Answer: 16%
Explanation:
Interest rate on long term treasury securities is calculated below using following formula:
Interest rate = Real risk-free rate + inflation premium + default risk premium + liquidity premium + maturity risk premium
= 3% + 8% + 2% + 2% + 1%
= 16%
Interest rate on long term treasury securities is 16%.
Answer:
A : Discontinuous Change
Explanation:
Discontinuous Change is the best illustration for this scenario.
Discontinuous Change is an unexpected change that gives a warning to the current or traditional authority or line of command of an industry. The warning lies in the event that an unplanned change can drastically transform the overall running of the business and can execute the pre-existing methods, code of conduct, systems, and operational models unusable just like here a gourmet chocolate manufacturer who imports the best quality cocoa from the country Jescavia but due to sudden increase in demand of cocoa in their own country it discontinues the previous chain of transaction between gourmet chocolate and the country Jescavia.
Answer:
(E) I, II, and III
Explanation:
I. Remaining in the class incurs an opportunity cost.
II. The entire tuition is irrelevant because it is a sunk cost.
III. The cost of the book is a sunk cost.
An opportunity cost is the cost incurred when we choose to forgo an alternative option.
Sunk costs are costs that once they have been incurred or spent, they cannot be recovered or gotten back.
If Peter chooses to remain in the class, then he gives up his part-time job. The salary he would have made from the part-time job within that period of time is an opportunity cost he will have to forgo.
Also, the tuition fee and the cost of the textbook (which is now an old edition and worthless) have already been spent and cannot be recovered, therefore they are sunk costs.
Answer:
The personal and social costs of unemployment include severe financial hardship and poverty, debt, homelessness and housing stress, family tensions and breakdown, boredom, alienation, shame and stigma, increased social isolation, crime, erosion of confidence and self-esteem, the atrophying of work skills and ill-health ...