Answer:
C. Always equal for the economy as a whole
Answer:
D. Passive Income
Explanation:
VillageVirtual ECON/PF course
Answer:
$1,250
Explanation:
The computation of the semi-annual amortization of the bond premium is shown below:
= (Issued amount - proceeds from the bonds) ÷ time period ÷ semi-annual
= ($210,000 - $200,000) ÷ 4 years ÷ 2
= $10,000 ÷ 4 years ÷ 2
= $1,250
In the case of semi-annual, we simply divided by 2 so that the accurate amount can come.
Answer: $38.03
Explanation:
Based on the information given in the question, dividend for first year will be:
= D1 = $2.19 × 1.15 = $2.5185
D2= $2.5185 × 1.1 = $2.77035
Then, we calculate the value after year 2 which will be:
=(D2 × Growth Rate) / (Required Return-Growth Rate)
=(2.77035 × 1.037) / (0.107-0.037)
=$41.04
Therefore, the stock price today will be:
= (2.5185/1.107) + (2.77035/1.107²) + (41.04)/1.107²
=$38.03
Answer:
It will be between $1.00 and $ 1,20
Explanation:
Solution
Given:
From the given question, the price of a flax seed in west Virginia is presently at $1.00
From the law of one price states that since the price of a pound of flax seed is $1.20 in Kentucky,
Then,
The price of a flax seed pound will be between 1.20 and 1.00
Therefore, the price of the flax seed in Kentucky as compared to that of west Virginia will be placed in between prices of $1.20 and $1.00 after the supply by sellers in both market has been adjusted or raised.