.
The amount of fat content removed from the milk to produce cream can be calculated as:
Amount of fat content in cream = Amount of milk supplied * (fat content in milk - fat content in cream)
= 100 US tons * (6% - 50%)
= 100 US tons * (-44%)
= -44 US tons
Since we cannot have a negative amount of fat content, we can conclude that the fat content in the skimmed milk is 0%.
Now, let's calculate the daily skim milk production:
Amount of skimmed milk produced = Amount of milk supplied - Amount of cream produced
= 100 US tons - (-44 US tons)
= 144 US tons
Therefore, the daily skim milk production is 144 US tons with a fat content of 0%.
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Ryan invested in company stock in the year 1996 . The annual yield for his investment was 6.5%; however, the inflation rate was 7.6%. (a) What was the real growth rate of this investment? Answer: % (b) Suppose Ryan wants to make a better investment that will have a real growth rate of 9.6%. What annual interest rate will he need to earn on his investment to accomplish his goal? Answer: %
Ryan would need to earn an annual interest rate of 17.2% on his investment to accomplish his goal of a real growth rate of 9.6%.
(a) To calculate the real growth rate of Ryan's investment, we need to subtract the inflation rate from the annual yield rate. In this case, the annual yield rate is 6.5% and the inflation rate is 7.6%.
Real Growth Rate = Annual Yield Rate - Inflation Rate
Real Growth Rate = 6.5% - 7.6%
Real Growth Rate = -1.1%
Therefore, the real growth rate of Ryan's investment is -1.1%.
(b) To determine the annual interest rate Ryan would need to earn on his investment to achieve a real growth rate of 9.6%, we need to add the inflation rate to the desired real growth rate.
Annual Interest Rate = Real Growth Rate + Inflation Rate
Annual Interest Rate = 9.6% + 7.6%
Annual Interest Rate = 17.2%
Therefore, Ryan would need to earn an annual interest rate of 17.2% on his investment to accomplish his goal of a real growth rate of 9.6%.
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Please Help Immediately
Calculate $1200 ÷ 250.00 = answer in weeks. Round your answer up to the nearest whole week.
Calculate $4308 ÷ 250.00 = answer in weeks. Round your answer up to the nearest whole week.
Answer: 1. $1200 ÷ 250.00 = 4.8 rounded to the nearest whole number, 5 weeks
2. $4308 ÷ 250.00 = 17.232 rounded to the nearest whole number, 17 weeks
How do you approach Marketing design for a production?
Elen holds 1,000 shares of fizbo inc. stock that she purchased 11 months ago. the stock has done very well and has appreciated $20/share since helen bought the stock. when sold, the stock will be taxed at capital gains rates (the long-term rate is 15 percent and the short-term rate is the taxpayer's marginal tax rate). ignore the time value of money.
Answer:
Question option include: a. if Helen's marginal tax rate is 35 percent, how much would she save by holding the stock an additional month before selling? b. what might prevent Helen from waiting to sell?
Solution
Per share increase in price = $20
No of shares = 1000
Total capital gain = 1000 * $20 = $20,000
Tax rate if hold for one year more = $20,000 * 15% = $3,000
If sold immediately and taxed as short term capital gain, then = $20,000 * 35% = $7,000
So if shares are held for more than a month a tax of {($7000 - $3000) = $4,000} can be saved.
b In a month shares prices may fall and capital appreciation would be reduced and this will increase the risk associated with the investment and she will not to wait for the liquidity for a month more.
Matt works part-time and is paid $6.75 per hour. Determine Matt's gross pay (hours worked x hourly rate of pay) for last week when he worked 20.25 hours. Round your answer to the hundredths place.
Answer:
Matt's gross pay (hours worked x hourly rate of pay) for last week when he worked 20.25 hours is equal to $136.69
Explanation:
Per hour amount paid to Matt = $6.75
Total number of hours worked by Matt = 20.25
To find Gross pay, multiply hours worked and hourly rate of pay.
Therefore,
Matt's gross pay (hours worked × hourly rate of pay) for last week when he worked 20.25 hours \(=20.25(6.75)=\$136.6875\) ≈ $136.69
Builtrite common stock just paid a dividend of $2.50 and dividends are expected to grow at a 6% annual rate. If you require an 13% annual return, what do you believe is a fair price for Builtrite stock?
To calculate the fair price for Builtrite stock when a dividend is paid and dividend are expected to grow at a 6% annual rate and an investor requires a 13% annual return, we can use the dividend discount model.
The dividend discount model is calculated as follows: P = D₁ / (r - g) where = the fair price of the stockD₁ = the dividend paid at the end of the first year = the required rate of return = the expected dividend growth rate.
Substituting the given values, we have:P = $2.50 / (0.13 - 0.06)P = $2.50 / 0.07P = $35.71. Therefore, the fair price for Builtrite stock is $35.71.
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The calculation of the fair price for Builtrite stock can be obtained using the dividend discount model. A stock's value can be estimated using the dividend discount model (DDM), which calculates the value of a stock based on its future dividends.
The dividend discount model takes into account the present value of a stock's future dividend payouts, including any growth. Here, the calculation is as follows:Given data:Annual dividend = $2.50Growth rate = 6%Rate of return required by the investor = 13% Formula for calculating fair value:FV = D1/(r-g)Where,FV = fair valueD1 = dividend expected in the next year = $2.50 x (1 + 6%) = $2.65r = Required rate of return = 13%g = Growth rate of dividends = 6%Therefore, FV = $2.65/(13%-6%) = $44.17The fair price of Builtrite common stock is $44.17 per share.
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Define one key area of your daily life that would benefit if you learned to communicate better. Explain in detail how that key area would improve with better communication.
Answer:
if I learned to communicate better I would have more patience
Explanation:
if I were to communicate better I would have more patience with people it would help me understand other people's thoughts feelings and needs as well if I communicated my own thoughts feelings and needs it builds better relationships
The state received $15 million from the federal government for the federal share of the costs of constructing the highways a.Internal Service Fund b.Capital Projects Fund c.Enterprise Fund d.Special Revenue Fund
The fund type that the state should use for accounting for the $15 million received from the federal government for the federal share of the costs of constructing the highways is the Capital Projects Fund. Therefore, the correct option is B.
A capital projects fund is an accounting entity utilized to manage resources and related activities for significant capital asset and other capital outlay projects in governments. Capital projects funds are employed to account for and control the financial resources designated for capital outlays as well as the acquisition or construction of major capital facilities such as buildings, roads, and bridges by government.
The resources in these funds are used to fund major capital projects that span numerous years, typically three years or longer. The revenues in capital projects funds are usually acquired through grants or gifts from other governments, philanthropic organizations, or private entities. Bond proceeds or interfund borrowing can also be utilized as a source of funding for capital projects. Hence, the correct answer is option B.
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