"Moving Ahead with IT Innovation"
14. Created by Merrill Lynch, this type of bond which is very popular having features like callable, puttable, convertible, zero coupon and subordinated note, is referred to
a. Original Issue Discount Bond ____
b. Liquid Yield Option Note ____
c. Convertible Bond ____
d. Floating Rate Bond ____
Consider the following statement and choose the correct answers: A Governmental bond with a twenty year maturity period and a face value of $1000, with a coupon rate of 10% pays semi-annual interest, but investors expect 12% return.
Consider the following information, and choose the correct answers to the statements given below:
Global Inc., has recently paid a cash dividend of $2 per share. Investors require 16% return on such investments. The dividend is expected to grow at a steady 8% per annum.
Walter E. Heller Corporation has provided as follows, the Income Statement and the Balance Sheet for the year 2016. Based on the given information, choose the correct answers:
INCOME |
|
BALANCE SHEET (Assets) |
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Sales |
$2,590,614.00 |
|
Assets |
|
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Cost of Goods sold |
$1,617,253.00 |
|
Cash |
$ 183,415.00 |
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Gross Profit |
$ 973,361.00 |
|
Accounts Receivables |
$ 542,659.00 |
||
Selling, general, and administrative expenses |
$ 410,060.00 |
|
Inventories |
$ 168,616.00 |
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Depreciation & Amortization |
$ 113,822.00 |
|
Other Current Assets |
$ 54,304.00 |
||
Operating Profit |
$ 449,479.00 |
Total Current Assets |
$ 948,994.00 |
|||
Interest Expense |
$ 28,686.00 |
Gross Plant, property, and equipment |
$ 1,244,185.00 |
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Income before Taxes |
$ 420,793.00 |
Accumulated Depreciation |
$ (562,444.00) |
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Income Taxes |
$ 153,592.00 |
Net Plant, property, and equipment |
$ 681,741.00 |
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Net Income |
$ 267,201.00 |
Other Assets |
$ 481,342.00 |
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|
Total Assets |
$ 2,112,077.00 |
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|
|
|
|
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BALANCE SHEET (Liabilities and Equity) |
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Liabilities |
|
Equity |
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Accounts Payable and accruals |
$ 256,086.00 |
Common Stock |
|
|||
Short Term Debt |
$ 262,068.00 |
Par Value and Paid in Capital |
$ 49,771.00 |
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Total Current Liabilities |