Answer:
See explanation below for answer.
Explanation:
One way in which the federal government makes money is to impose a tax on the salaries and wages earned by workers. This tax is a particular percentage of the salaries and wages of workers, and it is collected by the government to be used for various purposes.
Therefore, if the labour force were to be increased, meaning an increase in the number of workers in the economy, this would lead to more people earning wages and salaries, thereby translating into more tax to be collected by the government.
Hence, an increase in the labour force has a positive effect on government revenue, because it will lead to an increase in revenue collected from taxes.
Answer:
d. Buy in-the-money calls on oranges
Explanation:
A call option is an option to buy a product or asset at a stated price at a later date. The risk of call option is capped at premium for buying the option. The best financial engineering strategy for Coolmist is to buy in the money calls on oranges. This gives Coolmist a right to buy oranges at predetermined price at a later date. This minimizes the risk of upward price strike of oranges.
Answer:
I will be willing to pay $1,106 for a vanguard bond.
Explanation:
Coupon payment = Par value x Coupon rate
Coupon payment = $1,000 x 8%
Coupon payment = = $80
Price of bond is the present value of future cash flows, to calculate Price of the bond use following formula:
Price of the Bond = C x [ ( 1 - ( 1 + r )^-n ) / r ] + [ F / ( 1 + r )^n ]
Price of the Bond =$80 x [ ( 1 - ( 1 + 7% )^-20 ) / 7% ] + [ $1,000 / ( 1 + 7% )^20 ]
Price of the Bond = $80 x [ ( 1 - ( 1.07 )^-20 ) / 0.07 ] + [ $1,000 / ( 1.07 )^20 ]
Price of the Bond = $848 + $258
Price of the Bond = $1,106
Because if someone else buys a house for you and it's dirty you wouldn't like it.
