A bankers' acceptance is discounted by Canmex Inc. at 98.71 of par. It matures in 60 days.
Question:
A bankers' acceptance is discounted by Canmex Inc. at 98.71 of par. It matures in 60 days.
a. What is the cost to the company on a nominal basis?
b. What is the effective annual cost to the company?
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 54% (11 reviews)
a r 100 98719871 ...View the full answer
Answered By
Muhammad Umair
I have done job as Embedded System Engineer for just four months but after it i have decided to open my own lab and to work on projects that i can launch my own product in market. I work on different softwares like Proteus, Mikroc to program Embedded Systems. My basic work is on Embedded Systems. I have skills in Autocad, Proteus, C++, C programming and i love to share these skills to other to enhance my knowledge too.
3.50+
1+ Reviews
10+ Question Solved
Related Book For
Foundations of Financial Management
ISBN: 978-1259024979
10th Canadian edition
Authors: Stanley Block, Geoffrey Hirt, Bartley Danielsen, Doug Short, Michael Perretta
Question Posted:
Students also viewed these Business questions
-
1. Must an offeree accept an offer by express agreement in order for a legally enforceable contract to be formed? 2. Was the Interdependency Memo too indefinite to constitute an offer? Aon Risk...
-
Shrieves Casting Company is considering adding a new line to its product mix, and the capital budgeting analysis is being conducted by Sidney Johnson, a recently graduated MBA. The production line...
-
Whatchamacallit Sports (Whatchamacallit) is considering bidding to sell $100,000 of ski equipment to Phang Family Enterprises of Seoul, Korea. Payment would be due in 6 months. Since Whatchamacallit...
-
Assume a portfolio of two assets with the following total value (Al) covariance matrix 1 -0.5 -0.5 1 The sum of the 99% component VaRs of the two assets is:
-
Suppose that the Federal Reserve engages in an open market sale of $25 million in U.S. Treasury bills to banks. In the T-accounts for the Fed and for the banking system shown here, fill in the...
-
Describe accounting procedures governing valuation and presentation of noncurrent investments. Distinguish between accounting for investments in equity securities of an investee when holding (a) Less...
-
Water is boiled in a polished stainless steel pot with a \(3 \mathrm{~kW}\) heater. The efficiency of the heater is \(60 \%\), i.e., only \(60 \%\) of the heat is transferred to the water. Find the...
-
1. Which promotional mix elements does Snickers use? 2. How does this Snickers campaign demonstrate the characteristics of integration? 3. What grade would you give Snickers on integration...
-
IN ACFR, if the legal debt margin is steady increase in last ten fiscal years what it means
-
On January 1, 2011, Darnell Window and Pane issued $18 million of 10-year, zero-coupon bonds for $5,795,518. Required: 1. Prepare the journal entry to record the bond issue. 2. Determine the...
-
Differentiate between the money market and the Eurobond market.
-
A 91-day Treasury bill with a face value of $1 million is sold to yield 5.27 percent. a. At what price did the T -bill sell if the yield was quoted by the market? b. At what price did the T -bill...
-
The Furniture Corporation has an inventory turnover of 7, an average collection period of 45 days, and an average payment period of 30 days. Annual sales are $5 million, while the cost of goods sold...
-
Suppose a TCP connection, with window size 1, loses every other packet. Those that do arrive have RTT = 1 second. What happens? What happens to TimeOut? Do this for two cases: (a) After a packet is...
-
If host A receives two SYN packets from the same port from remote host B, the second may be either a retransmission of the original or else, if B has crashed and rebooted, an entirely new connection...
-
Suppose a host wants to establish the reliability of a link by sending packets and measuring the percentage that is received; routers, for example, do this. Explain the difficulty doing this over a...
-
Consider the arrangement of learning bridges shown in Figure3.47. Assuming all are initially empty, give the forwarding tables for each of the bridges B1B4 after the following transmissions: A sends...
-
Suppose TCP operates over a 40-Gbps STS-768 link. (a) Assuming TCP could utilize the full bandwidth continuously, how long would it take the sequence numbers to wrap around completely? (b) Suppose an...
-
Table C.13 gives systolic blood pressure readings (first introduced in Exercise A.36 on page 150) for Intensive Care Unit patients in their teens and those in their eighties. Table C.13 (a) Find and...
-
What are three disadvantages of using the direct write-off method?
-
Barrys Steroids Company has $1,000 par value bonds outstanding at 16 percent interest. The bonds will mature in 40 years. If the percent yield to maturity is 13 percent, what percent of the total...
-
Essex Biochemical Co. has a $1,000 par value bond outstanding that pays 15 percent annual interest. The current yield to maturity on such bonds in the market is 17 percent. Compute the price of the...
-
Kilgore Natural Gas has a $1,000 par value bond outstanding that pays 9 percent annual interest. The current yield to maturity on such bonds in the market is 12 percent. Compute the price of the...
-
Have a brief introduction, discussion of the topics/points, and a conclusion.what you have learned during the course( Organizational Dynamics and Effectiveness).Their relevance to your career....
-
Using the article provided below, you are required to analyse the company information to define the business goals and evaluate whether the supply chain is a strategic fit with the business and...
-
Create output that shows a scatterplot with a line of best fit for your data. Explain what a line of best fit is? Submit both the output file (SPSS) as well as your Word summary.
Study smarter with the SolutionInn App