You have funds that you want to invest in bonds, and you just noticed in the financial pages of the local newspaper that you can buy a $1,000 par value bond for $800. The coupon rate is 10% (with annual payments), and there are 10 years before the bond will mature and pay off its $1,000 par value. You should buy the bond if your required return on bonds with this risk is 12%.
Answer the following statement true (T) or false (F)
True
Rationale: The bonds expected return (YTM) is 13.81%, which exceeds the 12% required return, so buy the bond.
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Which of the following is not likely to be a performance measure related to quality?
a. Number of warranty claims per unit sold b. Average number of defects per unit c. Units sold d. Average time between product failures
Jed is an electrician. He and his wife are accrual basis taxpayers and file a joint return. Jed wired a new house for Alison and billed her $15,000. Alison paid Jed $10,000 and refused to pay the remainder of the bill, claiming the fee to be exorbitant. Jed took Alison to Small Claims Court for the unpaid amount and was awarded a $2,000 judgement. Jed was able to collect the judgement but not the remainder of the bill from Alison. What amount of loss may Jed deduct in the current year?
A. $0 B. $2,000 C. $3,000 D. $5,000 E. None of these.
A. What contracts are covered by Article 2 of the UCC? In other words, what is the scope of the Article? b. What types of transactions are outside the scope of Article 2?
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