Question 9 Bond A is zero-coupon bond paying $100 one year from now. Bond B is a zero-coupon bond paying $100 two years from now. Bond C is a 10% coupon bond that pays $10 one year from now and $10 plus the $100 principal two years from now. The yield to maturity on bond A is 10%, and the price of bond B is $84.18. Assuming annual compounding, what is the price of Bond A?

Answers

Answer 1

The price of bond A is $90.91

The computation of the price of bond A is as follows:

= Paying amount × (1 + rate)^-1

= $100 × (1 + 0.10)^-1

= $100 × 1.1^-1

= $90.91

Therefore we can conclude that the price of bond A is $90.91

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Related Questions

Need help with number 5

Answers

Answer:

sorry it took me so long i totally forgot to answer

Explanation:

From what Sarah is doing we can conclude that she is performing a job analysis.

Given that she is observing and trying to learn about requirements of this job.

When performing a job analysis, the analyst is trying to get relevant information about the details of a job as well as the requirements of the job.

Job analysis are carried out most of the time to determine job placements.

In conclusion We can see this from what Sarah is doing, she is observing and asking questions on what the job entails in order to write a description for the job.

Question 4 James Bennett also allocates wealth between youth and old age. He has no cash currently (in his youth), but will inherit $3000 in his old age. He can lend and borrow at the bank at 18% (that is, lending $1 in youth will give him $1.18 in old age). He has an investment opportunity that costs $12,000 now in his youth and has a payoff of $15,000 in his old age. This is the only investment opportunity available to him. What is the most he can consume in his youth

Answers

James Bennet needs us to locate investment opportunities for him.

James divides his fortune between youth and old age, as is shown to us. He is currently cashless.

He has access to bank borrowing and lending at 18%.

Some investment opportunities are presented to him.

Investing is the act of placing money into a bank, a piece of property, or a company.

Savings can also take the form of investments.

The most he should spend while still young is $15,254.23.

This calculation is displayed.

The future value is the present value times 1.18.

Future worth = $15,000 + $3,000

= $ 18,000

Therefore, the present value is equal to $18,000 divided by 1.18.

= $ 15, 254.23.

The value that represents today's value is referred to as present value.

Consequently, we might infer that the greatest amount is $15,254.23 that he can spend during his childhood.

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Assume you are planning to invest $5,000 each year for six years and will earn 10 percent per year. Determine the future value of this annuity if your first $5,000 is invested at the end of the first year. $38,470 $38,578 $34,578 $35,878

Answers

The future value of this annuity is $38,578.

Calculation of the future value of this annuity is as follows:

The Future Value of Annuity is

= Annuity × [{(1+rate of interest)^number of years -1} ÷ rate of interest]

= $5,000 × [{(1+0.10)^6 -1} ÷ 0.10]

 = $5,000 × (1.771561 -1) ÷  0.10

= $38,578.05

Therefore we can conclude that the future value of this annuity is $38,578.

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You have a portfolio that is 29 percent invested in Stock R, 12 percent invested in Stock S, with the remainder in Stock T. The expected return on these stocks is 9.8 percent, 11.2 percent, and 13.5 percent, respectively. What is the expected return on the portfolio

Answers

Answer: 12.15%

Explanation:

The expected return is a weighted average of the returns of the individual stocks and the percentage of the portfolio invested in them.

= (Weight of R * Return of R) + (Weight of S + Return of S) + (Weight of T + Return of T)

= (29% * 9.8%) + (12% * 11.2%) + ( (1 - 29% - 12%) * 13.5%)

= 12.15%

Internet là một thị trường hiệu quả hay không hiệu quả về giá?

Answers

Answer:

net là một thị trường hiệu quả hay không hiệu quả

Explanation:

At which restaurant are you more likely to receive excellent service (according to Online Reviews, where a rating of 5 or higher represents excellent service)

Answers

the one with 5 stars

Local currency debt is valuable to the foreign subsidiary that has substantial local currency cash inflows from its business activities. It provides a foreign exchange financial hedge.

a. True
b. False

Answers

True I just took the test on edge and got 100

Select the correct answer.
Why is it necessary to review job trends while making a career plan?
OA
to review past achievements
OB.
to explore new training opportunities
O C.
to list wants and needs
OD.
to build the résumé

Answers

Answer:

1 is incorrect dude is wrong above

Explanation:

Which one of the following is NOT included in the Marketing Mix?
Select one:
a. Promotion
b. Product
c. Distribution
d. Price
e. Personalization

Answers

C : Distribution is not included in the marketing mix

C . Or E. Distribution or personalization

In the process of conversion from the equity method to the fair value method, the earnings or losses that the investor previously recognized under the equity method should

Answers

Answer: remain as a part of the carrying amount of the investment

Explanation:

Equity method is simply the process whereby investments are treated in associate companies. It usually occurs when the investor entity holds about twenty to fifty percent of the voting stock of the other company.

It should be noted that in a process of conversion from the equity method to the fair value method, the earnings or losses that the investor previously recognized under the equity method should remain as a part of the carrying amount of the investment.

Blooming Sun investment corporation is facing problems in their records
maintenance, So they have decided to launch a new Management Information
system. The cost of MIS includes 150 computers at $500 each, 5 Printers at
$400 each, 5 network connections at $900 each, 20 boxes of Papers and
stationery at $50 each, 5 Scanners at $2995 each. The training cost that is
required to be provided to the staff includes fringe benefits $50 each to 150
participants, 15 trainers at $ 500 each. Training room is required for three
sessions which will cost $750 per session and administrative cost is $300 per
session.
The experts have estimated that the new MIS will be helpful in adding $25000
per year in benefits.
Questions:
1. Identify the direct cost, Training cost and total cost of Management information system?

2. In how many years the breakeven of this project cost will be achieved?

Answers

Answer:

Achived that the breakeven

1. Direct cost is:

= $97,475

Training cost is:

= $18,150

Total cost of Management Information System is:

= $115,625

2. The number of years that the break-even of this project cost will be achieved is:

= 5 years.

Data and Calculations:

Cost of the MIS:

150 computers at $500 each, =                         $75,000 (150 x $500)

5 Printers at  $400 each =                                       2,000 (5 x $400)

5 network connections at $900 each =                4,500 (5 x $900)

20 boxes of Papers and  stationery at $50 each  1,000 (20 x $50)

5 Scanners at $2,995 each                                 14,975 (5 * $2,995)

Total direct costs of the new MIS =                  $97,475

The training costs:

Fringe benefits $50 each to 150  participants = $7,500 ($50 x 150)

15 trainers at $ 500 each.                                     7,500 ($500 x 15)

Training room cost $750 per session                 2,250 ($750 x 3)

Administrative cost is $300 per  session                900 ($300 x 3)

Total cost of training                                          $18,150

Total cost of the Management Information System = $115,625 ($97,475 + $18,150)

Annual benefits = $25,000

Break-even project cost (payback period) will be achieved in 4.625 years ($115,625/$25,000)

= 5 years approximately

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If you want to melt a rock, even partially, there are three methods you can employ. Which of the following is not a way that melting is triggered in rocks in the Earth?

a. adding water
b. adding heat
c. releasing pressure
d. removing water

Answers

Answer:

D

Explanation:

There are three basic ways that rocks melt to form the lavas that erupt from volcanoes: decompression, addition of volatiles, and conduction.

but the question asked "which of the following is NOT a way"I hope this helped! have a great day!

A new trailer worth $10,000 is purchased and it's expected that the salvage value after 13 years will be $480. If the annual interest rate is 4.20% , what equation would be appropriate to use to determine the Expected Uniform Annual Cost (EUAC)

Answers

The equation that is used to determine the Expected Uniform Annual Cost is :

[tex]$A = P(A/P, i,n) - F(A/F, i,n)$[/tex]

It is given that :

Purchased price of a new trailer = $ 10,000

Number of years = 13 years

The salvage value after 13 years = $480

The rate of interest annually = 4.20%

The Estimated Uniform Annual Cost, that is the EUAC method is used to express the life cycle costs as the annualized estimate of the cash flow rather than a lumpsum estimate of the present value.

In other words, it is the annual cost of a system which is equal or equivalent to the discounted total cost.

So the equation that can be used to express the Expected Uniform Annual Cost in the given problem is :

[tex]$A = P(A/P, i,n) - F(A/F, i,n)$[/tex]

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Prepare a cash budget for the Ace Manufacturing Company, indicating receipt and disbursement for May, June and July. The firm wishes to maintain all times a minimum cash balance of $20,000. Determine whether or not borrowing will be necessary during the period, and if it is, when and for how much. As of April 30, the firm had a balance of $20,000 in cash.

Actual sale
January $50,000 February $50,000 March $60,000 April $60,000
Forecasted sale
May $70,000 June $80,000 July $100,000 August $100,000
- Account receivable: 50% of total sale are for cash in current month. The remaining 50% will be collected equally during the following two month.
- Cost of goods sold: 80% of sale. 75% of this cost is paid the following month.

- Selling, general, and administrative expense: $10,000 per month plus 10% of sale. All of these expenses are paid during the month of incurrence.
- Interest payment: A semiannual interest payment on $150,000 of bonds outstanding for a year is paid during July and December. An annual $50,000 sinking fund payment is also made in August.
- Dividend: A $10,000 dividend payment will be declare and made in July.
- Capital expenditure: $40,000 will be invested in plant and equipment in June.
- Taxes: Income tax payment of $1,000 will be made in July

Answers

Answer:

i don't know i fell extremly sorry

To ensure that a borrower is not using short-term bank credit to finance a part of its permanent needs for funds, banks often require borrowers to clean up their short-term loans for a 30-45 day period during the year.

a. True
b. False

Answers

True I’m maybe wrong but ye I think it’s true

The marginal product of labor is defined as the change in:____.
a. output per additional unit of revenue.
b. revenue per additional unit of output.
c. output per additional unit of labor.
d. revenue per additional unit of labor.

Answers

The correct answer is letter A

The change in output for each additional unit of income is known as the marginal product of labor. Hence, Option A is correct.

What is the meaning of marginal product?

The marginal product or marginal physical efficiency of an input factor of production is the change in output that results from employing one more unit of a particular input.

For example, the change in output when a firm's labour is increased from five to six units, assuming that the quantities of other inputs are kept constant.

The slope of the total product curve, which represents the production function plotted against labor usage for a certain amount of capital input use, is the marginal product of labor.

The real wage and the marginal product of labor are identical in the neoclassical theory of competitive marketplaces. The marginal product of capital is equivalent to its rate of return in aggregate models of perfect competition, when one good is created and used as both a capital good and a consumer good.

Therefore, Option A is correct.

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The nation of Ectenia has 20 competitive apple orchards, which sell apples at the world price of $2 per apple. The following equations describe the production function and the marginal product of labor in each orchard:

Q= 100L -L^2
MPL 100-2L

where Q s the number of apples produced in a day, L s the number of workers, and MPL is the marginal product of labor. Now, suppose the price of apples is back at $2 per apple, but a hurricane destroys half the orchards so only 10 orchards remain. Recall that each orchard's labor demand as a function of the daily wage is L 50-0.25W.

Required:
What is the market's labor demand?

Answers

The  market's labor demand is L=500−2.5W

Since labor demand as a function of the daily wage is L 50-0.25W.

Hence,

The individual labor demand curve is: L=50−0.25W

Now let determine The market labor demand curve

The market's labor demand is :

L=10(50−0.25W)

L=500−2.5W

Inconclusion The market's labor demand is L=500−2.5W

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which one of the following is not benefits of purchasing personal accident insurance a) accidental death. b). emergency evacuation c) temporary disability d) medical expenses. e) none​

Answers

Answer:

I think (a)

not so sure thooo

You are a fraud investigator just hired to begin an engagement. You create a tool that considers all the aspects of the fraud that are currently known to you. With this tool you also establish different fraud theories. This tool is also known as a ______________ Group of answer choices Pareto chart Surveillance log Perceptual map Vulnerability chart

Answers

Answer:

Vulnerability chart

Explanation:

How much does international trade affect you personally?

Answers

Answer:

maybe a lot for me ok

maybe you

Which of the following is true of website content?


A. It should be refreshed periodically to keep customers coming back.
B. Once the content has been written and proofread it shouldn't be changed.
C. Grammatical errors are not a problem because the customer visits the site to purchase a product, not check the site's grammar.
D. It should be limited to text and shouldn't include multimedia.

Answers

Answer:

The Answer: A

Explanation:

Because if you are going to put up a business website you need to keep refreshing it and putting new things onto the website in order for you to have customers because if you dont have anything new in stock people arent gonna wanna keep coming back and using the same product they are going to go to a different website where there is a wider variety of things to purchase.

Hope this helps!

Avia Company sells a product for $150 per unit. Variable costs are $110 per unit, and fixed costs are $1500 per month. The company expects to sell 660 units in September. The unit contribution margin is ________.

Answers

Answer:

"$40 per unit" is the right solution.

Explanation:

Given:

Selling price per unit,

= $150

Variable cost per unit,

= $110

Fixed costs per month,

= $1500

The unit contribution margin will be:

= [tex]Selling \ price - Variable \ cost[/tex]

= [tex]150-110[/tex]

= [tex]40[/tex] ($) per unit

b) Discuss the adjustment mechanism on real and good market in the economy from disequilibrium

Answers

Answer:

Disequilibrium refers to a situation in which demand does not equal supply. For example, the demand for a good might be 6, and the supply might be 10. The excess supply is 4. One possibility is that the excess supply causes the price of the good to fall, raising demand and reducing supply, and equilibrium results.

ls this your answer

When customers have questions about a product they've purchased, or problems using it, they can go online to the company's website to search for answers or interact with others with a similar problem. This is an example of:

Answers

Answer:

a community support forum

Explanation:

A community support forum is defined as a meeting place for members of a community to discus their concerns, opinions, and ideas on a shared topic of interest.

In the given scenario customer with various challenges go online to the company's website to search for answers or interact with others with a similar problem.

They are using a community support forum to discuss problems they are facing in using a product

An important feature of a job order cost system is that each job:_______.
a. must be similar to previous jobs completed .
b. must be completed before a new job is accepted.
c. consists of one unit of output
d. has its own distinguishing characteristics .

Answers

Answer:

D

Explanation:

it has it's own distinguishing characteristics ....Form used to record the cost chargeable to a specific job and to determine the total and unit cost of the completed job

You purchased six call option contracts on ABC stock with a strike price of $32.50 when the option was quoted at $1.65. The option expires today when the value of ABC stock is $34.60. Ignoring trading costs and taxes, what is the net profit or loss on this investment

Answers

Answer:

$270

Explanation:

Calculation to determine the net profit or loss on this investment

Using this formula

Total profit/Loss =Stock value -Strike price-Option quoted)×100×Call option

Let plug in the formula

Total profit = ($34.60 - $32.50 - $1.65) × 100 × 6

Total profit =$0.45×100×6

Total profit= $270

Therefore the net profit on this investment is $270

Which of the following is the least effective action individuals and families can take to protect the environment? Limiting the number of children they have Monitoring and enforcing regulations Choosing products and services from green companies Educating themselves on community and global environmental issues

Answers

Answer:

Monitoring and enforcing regulations.

Mark me as Brainliest if this answer helped

Tái chế không phải 1 phương pháp hoàn hảo để giải quyết vấn đề ô nhiễm mt

Answers

Answer:

ý thức về việc xả rác, ngưng xả rác , bỏ rác đúng nơi quy định

Explain about pricing objectives

Answers

Answer:

Some examples of pricing objectives include maximising profits, increasing sales volume, matching competitors' prices, deterring competitors – or just pure survival. Each pricing objective requires a different price-setting strategy in order to successfully achieve your business goals

Answer:

Pricing objectives refer to the goals that drive how your business sets prices for your product or service. These objectives can and should apply to pricing for both new and existing customers. The direction provided by pricing objectives is crucial to adjusting prices over time in order to meet your objectives.

Select the statement below that is true of long run aggregate supply curves.

a. There is no relationship between price level and RGDP.
b. Changes in price level affect output.
c. There is a variable quantity of RGDP.

Answers

Answer:

There is no relationship between price level and RGDp

Answer:

(A) There is no relationship between price level and RGDP

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If 8x-4=12;then 2x - 1= Pls help its due in the morning ;( how did the human beings hurt the world Define population education? What is the total annual dividend received from owning 75 shares of stock A, if Company A issues a $0.20 quarterly dividend to its shareholders? total annual=__ Round to the nearest hundredth. Why did Spain and France establish colonies in the Americans why hydrogen and oxygen all around us dows not form water how does olivia view love in twelfth night The ethics commitee approved the reasearch (CHANGED TO PASSIVE) Which of the following was an important feature of the houses of atal Hyk? A Pressure of 10,000 Pa is acting on a ball with a surface area of 20 centimeter square. What is the force acting on the ball? The word "atom" comes from the Greek word Questions 15: The following groups of words all have the same denotation. For each word in the groups, choose the term (positive, negative, or neutral) that best describes its connotation. For example, the word surprising has a neutral connotation, while alarming has a negative connotation. Each word will have at least one word flavor (connotation). proud, vain, conceited, self-assured spinster, unmarried, independent, old maid shack, house, mansion, residence, dump happy, elated, ecstatic, content, pompous talkative, verbose, friendly Questions 67: Rewrite the following sentences on a separate sheet of paper. Substitute more concrete, specific, picture-making words for the italicized words. You may have to rephrase the sentence or add a few ideas to the original. The county fair was full of interesting sights. The firemen worked as the crowd watched the fire. What do MSDS sheets do, in your own words Please help me Im confused In the accompanying diagram, ABC is the image of ABC. Which type of transformation is shown in the illustration?A. rotationB. translationC. reflectionD. dilation Which of the sentences below demonstrate correct spelling of acontraction? Which area did the Bantu not live in?A. Great Lakes regionB. Great Rift ValleyC. North African savannahD. Equatorial rain forest What has the greatest potential to demotivate you and lead you to unproductive activities? The point p=(2/5,y) lies on the unit circle below what is the value of y in simplest form