Difference between value-added and non-value-added cost

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1. Staind, Inc., has 6 percent coupon bonds on the market that have 12 years left to maturity. The bonds make annual payments. If the YTM on these bonds is 10 percent, what is the current bond price?

2. What is the difference between a value-added and a non-value-added cost? Give an example of each. Participate in follow-up discussions by reviewing your classmates' posts and expanding upon what they have written regarding value-added and non-value-added costs.

3. Given a 4 percent interest rate, compute the year 6 future value of deposits made in years 1, 2, 3, and 4 of $1,100, $1,200, $1,200, and $1,500, respectively. (Do not round intermediate calculations and round your final answer to 2 decimal places.)

Reference no: EM132006761

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