Bond Price = ∑i=1n C/(1+r)n + F/(1+r)n or Bond Price = C* (1-(1+r)-n/r ) + F/(1+r)n Let’s take a closer look at the following steps to better understand how to compute the bond pricing. First, the face value or par value of the bond issuance is chosen based...
Compute the markup both as a percentage on selling price and percentage on cost. Which costs are assigned to merchandise inventory? What is the actual purchase price of goods? Based on CVP (Cost-Volume-Profit), what is the contribution margin, and how is it calculated? Explain....
You compute the value of the penalty by multiplying the replacement cost ($500,000) with the multiplier, 0.25 (1 – 0.75). So by violating the coinsurance clause, you are not only unable to receive the full replacement cost, but you also have to pay a hefty penalty. ...
Step 4: Compute the Minimum Payment The minimum payment can be calculated by adding the accrued interest to a portion of the principal amount. For instance, a common approach is to compute the minimum payment as a percentage of the outstanding balance, ensuring that it covers the accrued intere...
Answer to: Explain how to compute book value per common share and discuss how it can be used to analyze the financial condition of a corporation...
securities you own, such as stocks or bonds, as well as any dividends or interest you received during the investment. That difference is your return. Divide it by the initial investment to compute the rate of return and then multiply that number by 100 to express the rate as a percentage....
Now Mr. Hari Lal Ltd. knows that their dolls' cost must include Rs. 85,200 every month. Mr. Hari Lal Ltd. must compute the average fixed cost to establish the appropriate pricing per doll. Calculate Fixed and Variable Costs How Do You Calculate Fixed Costs Per Unit?
Compute profit per unit. This is the revenue per unit minus the cost per unit. In the example, it is $1. Divide the start-up costs by the profit per unit. This is the break even volume. In the example, $100,000/$1 means you have to sell 100,000 units to break even. related ...
Insert the most recent typical price, the MA, and the mean deviation into the formula to compute the current CCI reading. Repeat the process as each new period ends.2 What Does the Commodity Channel Index Tell You? The CCI is primarily used forspotting new trends, watching for overbought an...
The second step is to compute thenet incomethat belongs to the minority interest owners of the subsidiary. It is simply the subsidiary’s total net income multiplied by the minority interest percentage. Again, using the 25% minority interest percentage, and an assumed net income of $1 million,...