Answer:
Option (c) is correct.
Explanation:
Given information states that bananas and tangerines are substitute goods. We know that the cross price elasticity of substitute goods is positive which means that there is a positive relationship between the price of one good and the quantity demanded for substitute good.
Therefore, in our case as the price of bananas increases and all the other factors remains constant then as a result the quantity demanded for tangerines increases.
It is important, because you have to explain how to do a procedure in order for the former person to understand what you believe is correct in math.
If an employer does not offer a retirement plan, the employee can save up for his retirement by investing in an insurance company that offers such benefits. There are independent insurance companies in the market that provide such services for employees who are not granted with basic benefits. They can arrange for a person to pay insurance in a monthly, quarterly, or annual basis.
Answer:
True
Explanation:
The statement is true, roles and responsibilities are very important in family business. Relatives regularly fill more than one job in the organisation so as to keep it running. Likewise, if the administration covers and family jobs and duties are uncertain to everybody, opposition or even absolute battling is bound to happen in light of the fact that the individuals included know each other well indeed.
Answer:
You should be willing to pay $984.93 for Bond X
Explanation:
The price of a bond is equivalent to the present value of all the cash flows that are likely to accrue to an investor once the bond is bought. These cash-flows are the periodic coupon payments that are to be paid annually and the proceeds from the sale of the bond at the end of year 5.
During the 5 years, there are 5 equal periodic coupon payments that will be made. Given a par value equal to $1,000 and a coupon rate equal to 11% the annual coupon paid will be 
= $110. This stream of cash-flows is an ordinary annuity.
The PV of the cash-flows = PV of the coupon payments + PV of the value of the bond at the end of year 5
Assuming that at the end of year 5 the yield to maturity on a 15-year bond with similar risk will be 10.5%, the price of the bond will be equal to :
110*PV Annuity Factor for 15 periods at 10.5%+ $1,000* PV Interest factor with i=10.5% and n =15
= ![110*\frac{[1-(1+0.105)^-^1^5]}{0.105}+ \frac{1,000}{(1+0.105)^1^5}](https://tex.z-dn.net/?f=110%2A%5Cfrac%7B%5B1-%281%2B0.105%29%5E-%5E1%5E5%5D%7D%7B0.105%7D%2B%20%5Cfrac%7B1%2C000%7D%7B%281%2B0.105%29%5E1%5E5%7D%20)
=$1,036.969123
therefore, the value of the bond today equals
110*PV Annuity Factor for 5 periods at 12%+ $1,036.969123* PV Interest factor with i=12% and n =5
= ![110*\frac{[1-(1+0.12)^-^5]}{0.105}+ \frac{1,036.969123}{(1+0.12)^5}](https://tex.z-dn.net/?f=110%2A%5Cfrac%7B%5B1-%281%2B0.12%29%5E-%5E5%5D%7D%7B0.105%7D%2B%20%5Cfrac%7B1%2C036.969123%7D%7B%281%2B0.12%29%5E5%7D%20)
=$984.93
