The Three Factors That Influence Business and Accounting Decisions Are

question 185

Multiple Choice

The three factors that influence business and accounting decisions are:

• A)judgment,cost/benefit analysis,and cultural backgrounds.
• B)minimizing costs,maximizing profits and cost/benefit tradeoff.
• C)economic,legal,and ethical.
• D)legal implications,socioeconomic backgrounds,profit maximization.

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Definitions:

Original Maturity

The fixed term length at the issuance of a bond or other fixed-income security until it reaches its due date for the repayment of the principal.

Current Yield

Current yield is the annual income (interest or dividends) divided by the current price of the security.

Coupon Rate

The percentage of interest returned by a bond annually, measured against its face value.

Yield To Maturity

Yield to maturity is the total return anticipated on a bond if it is held until its maturity date, including all interest payments and the repayment of principal.