Consider a two-year coupon bond that has a present value of $10,000. If the rate of discount is 3 percent, and the payment made at the end of each year is $300, the principal amount to be repaid at the end of two years is
A. $10,000.00.
B. $10,300.00.
C. $33,333.33.
D. $333,333.33.
Answer: A
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A $4,000 machine is purchased by paying $1,000 cash and issuing a promissory note for the remainder. The journal entry should include a
a. credit to Machinery. b. credit to Notes Payable. c. credit to Notes Receivable. d. debit to Cash.
Stage Technologies is a London-based company that supplies engineering solutions for the entertainment industry. It has helped the boy-band Westlife make a flying entrance onto stage and provided stage-rigging packages for Princess Cruise's vessels. The company was established in 1994 after a couple of production designers decided that the automation of theater productions could be done more safely and more efficiently by using modular production rather than the old "build-as-needed" formula. The company installs winches, stage lifts, and other equipment commonly used in stage productions. The equipment is designed so it can be operated from a single console without awkward or heavy lifting. Both opera companies and theaters see the benefit of such a system, but many are reluctant to buy
because of perceived costs. John Hastie and Mark Ager, the company's best salespeople, must design sales presentations that address these concerns.Hastie and Ager would most likely use the formula presentation approach when: A. working with a prospect who has limited time. B. making a proposal to a committee. C. dealing with a rebuy situation. D. negotiating with a manager. E. selling to a veteran stage production manager.
Used Car Center Inc. allows salespeople to charge different customers different prices for essentially the same automobile depending on how good the customer is at negotiating the price. In this scenario, the company uses a:
a. two-part pricing tactic. b. price lining tactic. c. flexible pricing tactic. d. price skimming tactic.
Which of the following best describes an entrepreneur?
A) a person who forms and operates a business B) a person who invests in an existing business C) a person who lends capital to a new business D) a person who derives a profit from a new or an existing business