You are considering an investment in a AAA-rated U.S. corporate bond but you are not sure what
rate of interest it should pay.
Assume that the real risk-free rate of interest is 1.0%; inflation is
expected to be 1.5%; the maturity risk premium is 2.5%; and, the default risk premium for AAA
rated corporate bonds is 3.5%. What rate of interest should the U.S. corporate bond pay?
A) 5.0% B) 8.5% C) 2.5% D) 6.0%
B
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Which of the following takes place during the product definition phase?
A) generating new product ideas B) translating concepts into actual products for further testing C) reducing the concepts under consideration to a manageable number D) quantitatively assessing demand for the concept
A three-wave longitudinal study of 188 project teams found that team cohesion leads to group members being engaged in the task, which in turn had a positive effect on ______.
A. mutual attraction of the member to the group B. team creative performance C. team satisfaction D. team bonding
Companies should respond to highly positive online comments with a formal official company response
Indicate whether the statement is true or false
Victory Company purchases office equipment at the beginning of the year at a cost of $15,000. The machine is depreciated using the straight-line method. The machine's useful life is estimated to be 7 years with a $1,000 salvage value. The journal entry to record the first year's depreciation is:
A. Debit Accumulated Depreciation $2,143; credit Office Equipment $2,143. B. Debit Office Equipment $2,000, credit Accumulated Depreciation $2,000. C. Debit Depreciation Expense $2,000, credit Office Equipment $2,000. D. Debit Depreciation Expense $2,143, credit Accumulated Depreciation $2,143. E. Debit Depreciation Expense $2,000, credit Accumulated Depreciation $2,000.