Answer:
Current value = $550
Explanation:
You can solve this question using a financial calculator. I am using (Texas Instruments BA II plus)
First, since it is Semiannual coupon, adjust the interest rate to semi-annual rate and multiply 15 years by 2 since we have 2 semi annual periods per year.
<em>Note: If using the same calculator as me, key in the numbers first before the function .</em>
Total duration of investment ;N = 15 * 2 = 30
Interest rate; I/Y = 16% / 2 = 8%
Face value; FV = 1000
Semi annual Coupon Payment ; PMT = (8%/2)*1000 = 40
then CPT PV = $549.689
Therefore the current value of this bond is $550 (rounded to whole number.)
Answer:
Normal good
Explanation:
Income effect Is change in quantity demanded when the consumers purchasing power change as a result of a change in real income.
Substitution effect is when quantity demanded falls as a result of rise in price of a good which leads consumers to purchase cheaper alternatives.
A normal good is a good whose demand increases as income increases.
If the price of a normal good falls, the real purchasing power of the consumer increases and the consumer buys more of the good. Also, the consumer substituites from more expensive alternative goods to the more cheap normal good. The income and substitution effect both move in the same direction.
It can be concluded that the supply of swimming pool maintenance services has decreased. We can not say that <span>the demand for swimming pool maintenance services has increased.It is not accurate to say things like the technology has advanced the swimming pool services. By means of the situation gievn, we can say that the maintenance services have decreased. </span>
Answer:
The correct answer is: technological component.
Explanation:
Technological components and industrialization itself is the process by which machinery is introduced within companies for specialized, faster, and bigger production causing manual labor to be left aside. Industrialization is offered referred to as the economic process of transforming agricultural goods into manufacturing goods.