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LekaFEV
2 months ago
12

A bond has a market price that exceeds its face value. Which of the following features currently apply to this bond?

Business
1 answer:
Free_Kalibri [3.7K]2 months ago
8 0

Answer: II. premium price

A bond is classified as trading at a premium price when its market price exceeds its stated face value, indicating that buyers are willing to pay more for the bond.

IV. yield-to-maturity that is less than the coupon rate

This is accurate because a bond is priced over its face value when its yield to maturity, also known as the internal rate of return for the bond, is below the coupon rate. This implies that the bond is offering higher coupon payments than necessary to attract investors, leading them to pay a premium.

Explanation:

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A Swedish tour guide has devised a clever way for his clients to recognize him. He owns 13 pairs of shoes of the same style, cus
Mariulka [3825]
P(13,2) = 169 Explanation: We need to determine the combinations for left and right shoes, as having a right shoe in blue and a left in red is not the same as a right shoe in red and a left in blue. There are 13 pairs, and she will select one from each pair. Where: n = number of pairs = 13 and r = shoes = 2 (one for each foot). Therefore, P(13,2) = 169.
5 0
2 months ago
How does a company's use of social media reflect audience-centered communication?
Scilla [3833]

Answer:

An explanation regarding the relevance of social media today in relation to communication within the marketing strategies of businesses is provided below.

Explanation:

To start, companies today need to adjust their communication strategies to align with marketing theories, especially with the influence of the internet and notably social media, in order to effectively connect with their target audience, who are integral to their primary revenue through sales. This highlights why social media has become a fundamental aspect of business development, as they strive to improve in this area to engage effectively with young consumers, who find this form of communication particularly impactful in today's world. Thus, social media represents a crucial mode of communication for younger audiences nowadays, as it plays a vital role in their daily lives.

4 0
2 months ago
Taylor Industries had a fire and some of its accounting records were destroyed. Available information is presented below for the
Scilla [3833]

Answer:

Materials inventory on December 1 recorded at $9,900

Direct Labor recorded at $40,040

Factory Overhead noted at $60,060

Cost of goods sold was $117,000

Explanation:

Materials inventory on December 1 equals $9,900

Direct materials acquired total 28,000

Materials inventory by December 31 amounts to $15,000

Direct materials utilized is 22,900

Direct Labor summed to $40,040

Factory Overhead totaled $60,060

Conversion Costs total $100,100

Overall Manufacturing Costs amounted to $123,000

Work in process inventory has risen by $12,000

Cost of goods manufactured is reported at $135,000

Finished goods inventory has decreased by $18,000 over the year

Cost of goods sold is $117,000

Calculating

Conversion costs are calculated as = Direct Labor + Factory Overhead

100,100 = 100 % + 150%

100,100= 100x + 150x

100,100= 250 x

x= 100,100/250

x= 400.4

Direct Labor = 100% * 400.4= $ 40,040

Factory Overhead = 150% * 400.4= $ 60,060

8 0
1 month ago
Dwight Donovan, the president of Benson Enterprises, is considering two investment opportunities. Because of limited resources,
arsen [3447]

Answer:

- Net present value for each project:

For Project A: $37,193

For Project B: $4,629

=> Project A should be selected based on the NPV approach due to its higher NPV.

- The internal rate of return for each project:

For Project A: 20%

For Project B: 12%

=> Project A is preferable when considering the IRR approach as it boasts a higher IRR

Explanation:

- The calculations for net present value are as follows:

For Project A: NPV = -111,000 + (37,116/0.08) x [1-1.08^(-5)] = $37,193

For Project B: NPV = -43,000 + (11,929/0.08) x [1-1.08^(-5)] = $4,629.

- Regarding the internal rate of return;

IRR represents the discount rate that results in an NPV of zero for the project's cash flows. Thus:

For Project A: -111,000 + (37,116/IRR) x [1-(1+IRR)^(-5)] = 0 <=> IRR = 20%

For Project B: -43,000 + (11,929/IRR) x [1-(1+IRR)^(-5)] = 0 <=> IRR = 12%

6 0
1 month ago
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