Aggie Satellite Corp

question 10

Short Answer

Aggie Satellite Corp. issued 10,000 debenture bonds with a face value of $32,000 each and a bond interest rate of 14% per year, payable quarterly. The bonds have a maturity date of 13 years. If the inflation- free interest rate is 17% per year, and the inflation rate is 7.5%, what is the present worth of one bond to a person who wants to purchase it?

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Definitions:

Logistics

The management of the flow of goods, services, and information between the point of origin and the point of consumption to meet customer requirements.

Sales Offices

Physical locations where sales transactions take place or where sales teams conduct their work, often acting as the point of contact for customers.

Inventories

Quantifiable collections of goods or materials that a business holds for the purpose of sale or production.