Answer:
$45
Explanation:
A surplus is when income exceeds expenses.
One year has 52 weeks. If one week was unpaid leave, then payments were received for 51 weeks.
Average payments per week = $615
Total earning per week =$615 x 51
=$31,365
The total expenses for the year were $31,320. The surplus amount will be income minus expenses
= $31,365 - $31,320
=$45
Answer:
9.25 years
Explanation:
Price of the bond is the present value of all cash flows of the bond. These cash flows include the coupon payment and the maturity payment of the bond. Price of the bond is calculated by following formula:
According to given data
Assuming the Face value of the bond is $1,000
Coupon payment = C = $1,000 x 6.3 = $63 annually = $31.5 semiannually
Current Yield = r = 8.49% / 2 = 4.245% semiannually
Market value = $767.50
Market Value of the Bond = $31.5 x [ ( 1 - ( 1 + 4.425% )^-n ) / 4.425% ] + [ $1,000 / ( 1 + 4.425% )^n ]
Market Value of the Bond = $31.5 x [ ( 1 - ( 1 + 4.425% )^-n ) / 4.425% ] + [ $1,000 / ( 1 + 4.425% )^n ]
n = 18.53 / 2
n = 9.25 years
