Assume that an investor wishes to purchase a 20-year bond with a maturity value of $1,000 and semiannual interest payments of $40. If the investor requires a 10 percent simple yield to maturity on this investment, what is the maximum price she should be willing to pay for the bond? (Round the answer to the nearest whole number.)?
A. ?$619
B. ?$674
C. $761?
D. $828?
E. ?$902
Answer: D
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A company that maintains a raw material inventory, which is based on the following month's production needs, will purchase less material than it uses in a month where
a. sales exceed production. b. production exceeds sales. c. planned production exceeds the next month's planned production. d. planned production is less than the next month's planned production.
While digital signals are discrete pulses of electrical current, analog signals are transmitted as sounds
Indicate whether the statement is true or false.
The risk-free rate is 5 percent and the market risk premium is 8 percent. Stock Y's beta is 1.85 and the standard deviation of its returns is 62.5 percent. What should be the stock's expected rate of return for the stock price to be considered in equilibrium?
A. 10.55% B. 12.82% C. 15.54% D. 14.80% E. 19.80%
Which of the following is true of proactive customer service?
A. Companies adopting this approach to customer service view unhappy customers as unprofitable. B. It requires companies to wait for customers to complain before responding. C. Companies using proactive customer service wait for a significant number of customers to call in complaints so they can analyze if a problem requires attention. D. It can be achieved by monitoring customer activity on the web and using big data analytics. E. Use of social media to track customer complaints reduces a firm's efforts toward proactive customer service.