Answer:
c. not affect the bond's duration.
Explanation:
The bond duration measures the sensitivity of a bond's price to change in the interest rate. It is a linear measure of those years in which the repayment of the principal is due. the change in interest rate does not affect the duration of the bond.
On the other hand decrease in interest rate would increase the bond's PV and Price of the bond as well.
Payment frequency would not change with the decrease interest rate.
The Coupon rate will also remain the same whether the interest rate increases or decreases.
Answer:
c
Explanation:
A public good is a good that is non excludable and non rivalrous. Everyone has assess to the statue and because one person is enjoying the view of the statue does not means another person cannot enjoy the view of the statue. The demand curve for public goods is summed vertically because all individuals can consume every unit of the good at the same time.
A private good is a good that is excludable and rivalrous. They are usually exchanged in the market by private sector businesses. It is only you who purchased the ferrari and those you allow that can use the ferarri.
Answer:
Economies of scope
Explanation:
In the case of economies of scope, the efficiency should be attained via generating the variety of goods and services. In this the production cost is reduced at the time when different kinds of products are being produced
so as per the given situation, it is an example of the economies of scope
Therefore the same is to be considered and relevant
<span>Firms should seek to continually develop new core competencies because all core competencies have limited life spans.
true</span>
