Answer:
You can't tell the difference between a legit article and an ad
Explanation:
Answer:
9.35%
Explanation:
Annual coupon amount = Coupon rate × Fave value of bond = 7% × 1,000 = $70.
Expected current yield = Annual coupon amount ÷ Current market price per bond = $70 ÷ $749.04 = 0.0935, or 9.35%.
Therefore, the expected current yield for the next year on this bond issue is 9.35%.
Answer:
1. False
2. Shortage; Larger
Explanation:
1. A binding price ceiling is one that prevents the market from reaching its equilibrium. In this market, the equilibrium price is $25 therefore anything below $25 will be binding. A price ceiling below $25 per box is a binding ceiling.
2<em>. Assuming that the long-run demand for oranges is the same as the short-run demand, you would expect a binding price ceiling to result in a </em><em><u>shortage</u></em><em> that is </em><em><u>larger</u></em><em> in the long run than in the short run.</em>
In the long run, supply is more sensitive because farmers can decide to plant oranges on their land, to plant something else, or to sell their land altogether.
This means that a price ceiling in the long run will be less attractive to farmers so they might leave the market. If they do this then the shortage will be more as there are now less supplies in the market.
To create market stability.
Applied overhead goes on the credit side of the Manufacturing overhead of $120,700 was applied to production using the company's predetermined overhead rate