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Solnce55 [7]
2 years ago
5

Selling the bonds at a premium has the effect of a. raising the effective interest rate above the stated interest rate b. causin

g the interest expense to be lower than the bond interest paid c. causing the interest expense to be higher than the bond interest paid d. attracting investors that are willing to pay a lower rate of interest than on similar bonds
Business
1 answer:
Andreyy892 years ago
3 0

Answer:

B. causing the interest expense to be lower than the bond interest paid

Explanation:

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The law of increasing costs warns us that as demand increases, the cost of the product increases. as the cost of production incr
givi [52]

Answer: c). according to the ppf, as we produce more of one product, eventually we have give up more and more of the other product.

Explanation: PPF shows all possible combination of goods that a country can produce with its limited resources. The slope of a PPF is the opportunity cost which shows the units of goods that must be sacrificed to gain more and more units of the other good. As we move down the PPF the opportunity cost increases. This means that <em>more and more units of a good must be sacrificed to gain additional units of the other good</em>.

7 0
2 years ago
Gillette charges a fairly low price for their razors​ (relative to​ costs) and a high price for razor blades. they are using a s
stira [4]
A. ​captive-product pricing

Gillette charges a fairly low price for their razors​ (relative to​ costs) and a high price for razor blades. they are using a strategy of​ __________ pricing.
4 0
3 years ago
You are choosing between these four investments and you want to be​ 95% certain that you do not lose more than 8.00% on your inv
borishaifa [10]

Answer: B. Corporate Bonds and T-Bills

Explanation:

As you want to be 95% certain, this would require a 95% confidence interval.

With the given returns and standard deviations, the range of returns expected will be computed by;

Upper limit = Return + 2*SD

Lower limit  Return - 2*SD

Stocks

Upper Limit = 18.37% + 2 (38.79%)

= 96.0%

Lower Limit = 18.37% - 2 (38.79%)

= -59.2%

S&P 500

Upper Limit = 11.84% + 2(20.01%)

= 51.9%

Lower Limit =  11.84% - 2(20.01%)

= -28.2%

Corporate Bonds

Upper Limit = 6.47% + 2(6.98%)

= 20.4%

Lower Limit = 6.47% - 2(6.98%)

= -7.5%

T-Bills

Upper Limit = 3.46% + 2(3.14%)

= 9.7%

Lower Limit = 3.46% - 2(3.14%)

= -2.8%

The lower limit show the lowest return achievable given a 95% confidence level.

<em>Only </em><em>Corporate Bonds</em><em> and </em><em>T-Bills</em><em> will give a minimum that is above 8% so they should be chosen. </em>

5 0
2 years ago
The financial statements of the larson company report net sales of $1,000,000 and accounts receivable of $80,000 and $60,000 at
stepan [7]
<span>To calculate the average collection period: the average accounts receivable balance divided by average credit sales per day. With $1,000,000 per year, that is $2739.73 per day. The average accounts receivable is ($80,000 + $60,000) / 2 = $70,000 $70,000 / $2,739.73 = 25.6 days</span>
4 0
3 years ago
John Smith, a U.S. based businessman paid the equivalent of $20 to an official of the country of Murundi to expedite the overnig
AleksandrR [38]

Answer:

Grease payment

Explanation:

A grease payment is a payment made to a government official with the goal of expediting a transaction, process or request. It can be obtained through extortion from the government official, by voluntary contribution from the non-goverment official, or by mutual agreement, either explicit, or implicit.

In practice, it is essentially the same as a bribe, and the term could be considered a colloquial euphemism.

3 0
2 years ago
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