The government is paying 10% in interest.
What interest on Treasury bills?
The interest on Treasury bills compares the interest earned by the investor to the face value of the T-bill, in other words, it is determined as the interest(i.e. face value-purchase price) divided by the face value.
From an investor's perspective, I mean the person buy purchasing the T-bill, his rate of return is the interest divided by the amount invested, which is the purchase price.
Interest=face value-purchase price
face value=$1,000
purchase price=$900
interest=$1000-$900
interest=$100
government's interest rate=interest/face value
government's interest rate=$100/$1000
government's interest rate=10%
In other words, the government by a way of issuing the bills is paying interest of 10% to the lenders
Read more on bonds generally including government bond on:brainly.com/question/22013938
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Explanation:
Grameen bank is one of the pioneers in the world of Micro Finance Institutes, which not only provides the poor with access to financial capital but also helps them build a better business which allows them to escape from the poverty cycle. This lead to an overall upward economic movement in the society, improving the economic condition of a country as a whole. Through these micro finance loans, a number of SMEs (Small and Medium Enterprises) emerges which further provide employment opportunities to other people thus starting a virtuous cycle of economic growth.
As the economic condition of the poor becomes better, these poor people inturn becomes customer for these business for other products thus being a huge source of profit.
Answer:
increases as the price falls
Explanation:
A. increases as the price rises
B .at $8.00 a DVD is 8 DVDs a month
C. at $6 a DVD is less than the quantity demanded at $8.00 a DVD
D. increases as the price falls
E .at $6.00 a DVD is 4 DVDs a month
According to the law of demand, the higher the price, the lower the quantity demanded and the lower the price, the higher the quantity demanded.
As price decreases, quantity demanded increases
Answer and Explanation:
The journal entry to record the given transaction is as follows
Retained earning Dr (0.30 million × $54) $16.2 million
To Common stock (0.30 million × $1) $0.3 million
To Additional paid in capital in excess of par (0.30 million × $53) $15.9 million
(Being the stock dividend is declared)
The computation of the shares after declaring the dividend is
= 30 million × 1%
= 0.30 million
Answer:
less volatile the price of a security, the wider the bid-asked spread.
Explanation:
From the answers listed in the question the one that would be considered false would be that the less volatile the price of a security, the wider the bid-asked spread. This is because the bid-asked spread usually depends on the liquidity of the asset, when the asset has a large enough liquidity which causes the volatility to be low the bid-asked spread becomes very narrow since there is not much demand for buyers willing to pay higher prices for the asset in question. The opposite occurs if an asset is very popular and volatility is high which creates a much wider bid-asked spread.
