11.9 Orange District Hospital issued a 30-year, 10 percent annual coupon bond (par value $1,000) two years ago. The bond now has 28 years remaining to maturity and sells for $1,400. The bond has a call provision that allows the hospital to call the bond in ten years at a call price of $1,100. If an investor expects a call and requires a 6.5 percent rate of return, will the investor be likely to purchase the bond? Explain your answer.

Answers

Answer 1

The current price of a bond is $1400 which is much higher than the present value. therefore, the investor is not likely to purchase the bond.

What is cash flow?

Cash flow refers to the net balance of cash moving into and out of a business at a specific point in time.

Given that, face value of the bond is $1000, Remaining term is 28 years, coupon rate is 10%,

Coupon amount = Face value x coupon rate

= 1000 x 10%

= $100

Since, the bond was issued two years ago, the bond has a call provision in which the hospital can call the bond in 10 years at a call price of $1000.

The investors expect a call and requires a 6.5% return rate.

We will use the PV function of Excel to calculate the price investor want to pay,

= PV(rate, nper, pmr, fv, type)

= PV(6.5%, 10, -100, -1000, 0)

= $1251.62

Since, the current price of a bond is $1400 which is much higher than the present value. therefore, the investor is not likely to purchase the bond.

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Related Questions

Factor out the greatest common factor

Factor out the greatest common factor

Answers

Answer:

C

A

B

D

Step-by-step explanation:

Violet bakes 7 dozen cookies.
She ate 2 cookies.
She gave 2 dozen cookies to her brother.
She gave 9 cookies to her mother.
How many cookies did Violet have left?
Show your work.

Answers

Answer: 49 cookies

Step-by-step explanation:  7 dozen= 84 , so subtract 84 by the 2 cookies she ate and you'll get 82, now 2 dozen= 24, so now subtract the 24 cookies that she gave to her brother by 82 and you'll get 58, then subtract the nine cookies she gave to her mom by 58 and you'll get 49 cookies.

so basically,, 84-2= 82 -2 = 58 -9= 49

I hope this helped :)

Charlotte's friend Tiana is making beignets to sell at Mardi Gra. Tiana has 6 bags of powdered sugar. Each beignet requires 1/4 bag of sugar How many beignets can Tiana make?

Answers

Answer:

Tina will be able to sell 24 beignets

What are the exact solutions of x2 − x − 4 = 0? (1 point)

Answers

The exact solutions of x² − x − 4 = 0 is calucalted as x = (1 + √(17)) / 2 and x = (1 - √(17)) / 2.

The given condition is x²- x - 4 = 0.

To discover the precise solutions to this condition, ready to utilize the quadratic equation:

x = (-b ± √(b² - 4ac)) / 2a

where a, b, and c are the coefficients of the condition. In this case,

a = 1, b = -1, and c = -4.

Substituting these values into the quadratic equation, we get:

x = (-(-1) ± √((-1)² - 4(1)(-4))) / 2(1)

x = (1 ± √(17)) / 2

Subsequently, the two correct arrangements for the condition are:

x = (1 + √(17)) / 2 and x = (1 - √(17)) / 2.

To check that these are the proper arrangements, ready to substitute them back into the initial condition and see in the event that they make the condition genuine. When we do this, we discover that both arrangements fulfill the condition and are hence the precise arrangements. 

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The quotient of a number a and a number b

Answers

Answer:

a÷b

Step-by-step explanation:

quotient means divide

Twelve out of 72 passengers are tourists. Give the ratio of tourists to passengers.

Answers

Number of total passengers = 72

Number of tourists = 12

Ratio = ?

Ratio of tourists to passengers = 12:72 = 1:6

_________

Hope it helps!

RainbowSalt2222 ☔

I think it is 72 not for sure doe

type the following expression in the answer blank:
x
+
3
x
+
2
x
+
3
x
+
2

Answers

Answer: I know simplified it is  -x^2 + 8x + 1

The degree of the simplified expression is 2.

It is a monomial

I am almost positive it is constant.

Hope this helped

:D

Step-by-step explanation: Ps. Sorry if anything is incorrect, math is my worst subject but I am pretty sure everything is correct.

solve [(x+7) x 3-5] / 4 = 7
What is the first step in this equation

Answers

Answer:

The first step is to slove the numbers in the brackets

Step-by-step explanation:

[(x+7) x -2] / 4 = 7

-2(x+7) / 4 = 7

-2x-14 / 4 = 7

-2x-14 = 28

-2x = 42

x = -21

PEMDAS

Solve 1/3x - 2/7x > 1/3

Answers

Answer: x > 7

    Step-by-step explanation:

Given:

\(\displaystyle \frac{1}{3}x- \frac{2}{7}x > \frac{1}{3}\)

Subtract:

\(\displaystyle \frac{1}{21}x > \frac{1}{3}\)

Divide both sides of the equation by \(\frac{1}{21}\):

\(\displaystyle x > 7\)

    What does this mean?

This means the x is equal to all values greater than 7.

-> 7.432421, 7.5, 8, 250, etc

On average, about 45,000,000 gallons of water flow over the Niagara Falls in 60 seconds. About how much water flows over the Niagara Falls in one second?

Answers

Answer:

750 000

Step-by-step explanation:

45 000 000 ÷ 60 = 750 000 gallons of water per second

Please help.
Is it no solution, one solution or infinitely many
Solution.

Please help. Is it no solution, one solution or infinitely manySolution.

Answers

No solutions number 1 be has the ro

-30x plus what results in - 14x?

-30x plus what results in - 14x?

Answers

Answer: y=16x

Explanation: -30x + y = -14x

what is 1/8 as a percentage ?HELP

Answers

Answer:

12.5%

Step-by-step explanation:

Write 18 as a percent. Divide 1 by . Therefore, the fraction 18 is equivalent to 12.5% .

The percent is 12.5%

what number represents the same amount as 2 hundreds + 12 tens + 6 ones ?

Answers

Answer:

326

Step-by-step explanation:

The value of the given expression is 326.

Given:

The given expression 2 hundreds + 12 tens + 6 ones.

To find:

The value of the given expression.

Explanation:

The numeric form of given expression is:

2 hundreds + 12 tens + 6 ones

2 hundreds + 12 tens + 6 ones

2 hundreds + 12 tens + 6 ones

Therefore, the value of the given expression is 326.

Find the slope of the line passing through each of the following pairs of points and draw the graph of the line. (5, 2), (3, 3)

Answers

Answer:

Step-by-step explanation:

(3-2)/(3-5) = 1/-2 = -1/2

y - 3 = -1/2(x - 3)

y - 3 = -1/2x + 3/2

y - 6/2 = -1/2x + 3/2

y = -1/2x + 9/2

Zoey needs to order some new supplies for the restaurant where she works. The restaurant needs at least 711 glasses. There are currently 281 glasses. If each set on sale contains 10 glasses, use the drop-down menu below to write an inequality representing s, the number of sets of glasses Zoey

Answers

Zoey needs to order 711 - 281 = 430 glasses.
So the number of sets of glasses she needs to order can be represented by the inequality:

s >= 430/10 = 43

This means that Zoey needs to order at least 43 sets of glasses to meet the minimum requirement.
ANSWER-

s >= 72.1

The inequality represents the minimum number of sets of glasses Zoey needs to order to meet the restaurant's requirement of at least 711 glasses. The calculation is as follows:
711 glasses - 281 glasses = 430 glasses needed
430 glasses / 10 glasses per set = 43 sets needed
So, the minimum number of sets Zoey needs to order is 43 sets, which can be rounded up to the nearest whole number, which is 44 sets.
Therefore, s >= 44 sets.

The height of a triangle is 2x and the base is x + 7. Write an expression that represents the area of the triangle.

Answers

Answer:

x^2 +7

Step-by-step explanation:

1/2×(x+7)(2x)

2x^2 + 14x/2

2(x^2+7)/2

=x^2 +7

I need help! DUE IN 2 HOURS WILL MARK BRAINLIEST!!!

I need help! DUE IN 2 HOURS WILL MARK BRAINLIEST!!!

Answers

The exponential model for the data is: \(y = 693(1.5)^x\)

When the cost is of $6000, the weight is of approximately 5.3 carats.

What is an exponential function?

An exponential function is modeled by:

\(y = ab^x\)

In which:

a is the initial value.b is the rate of change.

From the table, the rate of change is given by:

b = 4980/3210 = 3210/2140 = 2140/1430 = 1.5.

When x = 1, y = 1040, hence the initial value is found as follows:

1.5a = 1040.

a = 1040/1.5

a = 693.

So the model is:

\(y = 693(1.5)^x\)

When the cost is of $6000, the weight is found as follows:

\(693(1.5)^x = 6000\)

\((1.5)^x = \frac{6000}{693}\)

\(1.5^x = 8.658\)

\(\log{1.5^x} = \log{8.658}\)

x log(1.5) = log(8.658)

x = log(8.658)/log(1.5)

x = 5.3

When the cost is of $6000, the weight is of approximately 5.3 carats.

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Shown here is a mathematical step taken when solving an equation. Identify the mathematical reason or property used to simplify from the first step to the second step. 8D=56. D=7

Shown here is a mathematical step taken when solving an equation. Identify the mathematical reason or

Answers

Answer:

D. Division Property of Equality

Step-by-step explanation:

Given that \( 8D = 56 \), to find the value of D, the property of equality that needs to be applied here would be the one that would make both sides equal by performing the same operation on both sides of the equation.

Thus:

Applying the the Division Property of Equality, we would divide both sides by 8.

\( \frac{8D}{8} = \frac{56}{8} \)

\( D = 7 \)

This will leave you with D standing alone. Of which value is 7.

Bookwork code: N84
Look at the poster below showing the price of pencils in a stationery shop.
Annabel wants to buy exactly 76 pencils. What is the lowest amount she can
pay?
Give your answer in pounds (£).
spar
..
Pencils for sale!

30p each

Pack of 10
pencils for £2

Answers

Based on mathematical operations, the lowest amount that Annabel can pay for pencils is $15.20

How is the lowest amount determined?

The lowest amount that Annabel can pay for pencils can be determined using the mathematical operations of multiplication and division.

Multiplication and division are two of the four basic mathematical operations, including addition and subtraction.

If Annabel chooses to purchase the first pencil at 30p each, she would pay £22.80 (£0.30 x 76).

If Annabel chooses to purchase the second pencil class of a pack of 10 pencils for £2, she would pay £15.20 [£2 x (76 ÷ 10)].

Pencils for sale

30p each

Pack of 10 pencils for £2

Thus, if Annabel wants to buy the pencils, she can either pay £15.20 or £22.80, but using mathematical operations, the lowest amount she can pay is £15.20.

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Please help me in this math problem

Please help me in this math problem

Answers

Answer:

Step-by-step explanation: well, you will more than likely get it at least 60%-80% of the time! If this doesn't help i can try to explain in a lot more detail unless someone does for me!

Does this table represent a function? Why or why not?
O
X
2
3
3
4
5
y
1
4
3
2
5
A. Yes, because there are different y-values.
B. Yes, because every x-value corresponds to exactly one y-value.
C.
No, because the y-values are positive.
D. No, because one x-value corresponds to two different y-values.
SUBMIT

Answers

The given table does not represent a function. The correct answer is D. No, because one x-value corresponds to two different y-values.

To determine if the table represents a function, we need to check if every x-value corresponds to exactly one y-value. Let's analyze the given table:

x | y

-------

O | 1

X | 4

2 | 3

3 | 2

3 | 5

4 |

5 |

From the table, we can see that the x-values are not unique. Both the values 3 and 4 appear twice in the x-column, but they have different corresponding y-values.

This violates the definition of a function, which states that each input (x-value) should have only one output (y-value).

Therefore, the given table does not represent a function.

The correct answer is D. No, because one x-value corresponds to two different y-values.

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solve for r.
4(r+15)+4r=300

Answers

Answer:

r=30

Step-by-step explanation:

first expand:

4r+60+4r=300

8r+60=300

8r=300-60

8r=240

r=30

hope this works:)

96/8 + {2(5-7) exponent 2 + 4}

Answers

Answer:

24

Step-by-step explanation:

96/8 + {2(5-7) exponent 2 + 4}

= 96/8 + {2(-2) exponent 2 + 4}

= 96/8 + {2(4) + 4}

= 12 + {8 + 4}

= 12 + 12

=24

What is the range of function g if g(x)=-2f(x)+1

Answers

The range of g is bounded between 1 - 2M and 1, but it may not include all values in that interval, depending on the range of f.

The range of function g depends on the range of the function f.

Let's start by assuming that we know the range of f.

If the range of f is Rf, then the range of -2f is the set {-2y | y ∈ Rf}, which is just the set of all numbers that can be obtained by multiplying an element of Rf by -2.

Finally, we add 1 to each of these values to get the range of g. Therefore, the range of g is:

Rg = {1 - 2y | y ∈ Rf}

In other words, the range of g is obtained by taking the range of f, multiplying each element by -2, and adding 1 to each result.

If we don't know the range of f, we can still say something about the range of g. Specifically, we know that g(x) can never be greater than 1 (since the largest value that -2f(x) can take is 0, and adding 1 to 0 gives us 1), and g(x) can never be less than 1 - 2M, where M is the largest possible value that f(x) can take on. In other words, the range of g is bounded between 1 - 2M and 1, but it may not include all values in that interval, depending on the range of f.

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what is 94,149 divided by 96

Answers

Answer:

980.71875

Step-by-step explanation:

ILL GIVW YOU BRAINLIST !!! HAVE TO GET IT RIGHT !!!! SHOW WORK

my - 2x

m=3 , y=6 , x = 8

Answers

Answer:

2

Work is shown in picture

ILL GIVW YOU BRAINLIST !!! HAVE TO GET IT RIGHT !!!! SHOW WORKmy - 2xm=3 , y=6 , x = 8

How would you graph y-intercept is 8 and x-intercept is 9

Answers

Answer:

all shown below

Step-by-step explanation:

y-intercept means a dot's y coordinate is 8 and on the y axis, x-i intercept means a dot's x coordinate is 9 and on the x axis

How would you graph y-intercept is 8 and x-intercept is 9

Answer:

  see the attached graph

Step-by-step explanation:

The intercepts are the points where a graph crosses the coordinate axes.

Y-intercept

The y-intercept is the the point where the graph crosses the y-axis. The value of x is zero there. The coordinates of the y-intercept are (0, 8).

X-intercept

The x-intercept is the point where the graph crosses the x-axis. The value of y is zero there. The coordinates of the x-intercept are (9, 0).

You graph these intercepts by plotting the points at these coordinates.

__

In the attached graph, the intercepts are blue dots, and we have drawn a line through them. The line is not part of the graph of the intercepts. It is merely an instance of a function that has these intercepts.

How would you graph y-intercept is 8 and x-intercept is 9

Simplify (2a^3a^4)^5. Show all work

Answers

Answer:

(2a^3a^4)^5 simplifies to 32a^35.

Step-by-step explanation:

To simplify (2a^3a^4)^5, we can use the properties of exponents which states that when we raise a power to another power, we can multiply the exponents. Therefore, we can rewrite the expression as:

(2a^3a^4)^5 = 2^5 * (a^3a^4)^5

Next, we can simplify the expression inside the parentheses by multiplying the exponents:

a^3a^4 = a^(3+4) = a^7

Substituting this into our expression, we get:

(2a^3a^4)^5 = 2^5 * (a^3a^4)^5 = 2^5 * a^35

Finally, we can simplify this expression by using the property of exponents that states that when we multiply two powers with the same base, we can add their exponents. Therefore, we can rewrite the expression as:

2^5 * a^35 = 32a^35

Therefore, (2a^3a^4)^5 simplifies to 32a^35.

On a 200 question test you end up getting getting a score of 78% How many questions did you get correct?

Answers

Answer: 39.00%

Step-by-step explanation:

First, you need to calculate your grade in percentages. The total answers count 200 - it's 100%, so we get a 1% value, divide 200 by 100 to get 2.00. Next, calculate the percentage of 78: divide 78 by 1% value (2.00), and you get 39.00% - it's your percentage grade.

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