Answer:
A. The firm's Executives
Explanation:
External Sources to a firm are those sources that are related to be not part of the day to day running of the affairs of the firm. As such the firm's executives are internal sources because they represent the interest of the firm.
In case of a sole proprietorship or partnership business, these executives are the owners of the business while in the case of listed firms, they represent the interest of the owners of the firm. They cannot therefore be regarded as external sources
Competitors are related as they are within the same product line but they are not involved in the daily affairs of the firm, suppliers make raw materials available while customers patronise the business. Trade shows magazine on the other hand independently report the progress of all firms within the industry. These are the external sources.
Answer:
a. Overstates Inflation.
In the case of Mary and Bob, the CPI would have already increased but in this case the price of the minivan increased as well. This will overstate inflation because it will not measure the general rise in price alone (inflation), it will also measure the rise in price as a result of the new minivan having better features.
b. Understated Inflation
Donna's case represents an understated inflation because the quantity shrank yet the price stayed the same. This means that the price is now buying less quantity than it used to which is inflation because more dollars are now required to buy the previous amount. This was not however recorded as there was no change in price.
c. Overstates Inflation
In the case of Zach, the inflation will be overstated because Zach is no longer buying bagels and is now buying muffins so continuing to use bagels as a representative good in the basket of goods used to calculate CPI would be overstating it.
d. Accurate representation of Inflation
In Chris's case, the increase in the price of the same shoe over the years has been because of a general rise in prices and not because it is a different model. It is the same shoe and its price is rising generally so this is an accurate depiction of inflation.
Answer:
Price of treasury bill = $9,803.92
Explanation:
<em>The price of the treasury note would be the present value of the future receivable on maturity discounted at the rate of return of 2% per six-month.</em>
The formula is FV = PV × (1+r)^(n)
PV = Present Value- ?
FV - Future Value, - 10,000
n- number of years- 1/2
r- interest rate - 2%
PV = 10,000 × (1.02)^(-1)
PV = 9,803.92
Price of treasury bill = $9,803.92
