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(Bond valuation)
Point 1: National Steel's 10-year, $1,000 par value bonds pay 12 percent interest annually. The market price of the bonds is $1,200, and your required rate of return is 10 percent.
Question a. Compute the bond's expected rate of return.
Question b. Determine the value of the bond to you, given your required rate of return.
Question c. Should you purchase the bond?
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1.What indicators suggest that a performance obligation has been satisfied with respect to a good (merchandise)?
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