subject
Business, 21.04.2020 18:54 hihihi129473838

A Disney Corporation Bond with a $1,000 par value has a 10% annual coupon that pays $50 every 6 months. There are eight years (16, 6 month periods) before maturity and Disney will pay $50 each of those 16 periods plus it will pay back the $1,000 principal at maturity. The prevailing market rate for this bond has gone down from 10% to 8% annually (4% every six months). What is the value of the bond given this lower rate environment

ansver
Answers: 1

Another question on Business

question
Business, 22.06.2019 08:40
Which of the following is not a characteristic of enterprise applications that cause challenges in implementation? a. they introduce "switching costs," making the firm dependent on the vendor. b. they cause integration difficulties as every vendor uses different data and processes. c. they are complex and time consuming to implement. d. they support "best practices" for each business process and function. e. they require sweeping changes to business processes to work with the software.
Answers: 1
question
Business, 22.06.2019 10:10
At the end of year 2, retained earnings for the baker company was $3,550. revenue earned by the company in year 2 was $3,800, expenses paid during the period were $2,000, and dividends paid during the period were $1,400. based on this information alone, retained earnings at the beginning of year 2 was:
Answers: 1
question
Business, 22.06.2019 21:50
scenario: hawaii and south carolina are trading partners. hawaii has an absolute advantage in the production of both coffee and tea. the opportunity cost of producing 1 pound of tea in hawaii is 2 pounds of coffee, and the opportunity cost of producing 1 pound of tea in south carolina is 1/3 pound of coffee. which of the following statements is true? a. south carolina should specialize in the production of both tea and coffee. b. hawaii should specialize in the production of tea, whereas south carolina should specialize in the production of coffee. c. hawaii should specialize in the production of coffee, whereas south carolina should specialize in the production of tea. d. hawaii should specialize in the production of both tea and coffee.
Answers: 1
question
Business, 23.06.2019 00:30
Three years ago, the city of recker committed to build a park and music venue by the river. it was expected to cost $2.5 million and be paid for from an additional meals tax in the community. the residents pushed back. local restaurants suffered as people ate out less or patronized restaurants in neighboring communities. the project has stalled, but the town council kept pushing it on. this spring, a flood devastated the venue. the town council appears to have suffered from bias
Answers: 3
You know the right answer?
A Disney Corporation Bond with a $1,000 par value has a 10% annual coupon that pays $50 every 6 mont...
Questions
question
Mathematics, 30.01.2020 09:04
Questions on the website: 13722363