Answer: -18.80% for bond J, -15.46% for bond K
Explanation:
If interest rates suddenly rise by 2 percent, the percentage price change of bond J is -18.80% while the percentage price change of bond K is -15.46%
The calculation is provided below
Answer:
a) 900 dollar as all is M0
b) 900 as the deposit have no multiplier effect
c) 900 as there is no multiplier effect
d) 7,200 taking into consideration the multipler effect from the bank deposit.
e) 4,050 considering the deposit multiplier effect
Explanation:
a; b ; c ) as there is no multiplier effect the quantity of money matches the nominal currency.
d)
M0 (currency and coins) 0
M1 900 / 0.125 = 7,200
e)
currency : 900 / 2 = 450 M0
deposit :
450 / 0.125 = 3,600 M1
Total 4,050
Answer:
28.57%
Explanation:
currently total shares outstanding are:
- you own 3 million shares
- angel investors own 2 million shares
- total shares outstanding 5 million
if the corporation issues 2 million shares more, then the total shares outstanding would increase to 7 million.
The venture capitalist's investment in your firm would represent 2/7 = 28.57% of the firm's total shares.
Answer:
d) Competition
Explanation:
According to Rajasekar, J. (2014). <em>Factors affecting effective strategy implementation in a service industry</em> Strategic management process key factors are the role of leadership, the role of culture and the role of organizational structure in strategy implimentation.
On the other hand, "the absence of real competition is either not aware of the need to formulate a strategy and implement it (clarity of strategy) or believe there is no need to do so due to the business structure" (p.177)
Reference: Rajasekar, J. (2014). Factors affecting effective strategy implementation in a service industry: A study of electricity distribution companies in the Sultanate of Oman. International Journal of Business and Social Science, 5(9).
Invisible hand.
The invisible hand is Adam Smith's theory that markets left on their own will automatically adjust to the production and consumption that most benefits all involved.