Answer:
The correct answer is I. Underestimate the percentage increase in bond price when the yield falls; IV. Overestimate the percentage decrease in bond price when the yield rises.
Explanation:
Convexity is the relationship between price and profitability of a bond. The duration has to do with the period in which the bonds mature, where some variables such as redemptions are taken into account in order to finally be able to measure the risk of changes in interest rates.
John buys a toy plane from a toy store. The money he pays the store <u>is injected back into</u> the economy through <u>the employee's wage </u>and the taxes paid by the store.
Answer:
D. Shared service centers
Explanation:
This is the consolidation of different business operations that are used by multiple parts of the same organization. It takes routine transaction based activities that are dispersed throughout an organization and joins them together in one place. Doing this is very cost efficient because back office is centralized and lots of redundancies are eliminated.
Answer:
In simple words, A 1099-INT tax return is proof that you were paid interest by someone – a bank or another company. A 1099-INT is sent if you received more than $10 in interests from a bank, stockbroker, or other commercial organization Your bank may have sent you this tax form because it paid your income on your funds.
The answer is C. perfectly related.
Explanation:
A value of exactly 1 means there is a perfect positive relationship between the two variables. For a positive increase in one variable, there is also a positive increase in the second variable. A value of -1.0 means there is a perfect negative relationship between the two variables.
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