What is the required return for the market

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Reference no: EM131844784

1. A discount on bonds payable:

Occurs when a company issues bonds with a contract rate less than the market rate.

Occurs when a company issues bonds with a contract rate more than the market rate.

Increases the Bond Payable account.

Decreases the total bond interest expense.

Is not allowed in many states to protect creditors.

2. Required Return If the risk-free rate is 9.5 percent and the market risk premium is 5.0 percent, what is the required return for the market?

5.0%

9.5%

14.5%

4.5%

Reference no: EM131844784

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