Answer:
B. To encourage the wealthy to invest in the bank and become attached to the national government.
Explanation:
Alexander Hamilton proposed the idea of having a national bank and it was approved by the congress in 1791.
Hamilton justified establishing a national bank because he intended to encourage the wealthy to invest in the bank and become attached to the national government.
The national bank had $10,000000 (Ten million dollars) in capital.
Answer:
Total product costs for Pharmco are a. $303,000
Explanation:
Product cost comprises all the factory costs incurred, which are directly related to production.
Here Product costs will be as follows:
Materials used = $120,000
Add: Factory Depreciation = $60,000
Add: Labor costs = $95,000
Add: Factory Supplies = $8,000
Add: Property taxes on factory = $20,000
<u>Total Product costs = $303,000 </u>
Answer:
a. Marginal product of a factor of production diminishes as more of it is employed with a given quantity of other inputs
Explanation:
The law of diminishing return states that in applying a successive unit of variable cost to a fixed cost, the return per unit of variable cost will eventually diminish or fall.
What the above means is that at a certain point, the continuous addition of land, labor , capital and entrepreneur will bring about a fall or reduction in output.
An example is where a company operate at a maximum level, there would be a fall in output even when additional workers are employed given that the factors of production are constant.
Answer:
a. Issuer
The entity that promises to make payments on the bond is the entity that issued the bond and they are therefore known as the Bond Issuer.
1. c. Corporate bonds
When a private company issues bonds, these bonds are known as Corporate Bonds. They often offer the most return of the 3 options as they are the riskiest.
2. b. Walmart
Walmart are the issuers of the bond. The rest are Lead Managers who are often Investment banks who help in the facilitation of Bond Issuance.
3. a. When interest rates increase, the prices of U.S. Treasuries decline.
Bond prices and interest rates have an inverse relationship. This is because of the fixed interest payment that bonds offer which can either be attractive or not to investors depending on market rates. For instance, when interest rates are high, other investment vehicles will offer more returns than bonds and so people will divest from them which will reduce their price.
4. c. Treasury bonds
US Treasury and indeed Government bonds on average are the least riskiest of the options listed as they are backed by the full weight and faith of the central government and all its assets. If all else fails, the Central Government could simply print more money to pay off the bonds.
Answer:
Apr = 11.11%
Explanation:
Given:
Discounted amount = $5,000
Number of year = 1
Quoted rate = 10%
Find:
APR
Computation:
Actual loan amount = $5,000[100%/(100%-10%)]
Actual loan amount = $5,000[100%/(90%)]
Actual loan amount = $5,555.56
A = P(1+r)¹
5,555.56 = 5,000( 1 + r )
1.1111 = 1 + r
APR = 0.1111
Apr = 11.11%
