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3 years ago

How are bonds rated? how are these rating helpful to the investors?

Business

1 answer:

Lorico [155]3 years ago

8 0

Answer:

Independent agencies; reliability and stability

Explanation:

Bonds are securities which help to raise funds. Bonds generally rated by independent agencies, which rate bonds based on their performance and reliability. Independent agencies forecast the future prices of bonds based on historical data. Investors highly rely on bond ratings because it helps them to identify the best investment decision. Investors usually invest in bonds which are rated higher due to their reliability and future predictions.

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Buying goods and services not for their intrinsic value but for the purpose of impressing others is called?

Hunter-Best [27]

Buying goods and services not for their intrinsic value but for the purpose of impressing others is called Conspicuous consumption.

What is Conspicuous consumption?

Conspicuous consumption is the act of acquiring things or services specifically with the intention of flaunting one's wealth. When publicly displayed products and services are too expensive for other people in a person's class, conspicuous consumption is a way to demonstrate one's social position. Although it is frequently associated with the wealthy, this type of consumerism can occur in any income class.

Conspicuous consumption is characterized by buying products that are solely intended to serve as symbols of wealth, such as apparel with luxury brand labels, cutting-edge equipment and toys, and automobiles.

To know more about Conspicuous consumption refer:

brainly.com/question/7456315

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3 0

1 year ago

Land held for possible plant expansion would be included as an operating asset when computing return on investment (ROI).

Softa [21]

Answer:

B. False

Explanation:

Land held for possible plant expansion would NOT be included as an operating asset when computing return on investment (ROI).

Return on investment (ROI) is used to measure the profitability of an investment. It helps to compare the gain or loss from an investment in relation to its cost.

Return on investment can be used to determine

1. Profitability of a stock investment,

2. Profitability of the purchase of a business investment

3. Profitability of a real estate business

ROI = Net return / cost of investment × 100

Net return= Final value of investment - initial value of the investment

6 0

3 years ago

Swiss Furniture Company manufactures bookshelves and uses an activityminus−based costing system. The following information is pr

UkoKoshka [18]

Answer:

Cost of material handling and assembling per book shelf = $135.0811

Explanation:

Material Handling = $7,700 for 10,430 parts

Assembling = $10,600 for 10,430 parts

Packaging $2,640 for 1,490 bookshelves.

Each bookshelf consists 77 parts

We need to calculate material handling and assembling cost per book shelf.

Material handling cost per part = $7,700/10,430 = 0.738

Cost for 77 parts = 0.738 X 77 =$56.826

Assembling costs per part = $10,600/10,430 = $1.0163

Cost for 77 parts = $1.0163 X 77 = $78.2551

Cost of material handling and assembling per book shelf = $56.826 + $78.2551 = $135.0811

8 0

3 years ago

Inexpensive goods and services, which take very little consideration on the part of consumers and consumers frequently purchase,

nlexa [21]

Its called convenience products

4 0

3 years ago

Identify each statement as either true or false. In the United States, banks keep the entire value of all customer deposits in t

hichkok12 [17]

Answer:

In the United States, banks keep the entire value of all customer deposits in the bank vault to meet customer withdrawals. FALSE.

Banks keep only a portion of the customer deposits in the bank vault. A small portion is kept with the Fed called the Reserve Requirement.

Banks typically loan out a portion of customer deposits. TRUE.

Banks only loan out the portion of customer deposits that they did not leave with the Fed.

Bank runs occur when many customers attempt to withdraw deposits from a bank at the same time and the bank is unable to pay all customer withdrawals. TRUE.

When too many people try to withdraw from a bank, the bank might not meet these obligations because they loaned out money to people and those people were not yet due to pay back. This is a bank run.

The Federal Deposit Insurance Corporation (FDIC) protects bank depositors from bank failure. TRUE.

The fractional reserve banking system requires all banks to keep the total value of customer deposits in their vaults to prevent bank runs. FALSE.

As explained in the first paragraph, the Fed requires that banks keep a portion of customer deposits with the Fed instead of the total value of customer deposits.

6 0

2 years ago

How are bonds rated? how are these rating helpful to the investors?​

How are bonds rated? how are these rating helpful to the investors?