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zhenek [66]
4 years ago
8

Which accurately explains the difference between the stock market and the bond market?

Business
2 answers:
Inessa05 [86]4 years ago
6 0

Answer:

They trade on different exchanges.

The bond market goes deeper and has more volume. The bond market is about loan and debt but the stock market mainly focuses or companies.

Reptile [31]4 years ago
5 0
<span>Bond prices have an inverse relationship with interest rates. As bond prices rise, yields will fall. Typically this is bullish for stocks as investors move to the equity marke .Equity is bought and sold in the stock market while debt is bought and sold in the bond market.The Stock Market is a subset of the Capital Market.</span>
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Sam and Joan made an offer of $250,000 asking the seller to pay all closing costs. They will put 10% down and pay one discount p
Archy [21]

Answer:

$27,500

Explanation:

Discount points are also called mortgage points and are fees paid as prepaid interest rate on a mortgage property.

One discount point is equivalent to 1% of the loan amount.

In the given scenario a down payment of 10% was made.

Also they are pay one discount point to close.

So total down payment to be made is 10% + 1% = 11%

Amount is cash for closing = 0.11 * 250,000 = $27,500

3 0
3 years ago
Lester's just signed a contract that will provide the firm with annual cash inflows of $28,000, $35,000, and $42,000 over the ne
Free_Kalibri [48]

Answer:

$64,474.20

Explanation:

As for the information provided,

discount rate = 7.25%

First payment will be made at the end of year 1

Discounting factor = \frac{1}{(1+0.0725)^1} = 0.9324

Thus, current value of payment = 28,000 \times 0.9324 = $26,107.20

Discounting factor for receipts =

Year 1 = \frac{1}{(1+0.0725)^1} = 0.9324 = $28,000 \times 0.9324 = 26,107.20

Year 2 = \frac{1}{(1+0.0725)^2} = 0.8694 = 35,000 \times 0.8694 = 30,429

Year 3 = \frac{1}{(1+ 0.0725)^3} = 0.8106 = 42,000 \times 0.8106 = 34,045.20

Therefore, value of contract today = - $26,107.20 + $26,107.20 + $30,429.0 + $34,045.20 = $64,474.20

5 0
4 years ago
Government programs that compensate farmers for not planting crops on all their land : hurt farmers by lowering their total reve
Zolol [24]

Answer:

Help farmers by increasing total revenue in the market but hurt consumers by raising food prices

Explanation:

Farm subsidies are expensive for taxpayers while also harming the economy and the environment. These government programs restrict farmers from wanting to innovate, cut costs, diversify their use of the land, and perform other necessary actions that bring them economic prosperity. This affects customers by raising food prices.

3 0
3 years ago
Which of the following companies is most likely to have a negative Cash Conversion Cycle?
Veseljchak [2.6K]

Answer:

a) A discount retailer

Explanation:

The formula to determine the cash conversion cycle is shown below:

Cash Conversion Cycle = days inventory outstanding + days sales outstanding - days payables outstanding.

So as per the given situation, the first option i.e. discount retailer should have the negative cash conversion cycle as in other options it created the positive impact

So the option a is correct

3 0
3 years ago
Which of the following statements is true?
Sedaia [141]

Answer:

The correct answer is option d.

Explanation:

A monopoly is a market structure where there is a single firm in the market with no close substitutes. The firm is a price maker. There is high barriers to entry in the market.

Similar to monopoly other imperfect competition such as monopolistic competition and oligopoly also have barriers to entry, and are price makers. But the firms in such markets have different  demand curve than the market demand curve.

But in a monopoly there is only single firm, so the market demand curve is the same as  individual firm's demand curve.

4 0
3 years ago
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