Answer:
When PED is greater than one, demand is elastic. This can be interpreted as consumers being very sensitive to changes in price: a 1% increase in price will lead to a drop in quantity demanded of more than 1%. When PED is less than one, demand is inelastic.
so it is true
Explanation:
Answer:
It will be sold at $1,186.71
Explanation:
We will calculate the present value of the cuopon payment and the maturity at the new market rate of 7%
<u>The coupon payment will be calcualte as the PV of ordinary annuity</u>
C $50 (1,000 x 10%/2 as there are 2 payment per year)
time 16 (8 years x 2 payment per year)
rate 0.035 (7% rate / 2 payment per year)
PV $604.7058
<u>The maturity will be calculate as the PV of a lump sum</u>
Maturity 1,000.00
time 8 years
rate 0.07
PV 582.01
<u>The market price will be the sum of both:</u>
PV cuopon $604.7058
PV maturity $582.0091
Total $1,186.7149
Answer:
A) $10,195
Explanation:
This can be calculated as follows:
Amount in Account "B" = $12,850.25
Remaining balance after moving $2,500 from Account "B" to account "A" = Amount in Account "B" - $2,500 = $12,850.25 - $2,500 = $10,350.25
Amount moved from account "B" to account "C" = Remaining balance after moving $2,500 from Account "B" to account "A" * 1.5% = $10,350.25 * 1.5% = $155.25
Balance after moving 1.5% of the remaining balance in account "B" to account "C" = Remaining balance after moving $2,500 from Account "B" to account "A" - Amount moved from account "B" to account "C" = $10,350.25 - $155.25 = $10,195
Therefore, the correct option is A) $10,195.
Answer:
B. at the highest independent bid or the last reported sale price, whichever is higher
Explanation:
SEC Rule 10b-18 was issued to create a safe harbor that reduces a company's possible legal liabilities related to repurchasing their own stock. Companies can decide to follow it or not, but if they follow it, they must comply with specific requirements that depend on the company's size and trading activities. Even if companies follow all the requirements of this "safe harbor", all legal liabilities are not eliminated, instead some specific provisions will not be considered to have been violated by the company.
The conditions related to this rule include
- Manner of purchase conditions
- Timing conditions
- Price conditions
- Volume conditions