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3 years ago

The liquidity premium on a us treasury debt security is normally considered to be

1 answer:

6 0

<span>In economics, a liquidity premium is the explanation for a difference between two types of financial securities (e.g. stocks), that have all the same qualities except liquidity. It is a segment of a three-part theory that works to explain the behavior of yield curves for interest rates. The liquidity premium on a US Treasury debt security is considered to be 4%.</span>

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Consider the market for labor depicted by the demand and supply curves that follow. Use the calculator to help you answer the fo

vekshin1

Answer:

Suppose a senator considers introducing a bill to legislate a minimum hourly wage of $12.50.

Wage Labor Demanded Labor Supplied

$12.50 375,000 625,000

This will result in a surplus of labor (625,000 higher than 375,000)

Which of the following statements are true?

Binding minimum wages cause structural unemployment. As with all price floors, a deadweight loss results, because the quantity supplied is much greater than the quantity demanded. In this case, the price of labor is the wage, and the deadweight loss = structural unemployment
In the absence of price controls, a surplus puts downward pressure on wages until they fall to the equilibrium. Since a labor surplus exists, the price of labor should start to decrease in order to match the equilibrium price.
If the minimum wage is set at $12.50, the market will not reach equilibrium. The quantity supplied of labor is much greater than the quantity demanded for labor resulting in a surplus.

6 0

3 years ago

A jet ski that previously sold for $5,599.99 has been reduced to $3,863.99. What is the markdown percent? (Round your answer to

tangare [24]

Answer:

31%

Explanation:

The current price is $3,863.99

The precious price is $5,599.99

The actual difference in price is $5,599.99 - $3,863.99

=$ 1, 736.00

Percentage decrease will be actual decrease/ original price X 100

= $ 1736.00/ $5,599.99 x 100

=0.31 x 100

=31%

5 0

3 years ago

On January 1, Year 1, Zero Company obtained a $52,000, 4-year, 6.5% installment note from Regional Bank. The note requires annua

Gnom [1K]

Answer:

$ 11,799 is the principal balance of the note payable.

Explanation:

The Interest expense for the installment note on the year of the December 31, year can be determined by the following equation that are mention below

$= 52,000 * 6.5\ percent$

$52,000 * \frac{6.5}{100}$

$= $\ 3,380$

Now the Principal balance of the component in $15,179 payment of the December 31, year 1 can be determined by the

$principal\ and \ interest\ of \ note\ annual\ payments - Interest\ expense \ for\ the\ installment\ note$

$= 15,179 -3,380$

=$ 11,799

5 0

3 years ago

g For this question, ignore inflation. Suppose Jenny earns $60,000 per year working as a tax analyst. After ten years, she quits

arsen [322]

Answer:

If Jenny doesn’t earn any interest on her savings and wants to perfectly smooth consumption across her life, how much will she consume every year?

Jenny's total income during her life = income as tax analyst ($60,000 x 10) + income as PhD student ($12,000 x 5) + income as Art Director (35 x $95,000) = $3,985,000

she generated income during 50 years and expects to live 20 more, so in order to perfectly smooth consumption across her life, she must divide her total life income by 70 years = $3,985,000 / 70 years = $56,928.57 per year

What might prevent her from perfectly smoothing consumption?

First of all, besides inflation, you also earn interest on your savings. That is why 401k and other retirement accounts work so well (the magic of compound interest). Even if inflation and interests didn't exist, you cannot know exactly what you are going to earn in the future and for how many years. In this case, she earned $60,000 for 10 years, but then earned only $12,000 during 5 years. If she really wanted to smooth her consumption, she would have needed to get a loan because her savings during the first 10 years wouldn't be enough.

4 0

3 years ago

1. How do customers judge the quality of a supermarket? 2. Indicate how and why each of these factors is important to the succes

kirza4 [7]

Answer:

1. How do customers judge the quality of a supermarket?

They judge the quality of a supermarket depending on their values and most urgent needs.

Customers who value quality, and even luxury, will say that a good supermarket is one that offers high quality products.

Customers who value price, will prefer a low-cost supermarket.

2. Indicate how and why each of these factors is important to the successful operation of a supermarket:

a. Customer satisfaction - a very important factor because it determines how well the supermarket is serving its customers.

b. Forecasting - the supermarket needs to forecast all sorts of things, from, sales forecasts, to profit forescasts, to costs forecasts.

c. Capacity planning - the supermarket needs to know what it is actually able to do, and what projects it can embark on, for this, it needs to do a lot of capacity planning.

d. Location - Location is extremely important for a supermarket. It determines a large part of the customer demand because customers prefer supermarkets to be close to where they live.

e. Inventory management - Supermarkets need to manage inventories carefully, specially because a lot of the goods that a supermarket sells, are perishables.

f. Layout of the store - The Supermakert needs to be careful when determining the layout of the store. Customers want a layout that is easy to navigate, and where goods are placed according to a coherent classification.

g. Scheduling - The supermarket needs to establish a convenient schedule for its customer base.

What are some of the ways Wegmans uses technology to gain an edge over its competition?

Wegmans is characterized for its early adoption of ground-breaking technologies. For example, recently Wegmans developed a mobile application to assist blind shoppers.

6 0

3 years ago