Backwater Corp. has 6 percent coupon bonds making annual payments with a YTM of 5.5 percent. The current yield on these bonds is 5.85 percent. How many years do these bonds have left until they mature? Page Enterprises has bonds…
1) Find the discount and proceeds on a $3,260 face-value note for nine months if the discount rate is 9.5%. (use the bankers rule) The discount is $ ? (round to the nearest cent as needed)The proceeds are $ ?…
Assume that in 2008 a gold dollar coin minted in 1905 sold for $43,235. For this to have been true, the rate of return is % for the lucky numismatist. (Do not include the percent sign (%). Round your answer…
Vickrey Technology has had net income of $2,000,000 in the current fiscal year. There are 1,000,000 shares of common stock outstanding along with convertible bonds, which have a total face value of $8 million. The $8 million is represented by…
Scenario: An employee is entering a work area and slips on a wet floor. After going to the emergency room, it has been determined that the employee has a sprained left wrist. Questions: 1. What are some of the direct…
We are purchasing a 28-day Treasury bill, during a normal year (non-leap year), and want to find out both the discount rate and the investment rate. If we purchase the bill for $998, what are the two rates? If we…
You are the project manager of the Carpet Installation Project for a new building. Your BAC is $600,000. You are now 40% complete with the project though your plan called for you to be 45% complete with the work by…
As a stockholder in Bozo Oil Company, you receive its annual report. In the financial statements, the firm has reported assets of $9 million, liabilities of $5 million, after-tax earnings of $2 million, and 750,000 outstanding shares of common stock.…
The effective annual cost of not taking advantage of the 2/10, net 50 terms offered by a supplier is a.18.37%. b.14.69%. c.20.45%. d.2.27%.
During 2009, Raines Corp has sales of $850,000. Cost of goods sold, administrative expenses, and depreciation expenses were $630,000, $120,000, and $130,000, respectively. In addition, the company had an interest expense of $85,000 and a tax rate of 35 percent.…
