Answer:
Check screenshot attached below
Explanation:
Answer:
net loss of $62,500
Explanation:
Today Jasper converted $1,000,000 into 750,000€ ($1 = €0.75)
In three months from now, Jasper turned the 750,000€ into $937,500 ($1 = €0.80). ⇒ 750,000 / 0.80 = 937,500
The result of these transactions is a net loss = $937,500 - $1,000,000 = -$62,500.
The net loss happened because the euro depreciated against the US dollar, i.e. it lost value.
Answer: b. For a bond of any maturity, a 1.0 percentage point increase in the market interest rate (rd) causes a larger dollar capital loss than the capital gain stemming from a 1.0 percentage point decrease in the interest rate
Explanation:
This is very true. If market rates reduce by 1.0%, there is a larger drop in the price of a bond than the amount a bond gains in price if interest rates increase by that same 1.0%.
This is why the graph that relates bond prices to yield is concave and I attached a graph as proof.
Notice how the fall in price is greater when interest rate increases.
Answer:
The correct answer is letter "D": Values may conflict with each other.
Explanation:
American psychologists Shalom H. Schwartz in his "<em>Theory of Basic Human Values</em>" proposes there are ten (10) values driving individuals' behaviors: s<em>timulation, self-direction, universalism, benevolence, power, achievement, hedonism, tradition, conformity, </em>and <em>security</em>.
<em>According to Schwartz, some values like benevolence and power conflict with each other but some others such as conformity and security are compatible.</em>