Answer: a. Issuer
Explanation:
When bonds trade at a premium, it means that the yield has fallen below the coupon rate which means that interest rates have dropped. Companies can take advantage of this to reissue new bonds at the lower interest rate so that they can save on costs.
Bonds usually have a call provision which would enable the issuer to call the bond in and pay the holder at the par value plus interest repayments at the lower yield which they will do in this case. They will then reissue new bonds at a lower rate.
Answer:
$50,000
Explanation:
The computation of the cost of going the college is shown below:
= College tuition fees per year + boarding fees per year + books and materials charges per year + earnings while working
= $20,000 + $10,000 + $2,000 + $18,000
= $50,000
For computing the cost of going to the college we simply added the total cost that is mentioned in the question so that the accurate amount could come
Answer:
Option C. Have a low value-to-weight ratio.
Explanation:
The reason is that the transportation cost is connected with the weight of the product whereas the profit of the profit will diminish if the value to weight is low which means that the profit generated is very low which will be paid off to transport the product. So the option C is correct.
Option A is not connected with transportation cost which turns the profitable products into unprofitable products due to its high cost.
Option B is opposite of option C hence both are incorrect.
Option D is incorrect because if the product is only produced in one region then it will be the only firm offering that product which means it can price its product geographically to adjust the transportation cost. Hence it is also not connected with the transportation cost which turns the profitable products into unprofitable products due to its high cost.
Answer:
The correct answer is b) a Ponzi scheme.
Explanation:
The Ponzi Scheme is a fraudulent investment operation that involves paying investors interest obtained from the money of new investors (and not from the generation of genuine profits). It is a pyramidal system, in which the only way to share benefits requires that participants recommend and capture (refer) to more clients with the objective that new participants produce benefits to primary participants.
This system does not invest in financial or other instruments, it only redistributes money from some investors to others, so the system works only if the number of investors in the pyramid continually grows; once people stop entering the "business", the scammer is prevented from fulfilling his promise and the pyramid collapses
Answer:
$ 25
Explanation:
As per the description, the exact amount that is being contributed from the corn bushel to the Gross Domestic Product would be $ 25. The price at which the farmer sold it to the supermarket would not be included in the GDP because it would be considered as an intermediary good because the good purchased for the resale purpose is not included in GDP as it leads to double-counting. Thus, <u>only the price of the final good i.e. $ 25 would be included in GDP as it will now be used for final consumption by the customers</u>.
