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maksim [4K]
3 years ago
11

financial institution that maintains some Treasury bond holdings sells Treasury bond futures contracts. If interest rates increa

se, the market value of the bond holdings will ____ and the position in futures contracts will result in a ____.
Business
1 answer:
guajiro [1.7K]3 years ago
4 0

Answer:

Financial institution that maintains some Treasury bind holdings sells treasury bong futures contracts. If the interest rates increase, the market value of the bond holdings will decrease and the position in futures contracts will result in a gain.

When ever interest rates in market goes up, the current value of the bonds decrease and in this case the financial institution can book a gain by selling bond treasury futures.

Hope this Helps.

Good Luck.

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Why are some producers forced to sell their products at the prevailing market price? Group of answer choices price takers find m
Crank

Some producers are forced to sell their products at the prevailing market price because of (C) a high degree of similarity to competitor's products.

<h3>What is the prevailing market price?</h3>
  • Prevailing Market Price refers to the market's published wholesale price and, in the absence of a declared wholesale price, the prevailing market price of any commodities.
  • The term "prevailing market conditions" refers to the average amount of rent paid by operators of similar sized and placed lodges throughout the country, as determined in good faith by the national protected area authority.
  • Because of their great degree of similarity to competitors' products, some producers are forced to offer their items at the prevailing market price.
  • The average wage paid to similarly employed workers in a certain occupation in the area of anticipated employment is described as the prevailing wage rate.

Therefore, some producers are forced to sell their products at the prevailing market price because of (C) a high degree of similarity to competitors' products.

Know more about market prices here:

brainly.com/question/24877850

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The complete question is given below:
Why are some producers forced to sell their products at the prevailing market price?

A. price takers find market analysis is too costly

B. they are very small players in the overall market

C. high degree of similarity to competitor's products

D. they can increase output without affecting the quality

8 0
1 year ago
you deposit $6000 in an account earning 2% interest compounded continuously. how much will you have in the account in 10 years?
Gre4nikov [31]

Future Value is $7,327.20

<h3>What is compound interest ?</h3>

Compound interest is the interest on deposits that is computed using both the original principal and the interest accrued over time.

It is thought that the concept of "interest on interest" or compound interest first appeared in Italy in the 17th century. Compared to simple interest, which is just charged on the principal amount, it will cause a sum to grow more quickly.

Money grows more quickly when it is compounded, and compound interest increases as the number of compounding periods increases.

CI formula :  A = P(1 + r/n)^nt

where,

P = principal balance,

r = interest rate,

n = number of times interest is compounded per time period and

t = number of time periods.

To solve this question :

A = P(1 + r/n)^nt

= 6,000 (1 + 0.02/12) 120

= USD 7,327.20

To know more about compount interest, visit :

brainly.com/question/14295570

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4 0
1 year ago
The demand for wooden pencils is very responsive to a change in price. That is, the demand for these pencils is highly elastic.
Natalija [7]

Answer:

D. Price will rise, quantity purchased will fall, and gross revenues will fall.

Explanation:

It will lead to a higher price of the good as the management has to take into consideration the amount to wages to be paid to the workers, thus increasing the price of the goods. This will result to a lower demand at a higher price  because the price increases and competitions will take advantage of the situation and that will also reduce the revenue of the firm.

4 0
3 years ago
Help me please.. there is no option on here for Human Resources principals, so I jus clicked business as the subject..
miskamm [114]
I think A, but I’m not sure.
5 0
3 years ago
Read 2 more answers
Explain the most well-known service provided by insurance companies. *
earnstyle [38]

Answer:

Car insurance

Explanation:

Everybody drives a car.

6 0
2 years ago
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