Renfro Corporation’s bonds will mature in 10 years. The bonds have a face value of $1,000 and an 8% coupon rate, paid semiannually. The price of the bonds is $1,100. What is the bond’s yield to maturity, current yield and capital gains yield?

Answer:

Renfro Corporation

The bond's yield to maturity is:

= 0.067

The bond's current yield is:

= 0.073

The bond's capital gains yield is:

= -0.006

Explanation:

a) Data and Calculations:

Maturity period of bonds = 10 years

Face value of the bonds = $1,000

Coupon rate = 8% paid semiannually

Price of the bonds = $1,100

Yield to maturity (YTM) = (C + {(FV - PV)/t})/{(FV + PV)/2}

where C = Coupon interest = $80 ($1,000 * 8%)

FV = Face value of the bonds

PV = Present value or price of the bonds

t = number of years

YTM = ($80 + {($1,000 - $1,100)/10})/{($1,000 + $1,100)/2}

= ($80 + {(-$100)/10})/{($2,100)/2}

= ($80 + $-10/$1,050

= $70/$1,050 = 0.06667

= 0.067

Current Yield = Annual interest/Price

= $80/$1,100

= 0.073

Capital gains yield = YTM - Current Yield

= 0.067 - 0.073

= -0.006

How many months does it take the average case to move from complaint to resolution?

DRK, Inc., has just sold 110,000 shares in an initial public offering. The underwriter’s explicit fees were $66,000. The offering price for the shares was $60, but immediately upon issue, the share price jumped to $66.00. a. What is the total cost to DRK of the equity issue?

What are the implications of formal and informal communications to managers at the workplace​

If you have a choice to earn simple interest on $10,000 for three years at 8% or annually compounded interest at 7% for three years which one will pay more and by how much approximately?

a. Simple interest by $50.00
b. Compound interest by $22.97
c. Compound interest by $150.75
d. Compound interest by $150.00
e. None of the above.

Why should you stay organized when doing a research paper

Two firms (1 and 2) compete in a homogeneous goods market, where the firms produce exactly the same good. The firms simultaneously and independently select quantities to produce. The quantity selected by firm i is denoted q, and must be greater than or equal to zero, for i - 1,2. The market price is given by p-2 - q1 -q2. For simplicity, as sume that the cost to firm i of producing any quantity is zero. Further, assume that each firm's payoff is defined as its profit. That is, firm i's payoff is pqi, where j denotes firm i's opponent in the game.

Requried:
Describe the normal form of this game by expressing the strategy spaces and writing the payoffs as functions of the strategies.

Mannisto Inc. uses the FIFO inventory cost flow assumption. In a year of rising costs and prices, the firm reported net income of $219,017 and average assets of $1,413,720. If Mannisto had used the LIFO cost flow assumption in the same year, its cost of goods sold would have been $36,220 more than under FIFO, and its average assets would have been $31,640 less than under FIFO.

Required:
Calculate the firm's ROI under each cost flow assumption (FIFO and LIFO).

You are the public relations director of a nonprofit hospital in a competitive market in a midsized city located in a metro area of 350,000 people. It is sweeps week for broadcast media. One of the stations is running a series on HIV/AIDS in the community. Recent segments have included those listed below.

Homelessness related to HIV/AIDS
How persons living with HIV/AIDS suffer from being outcasts
How understanding has increased in some circles but prejudice remains in many.
An appealing case of a hemophiliac who acquired HIV/AIDS through transfusion at the university hospital has been reported in the series. The university and its teaching hospital are located elsewhere in the state.

At a staff meeting this morning, you learn that petitions are circulating in the community to request your hospital to convert its former nurses’ residence into a clinic and residential shelter for HIV/AIDS patients.

The hospital no longer maintains a school of nursing. The three-story brick building has been used for miscellaneous administrative purposes since nurses’ training was phased out. The residence is connected to the hospital by an elevated corridor, similar to a skywalk. It does not have facilities for food service or laundry. Nurses always ate at the hospital and the hospital handled their laundry. The residence and hospital are served by common systems for hot water, steam heat, ventilating and sewer. The building predates central air conditioning.

The human resources director reports that the business agent for kitchen and laundry workers, who are represented by a union, has already made informal contacts about this proposal, suggesting that grievances will result, at the very least, and a strike could ensue.

Your director of volunteers expresses concern about reaction of volunteers who now handle many peripheral duties. Your physical plant supervisor, who lives in the neighborhood, says neighbors are already anxious over the possibility of HIV/AIDS patients in their vicinity. Your hospital’s five-year Strategic Plan, which was recently updated, has no mention of developing an HIV/AIDS specialty.

Write a letter (using your own name) to the hospital CEO, John Dolman and the Board of Governors outlining your plan to resolve this issue. Remember, that your letter will be made public to the other audiences and publics. In your recommendations, you should provide both long and short-term strategies that would solve this problem. To solve this problem you should note if additional resources or expenditures would be need to achieve the goals that you define.

When writing the letter you should provide a brief description of the problems, you have found. What are the facts about major issues? Identify facts about key players in the case, the business problem(s) and then rank order the critical issues. Consider relevant information and underlying assumptions. Finally provide your recommendations.

As you write your recommendations, think about the following;

a. How do the cultural values at the hospital relate to communication, technology, information flow and openness?
b. As the hospital goes forward, should it stick to the espoused culture or should it change? How would you recommend that they change?
c. How would you suggest that they resolve this disparity? In other words what should they do?
d. Provide specific suggestions that will help the organization as they go forward.
e. In the closing, highlight benefits of your recommendations. As a PR director, you need to be honest but tactful in your recommendations

Given that inflation in the U.S. is projected at 2% annually for the next 5 years and at 8% annually in India for the same time period, and Rupee/Dollar spot rate (R/$) is currently equal to 73.2115, obtain the exact relative PPP value of the spot rate (R/$) five years from now. Group of answer choices 97.4310 69.1442 55.0125 79.4310 77.5181

he following data were accumulated for use in reconciling the bank account of Creative Design Co. for August 20Y6: Journalize the entries that should be made by the company that (a) increase cash and (b) decrease cash. g

Blaine, Inc., produces three products, Argon, Xon, and Zeon, from a joint production process. Data on the process are as follows:

Product Agon Xon Zeon Total
Allocated joint cost $45 $450
Sales value at split-off $90 $900
Additional processing costs $60 $150
Sales value if processed $150 $300 $1200
Contribution from processing further $15 $0 $360
Units produced 750 1250 3,000 5,000


Required:
Determine the value for each misse

An editorial in the paper argues that a person only should be allowed to attend school if the marginal cost of educating that person is less than the marginal benefit of educating that person. The writer's reasoning is an application of:

Prepare journal entries to record the following transactions for Sherman Systems. a. Purchased 5,900 shares of its own common stock at $34 per share on October 11. b. Sold 1,225 treasury shares on November 1 for $40 cash per share. c. Sold all remaining treasury shares on November 25 for $29 cash per share.

Data concerning Lemelin Corporation's single product appear below: Per Unit Percent of Sales Selling price $ 230 100 % Variable expenses 115 50 % Contribution margin $ 115 50 % The company is currently selling 7,000 units per month. Fixed expenses are $581,000 per month. The marketing manager would like to introduce sales commissions as an incentive for the sales staff. The marketing manager has proposed a commission of $20 per unit. In exchange, the sales staff would accept a decrease in their salaries of $113,000 per month. (This is the company's savings for the entire sales staff.) The marketing manager predicts that introducing this sales incentive would increase monthly sales by 300 units. What should be the overall effect on the company's monthly net operating income of this change

If reputable companies such as IBM and Apple have been charged with using bribes to obtain sales, why should you worry about being ethical

Altitude, humidity, and temperature extremes are climatic features that affect the uses and functions of products and equipment.
A. True
B. False

Kiosk Jewelers borrows from Lender Inc. and Mortgage Company, using the same collateral. Only Mortgage Company has a perfected security interest. Kiosk defaults on both loans. The party with first rights to the collateral is:________
A) Kiosk Jewelers.
B) none of the choices.
C) Lender Inc.
D) Mortgage Company.

War Eagle Distributing wants to determine the most efficient method of transporting its new product- The Charles Barkley Paperweight. This item has been offered for sale for several years, but Mr. Barkley's public persona and popularity have grown steadily, and the 6-year forecast calls for year 1 sales of 1,000 pallets, with year 2-6 sales increasing by 400 pallets each year. Estimated year 1 costs of two transportation options being considered are shown below.

Mode A Mode B
Variable Costs
Transportation Costs $240,000 $270,000
Inventory Cost $100,000 $30,000
Packaging Costs $120,000 $30,000
Fixed Cost $160,000 $420,000
Total Cost $620,000 $750,000

What is the Point of Indifference (where the total cost of each option is equal) in number of pallets?
a. 1,400
b. 1,800
c. 2,000
d. 2,400
e. 2,800

kilala moba ako filipino ako panget mo ​

On January 1, 2021, the Merit Group issued to its bank a $38 million, five-year installment note to be paid in five equal payments at the end of each year. Installment payments of $9.417 million annually include interest at the rate of 7.6%.
Required: What would be the amount(s) related to the note that Merit would report in its statement of cash flows for the year ended December 31, 2021?

Easter Egg and Poultry Company has $2,000,000 in assets and $1,400,000 of debt. It reports net income of $200,000.

Required:
a. What is the firm's return on assets?
b. What is its return on stockholders' equity?
c. If the firm has an asset turnover ratio of 2.5 times, what is the profit margin (return on sales)?

Given the following historical demand and forecast, calculate the Tracking Signal in Week 3:Week 1 Demand: 50 Forecast: 49Week 2 Demand: 54 Forecast: 51Week 3 Demand: 58 Forecast: 57

does the business generate sufficient profits​

John makes a deposit of $12,000 in a bank at 6% Compound Interest annually, for 7 years. a) At the end of 7 years, how much John will have in his bank account

A product needs to be processed on both Resource X and Resource Y. There is only one of each of these resources and your goal is to meet market demand, which is 20 units per day and a day has 12 hours of working time. It takes 30 minutes to process a unit on Resource X and 15 minutes on Resource Y. If Resource X feeds Resource Y and both resources are scheduled to work 12 hours per day and process items just-in-case, then which Of the following statement is correct:

a. There would be no accumulation of work-in-process inventory.
b. Work-in-process inventory would accumulate in-front-of Resource Y.
c. There would be no accumulation of finished goods inventory.

Compute and Interpret Measures for DuPont Disaggregation Analysis
Refer to the 2015 fiscal year financial data of 3M Company to answer the following requirements (perform these computations from the perspective of a 3M shareholder).
($millions) 2015 2014
Sales $30,674
Net income, consolidated 5,056
Net income attributable to
3M shareholders 5,048
Assets 32,898 $31,389
Total equity 11,747 13,142
Equity attributable to 3M
shareholders 11,708 13,109
a. Compute the DuPont model component measures for profit margin, asset turnover, and financial leverage. Then, compute ROA.
b. Compute ROE. Confirm that ROE equals ROE computed using the component measures from part a (ROE PM AT FL).
c. Compute adjusted ROA (assume a statutory tax rate of 37% and pretax net interest expense of $123).

Macroeconomics simply focuses on the annual performance of a particular national economy and ignores its interactions with other national economies around the world.

a. True
b. False

One thousand dollars is invested at 5% continuous annual interest. This means the value of the investment will grow exponentially, with k equaling the decimal rate of interest. What will the value of the investment be after 7 1/2 years

Which of the following statements are true? Check all that apply. When interest rates rise, the coupon rates on newly issued bonds will increase. As long as bonds are highly rated, there is very little interest rate risk. Purchasing long-term bonds reduces an investor’s interest rate risk. Bonds with similar coupons will always have the same percentage price change, no matter the maturity.

What are the desirable personal characteristics, attributes, lifestyles, skills, and traits of a prospective entrepreneur? Why are these important?​