Select one: O a. Bond prices are quoted as a percentage of the face value O b. No interest will be paid after bond trading O c. Newspapers and the financial press publish bond prices and trading activity daily
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- For a standard corporate bond, when are the following characteristics of the bond determined? ······ The amount that the issuer returns to the bondholder, when the bond matures. The maturity date. The bond's market yield. The bond's market price. The price that the bondholder pays to the issuer to acquire the bond. The amounts of any interest payments. The bond's coupon rate. The dates of any interest payments. 1. 2. Fixed before the bonds are sold and does not change. Fixed when the bonds are sold and does not change. 3. Fluctuates continually.Lombardi trucking company: Assets = $10,000 profit margin = 3.0% Tax rate = 40% Debt ratio = 60.0% Interest rate = 10.0% Total assests turnover = 2.0 What is the TIE ratio?The coupon rate of a bond is typically __________.a. fixed at the time of bond issuanceb.subject to change based on the federal funds ratec.zero in the case of zero - coupon bondsd. Both A and C
- Jansen Company reports the following for its ski department for the year 2019. All of its costs are direct, except as noted. Sales $ 605,000 Cost of goods sold 430,000 Salaries 112,000 ($25,600 is indirect) Utilities 17,200 ($5,100 is indirect) Depreciation 45,000 ($17,100 is indirect) Office expenses 22,800 (all indirect) 1. Prepare a departmental income statement for 2019.2. & 3. Prepare a departmental contribution to overhead report for 2019. Based on these two performance reports, should Jansen eliminate the ski department?Which of the following statements is (are) correct? (Morethan one statement may be correct.)a. A bond issue is a technique for subdividing a very largeloan into many small, transferable units.b. Bond interest payments are contractual obligations,whereas the board of directors determines whether ornot dividends will be paid.c. As interest rates rise, the market prices of bonds fall; asinterest rates fall, bond prices tend to rise.d. Bond interest payments are deductible in determiningincome subject to income taxes, whereas dividendspaid to stockholders are not deductible.The time value of money is used in calculating bond prices because: Group of answer choices A - The company might choose to repay the bonds prior to their maturity date B - Bond investors receive future payments and purchase bonds with current dollars C - The amount to be repaid at maturity will change as market rates change D - Cash interest payments to bondholders will change as market rates change
- 40. Help me selecting the right answer. Thank you18. Which of the following statements are true?Statement I. An interest rate reflects the rate of return that a creditor receives when lending money, or the rate that a borrower pays when borrowing money. Interest rates change over time, so does the rate earned by creditors who provide loans or the rate paid by borrowers who obtain loans. Statement II. Interest rate movements have a direct influence on the market values of debt securities, such as money market securities, bonds, and mortgages. Statement III. Interest rate movements have an indirect influence on equity security values because they can affect the return by investors who invest in equity securities. Statement IV. Since interest rates have an influence on securities, participants in financial markets attempt to anticipate interest rate movements when restructuring their investment or loan positions. a. I,II,III b. I,II,IV c. I,III,IV d. I,II,III,IVA. Assuming the bonds were sold at 107.732, what is the selling price of the bonds? 24 B. Were they issued at a discount or a premium?
- Yu.4These are all types of corporate bonds: Junk, convertible, and period bonds. Convertible, putable, and zero-coupon bonds. Convertible, callable, and municipal bonds. Callable, straight, and private bonds. The contract, or stated interest rate of a bond is: The rate at which the issuer is paying interest on the bond. The face value of the bond. The interest rate adjusted for the Feds latest prime rate. The interest rate the borrower is willing to accept. please give me one answer correct answer and explain for both with correct choice8. Which is least likely true about bonds? a. It is a financial security. b. The issuer has the obligation to make specified payments. c. Bondholders have the right to make decisions on the firm's affairs. d. Bondholders have the right to claim interest payments. е. с &d f. All of the above g. None of the above