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laiz [17]
1 year ago
5

Which would you rather be owning if there is a decline in market interest rates: long-term bonds or short-term bonds? why?

Business
1 answer:
Thepotemich [5.8K]1 year ago
3 0

Long-term bonds are preferable to hold if interest rates decrease because their price will rise more than the price of short-term bonds, providing a bigger return. Long-term bonds, however, are more susceptible to interest-rate risk. In addition, the longevity of the bonds, not only their term to maturity, is a major factor.

<h3>What are short-term bonds?</h3>

Short-term bonds may offer consistent income with comparatively little risk. When compared to money markets, higher profits can be obtained. Even some bonds are tax-free.

The potential yield of a short-term bond is higher than that of money market investments. Bonds having shorter maturities are often more resistant to changes in interest rates than other types of assets. Purchasing a bond and keeping it until it matures entitles you to the stated principle and interest rates.

To know more about bonds, visit

brainly.com/question/22939161

#SPJ4

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What is Baruch Shemtov's product, and how did he begin creating it?
N76 [4]

Answer:

Baruch Shemtov's product is tie

Explanation:

Baruch Yehudah Shemtov  was born on September 22, 1987.

Baruch has passionate about the design and the fashion from his young age, he was launched his first line of ties at just age 15 years.

he is a fashion entrepreneur since his junior class of high school

Today also Baruch ties routinely sellout in the tony department store and online

Baruch neckties and all accessories are made in USA

and In 2013, he launched boy ties collection and he coordinating with father-son neckties range at Bergdorf Goodman

5 0
2 years ago
Suppose you deposit ​$2 comma 0002,000 cash into your checking account. by how much will checking deposits in the banking system
Mamont248 [21]
Money is any item that serves as a medium of exchange for goods and services.
3 0
3 years ago
Maria, age 28, wants to pay no more than $300 a year in life insurance. What is the face value of the largest 20-year term polic
VMariaS [17]

Answer:

Explanation:

Net Cost of Life Insurance Premium : Life insurance policy entails Premium to be paid by the insured at a monthly / quarterly interval. insured often gets dividend from the insurance company and in that case, the net cost of premium will be low

The 20 years premium can be calculated with Annual Premium which is not given in the question, therefore i will solve for all the option but please pick the answer that the Annual premium is with you

a)   20 years premium = Annual Premium x Number of years

                                     = 11700 x 20

                                    = 234,000

b)   20 years premium = Annual Premium x Number of years

                                     = 7900 x 20

                                    = 158,000

c)  20 years premium = Annual Premium x Number of years

                                     = 550 x 20

                                    = 11,000

d)  20 years premium = Annual Premium x Number of years

                                     = 28350 x 20

                                    = 567,000

7 0
2 years ago
You are an underwriter for ABC Insurance. You receive a life insurance proposal for medical insurance with premium payment. The
Stella [2.4K]

do you want money i will give you

3 0
3 years ago
The first Pepsi yields Craig 18 units of utility and the second yields him an additional 12 units of utility. His total utility
Ilia_Sergeevich [38]
<h3>Answer:</h3>

C) 8 units of utility.

<h3>Explanation:</h3>
  • Marginal utility refers to the change in the total utility that is achieved from the consumption of one more unit of good.
  • It is calculated by getting the change in total utility and dividing it by the change in the number of units consumed.

In this case;

First yields = 18 units

Second yields = 18 + 12 units = 30 Units

Third yields =  38 units

Therefore;

Marginal unit = 38 units - 30 units

                      = 8 units

Therefore, marginal utility is 8 units of utility.

5 0
2 years ago
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