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.
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Answer:
Reverse the related expense.
Explanation:
In this scenario Muller has already realised the compensation expense for achievement of the particular target. In accrual accounting only the expenses that we have already incurred or are certainly going to incur will be recognised and recorded.
Muller has concluded that the executive will not meet the target and therefore will not the eligible for the compensation. Muller should reverse the related expense as it is unlikely it will incur it.
Those who try to benefit from a carry trade are hoping to borrow money at a low interest rate so that they can invest in something that will provide a higher return. People commonly do this between different foreign exchange markets to make the most on their return from investing in different country currencies.
Answer:
The answer is Diversity marketing.
Explanation:
Diversity marketing is a form of marketing strategy which recognizes that a target market contains subgroups (ethnicity, age, disability, gender and religion) and therefore seek to reach out or market products and services in a manner that connects with ideals, customs, beliefs and local culture of the group (target market).
Coca-Cola widely utilizes Diversity marketing in marketing her products because the company understands that differences exist within people and the best way to connect with a group (target market) is to use marketing tactics that are in line with the group's ideals, customs, beliefs and local culture.
