If a bond's yield to maturity is less than its coupon rate, the bond should be selling at a discount; i.e., the bond's market price should be less than its face (maturity) value.
Answer the following statement true (T) or false (F)
False
When the market yield is less than the coupon rate of interest, the bond sells for greater than its par value, or at a premium. See 6-5: Interest Rates and Bond Values
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If two or more products share a common process before they are separated, the joint costs should be allocated in a manner that:
a. Assigns a proportionate amount of the total cost to each product equitably. b. Maximizes total earnings. c. Minimizes variations in a unit of production cost. d. Does not introduce an element of estimation into the process of accumulating costs for each product.
The short-term plan or budget involves every part of the enterprise and is much more detailed than the long-term plan
Indicate whether the statement is true or false
Utility company AES has been recognized for its excellent code of conduct. Its five core values include safety, integrity, agility, fun, and excellence, which provide a framework for its code and all business decisions. It has been named one of Ethisphere's "World's Most Ethical Companies." However, AES executives know that a strong code of conduct by itself does not guarantee ethical conduct. Research indicates that the biggest determinant of ethical conduct (or misconduct) at AES likely stems from its _______________.
A. corporate culture B. disciplinary procedures C. adoption of values D. extent of ethics training E. revision of its ethics code
An annual planning cycle is recommended for dynamic markets
Indicate whether the statement is true or false