Answer: An investment that matures in five years
Explanation:
Both investments may be of equal risks, but by virtue of having different maturity dates, they will not be priced the same.
This is because the discount rate (opportunity cost) will discount the maturity value more the longer the investment is such that the present value is lower.
4 year investment
= 1,000 / (1.068)^4
= $768.63
5 year investment
= 1,000 / (1.068)^5
= $719.69
The 5 year investment will have a lower present value and will be charged lower.
B. i think it gets larger bc law of demand says that w higher prices, buyers will demand less of a product.
Maybe the answe tot his is d
Answer: Option (a) 285.60 is correct.
Explanation:
Given that,
Earning while working in state A = $6,800
and Woolson company's tax rate in state A = 4.2%
Hence,
John will have to pay tax on $6800 at a rate of 4.2%
⇒ 
= 285.60 ⇒ This is the SUTA tax that the company paid to State A.
Therefore, Option (a) is correct.