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Zanzabum
3 years ago
11

The idea that investors today compare the returns on bonds with differing times to maturity to see which is expected to give the

m the highest return is the underlying principle behind the ________ of the term structure of interest rates.
Business
1 answer:
Zielflug [23.3K]3 years ago
8 0

Answer:

expectations theory

Explanation:

Expectations theory is defined as the prediction of what short-term interest rates will amount to in future based on the current long-term interest rates on an investment.

The theory suggests or states that "an investor will earn the same amount of interest by investing in two consecutive one-year bond investments that in one two-year bond investment".

Simply put, the theory say that one can invest twice in a one year bond and still make the same interest rate as investing once in a two-year bond.

This theory helps investors to make profits faster and even higher through multiple investments on bonds.

Cheers.

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vladimir1956 [14]

A business plan that provides information on a company, its products or services, its market, and critical risks to prospective business or marketing partners or to prospective key employees is called an invention plan.

Invention Plan informs prospective business or marketing partners or key employees about the company, product/service, market, and critical risks.

This  business plan should briefly explain ones corporation, ones brand, the main aspects of ones market research, ones strategic plan, ones management, and ones financial plan.

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4 0
1 year ago
Refer to the following selected financial information from our company. Compute the company's profit margin for Year 2.
Marianna [84]

Answer:

a. 14.1%

Explanation:

Year 2

Net Profit Margin = Earnings Before Tax / Sales × 100

                             = $ 67,250 / $478,500 × 100

                             = 14.05 or 14.1 %

3 0
3 years ago
The general pattern that consumption of the first few units of any good tends to bring a higher level of _______ to a person tha
ch4aika [34]

Answer:

1. utility

Explanation:

The law of diminishing marginal utility states that as consumption increases, the utility derived from consumption falls.

I hope my answer helps you

6 0
3 years ago
Yada Company manufactures luggage sets. Yada sells its luggage sets to department stores. Yada expects to sell 2 comma 000 lugga
Inessa05 [86]

Answer:

                                          JANUARY                       FEBRUARY

TOTAL SALES                     $410,000                       $430,500

Explanation:

for January

number of luggage set sold 2000

price for each set  = $205

sales for month January  = 205*2000 = $410,000

for February

number of luggage set sold 2100

price for each set  = $205

sales for month February  = 205*2100 = $430,500

                                          JANUARY                       FEBRUARY

TOTAL SALES                     $410,000                       $430,500

6 0
3 years ago
Organisms exhibiting complex multicellularity are large and have cells/tissues that are not in contact with their environment. S
maxonik [38]

Answer:

Explanation: the question should be, Why is bulk flow a necessary condition of complex multicellularity?

Then here is the answer, Multicellular organisms are that have plenty cells and they have s complex units that makes up their functions and makes them to begin to function as one.

Organisms exhibiting complex multicellularity are big and have cells/tissues that are not usually in contact with their environment. They are have systems that can overcome the limits of diffusion (movement from area of higher concentration to that of lower) must evolve for basic physiologic processes to occur.

7 0
3 years ago
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