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andriy [413]
2 years ago
5

Discuss the relationship between bond prices and interest rates. What impact do changing interest rates have on the price of lon

g-term bonds versus short-term bonds? Your answer must be supported with examples and academic citations.
Business
1 answer:
Doss [256]2 years ago
5 0

Interest rates and bond prices have an adverse correlation. Bond prices grow during periods of low-interest rates and decline during periods of high-interest rates.

<h3>What is the interest rate?</h3>

The cost of borrowing and the rewards for saving are both indicated by the interest rate. Since there is a premium if the coupon rate is higher than the market rate, the bond's price will be higher. Bond prices will decrease if the coupon rate is lower because there will be a discount.

The price of long-term bonds is more affected by interest rates than the price of short-term bonds. A bond's price varies depending on how long it is.

Learn more about bond prices, here:

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The disposal of a business segment is reported as discontinued operations. True or false?
zheka24 [161]

True, When the businesses decide not to carry on their operations further it will be reported as Discontinued operations and is shown in extraordinary items.

<u>Explanation:</u>

The disposal of business segment is caused due to some major change or shift that leads to  financial dis balance and ultimately leads to the shutting down of the operations and so it will be reported in the discontinued operations. The business segment when disposed of or sold it will be reported as discontinued operations.

6 0
4 years ago
On January 1, Avers Co. borrowed $10,000 cash from Main St. Bank by signing a 60-day, 8% interest-bearing note. On March 1, Aver
balandron [24]

Answer:

Notes Payable, $10,000

Explanation:

The journal entry when the amount is borrowed is as:

On January 1

Cash A/c.........................Dr  $10,000

      Notes Payable A/c......Cr  $10,000

Being amount borrowed from bank by signing the note

The journal entry which is to be recorded when made payment in full

On March 1

Notes Payable A/c...............................Dr   $10,000

Interest A/c............................................Dr    $133

     Cash A/c..................................................Cr    $10,133

Being the amount paid in full

Working Note:

Interest = Amount borrowed × 8% × Days / Number of days

= $10,000 × 8% × 60/365

= $133

4 0
3 years ago
In the field of strategy, an industry's boundaries are determined based on: I. employees switching between companies II. technol
katen-ka-za [31]

Answer:

I. employees switching between companies

IV. interdependent consumer markets

Explanation:

Industry boundaries helps a business determine the areas in which they are competing, it also helps to identify competitors so a business can design a competitive strategy.

The industry boundary is determined as employees switch between companies. The companies talent moves to is more competitive.

Also industry boundary is determined by how interdependent the consumer market is.

8 0
3 years ago
portia grant is an employee who is paid monthly. for the month of january of the current year, she earned a total of $8,788. the
Degger [83]

The amount of federal income tax withheld from her earnings was $1,458.17. her net pay for the month is $6,223.54.

A federal monarchy, inside the strict sense, is a federation of states with a unmarried monarch as normal head of the federation, however maintaining specific monarchs, or having a non-monarchical device of government, in the various states joined to the federation. The time period turned into delivered into English political and ancient discourse by Edward Augustus Freeman, in his records of Federal authorities (1863). Freeman himself thought a federal monarchy handiest possible inside the summary. The time period turned into delivered into English political and ancient discourse by Edward Augustus Freeman.

Learn more about federal here

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8 0
2 years ago
Natasha selects standard shipping for her purchase and the company bills her credit card $91. 08 for the total of the online pur
kicyunya [14]

A. Natasha has been billed correctly for her purchase of standard shipping.

To determine if Natasha has been billed correctly for her purchase, you need to review the details of the purchase.

First, you need to confirm the cost of the items purchased. This can be done by looking at the itemized list of purchases on the receipt.

Next, you need to confirm the cost of shipping. If Natasha selected standard shipping, then the cost will be listed on the receipt.

Finally, you need to compare the cost of the items purchased and the cost of shipping to the total amount billed to Natasha's credit card. If the total cost of items and shipping matches the total amount billed to Natasha's credit card, then Natasha has been billed correctly.

In this case, since the total cost of items and shipping matches the total amount billed to Natasha's credit card ($91.08), Natasha has been billed correctly. Therefore, the answer is A. Natasha has been billed correctly.

For more questions like Shipping click the link below:

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3 0
1 year ago
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