Answer:
b.moral hazard
Explanation:
If a person borrow from bank to buy car but actually he borrow to pay lottery. in this case the person will face Moral Hazards.
COMPLETE QUESTION:
Fill in the Blank:
Remember, a bond's coupon rate partially determines the interest-based return that a bond ______ pay, and a bondholder's required return reflects the return that a bondholder _______ to receive from a given investment.
Answer:
will, would like
Explanation:
The answers above correctly fills in the blanks in the question.
Remember, a bond's coupon rate partially determines the interest-based return that a bond WILL pay, and a bondholder's required return reflects the return that a bondholder WOULD LIKE to receive from a given investment.
Answer:
Factor market is the market where companies purchase the factors of production and resources that they utilise to produce goods and services. They buy the productive resources to make payments at factor prices. Factor maker is also called input market. It is different from product market in which the households are buyers and businesses are sellers. The factor market is opposite of this.
Yes it can be applied.
If an investor is pessimistic that a certain risk that they fear will occur, they avoid investing in the fields prone to the risk.
For example, if an investor is offered an opportunity in the oil and flammable fuels and the persons dreads fire, that person declines the offer no matter how viable it is.
Answer:
The product cost for 24,500 units is $497,350.
Explanation:
The reason is that the the product cost always includes all the variable production cost and specific fixed production cost. In this scenario, direct material cost, direct labor cost, variable manufacturing overhead cost are variable production cost whereas the fixed manufacturing cost is specific fixed production cost which will form part of product cost. The remainder of the cost left is period cost.
Direct materials (24,500 * $7.7 per unit) $188,650
Direct labor (24,500 * $4.7 per unit) $115,150
Variable manufacturing overhead (24,500 * $2.2 per unit) $53,900
Fixed manufacturing overhead (24,500 * $5.7 per unit) <u>$139,650 </u>
Total product costs $497,350