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alukav5142 [94]
2 years ago
11

The Carter National Bank is worried because it knows that the municipal bonds it has in its bond portfolio can be difficult to s

ell quickly. What type of risk would this be an example of?
A) Basis risk.
B) Call risk.
C) Default risk.
D) Inflation risk.
Business
1 answer:
ioda2 years ago
4 0

Answer:

liquidity risk

Explanation:

Liquidity risk refers to the risk associated with not being able to fulfill short term debts and obligations. Liquid assets are those assets that can be easily converted to cash, e.g. T-bills, publicly traded stocks.

Illiquid assets are those that cannot be easily converted to cash, e.g. real estate property. It doesn't mean that they are a bad investment, but if the company needs cash fast, they need to look somewhere else.

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United Machining's margin was 2% and turnover was 3.0 on sales of $60 million for the year. On the basis on this information____
Hunter-Best [27]

Answer:

B, net income for the year was $1,200,000, average assets were $20 million, ROI was 6%

Explanation:

net income is calculated by multiplying the percentage margin by the sales. We have,

(2 ÷ 100) × $60,000,000

= 0.02 × $60,000,000

= $1,200,000

To calculate the average assets, sales is divided by the turnover.

we have, ($60,000,000 ÷ 3.0)

= $20,000,000.

To calculate the ROI, margin and turnover are multiplied.

we have,

(2% × 3.0) = 6%

Cheers.

3 0
3 years ago
1. A computer game that can be purchased online and played right away has good ___ utility. A) form. B) info. C) value. D) time
gizmo_the_mogwai [7]
1.) Out of the choices given here, a computer game that can be purchased online and played right away has good time utility. The other choices didn't seem to be a good fit for this particular question. The correct answer is D. 

2.) Hours of labor or the number of workers are common ways of measuring a company's division of labor. The correct answer is A, division of labor. 
6 0
3 years ago
An investor is in a 30% combined federal plus state tax bracket. If corporate bonds offer 9% yields, what yield must municipals
Mkey [24]

Answer:

after tax yield on corporate bonds  = 6.3 %

Explanation:

given data

federal plus state tax bracket = 30%

corporate bonds  yields = 9%

solution

we get here yield that must municipals offer for the investor is express as

after tax yield on corporate bonds = corporate bonds  yields × ( 1 - federal plus state tax bracket  )   ......................1

put here value and we will get

after tax yield on corporate bonds = 9% × ( 1 - 30% )

after tax yield on corporate bonds = 0.09 × ( 1 - 0.30 )

after tax yield on corporate bonds  = 0.063

after tax yield on corporate bonds  = 6.3 %

7 0
2 years ago
What gives rise to the problem of scarcity?​
horsena [70]

Answer: I honestly have no idea im just stupid and i need points so yea im sry bye

Explanation:

5 0
2 years ago
HOW IMPORTANT IS INNOVATION TO ENTREPRENEURSHIP?
faust18 [17]

Answer:

   Successful innovation allows you to add value to your business so that you can increase your profits—if you don't innovate well, your business will plateau. Innovation helps you stay ahead of the competition. With globalization and a rapidly changing market, there are more competing businesses than ever before.

<h2><u>Hope This Helped!</u></h2>

8 0
2 years ago
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