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2 years ago

In the moeny market, an excess supply of money is equivelant to an excess of bonds

Business

2 answers:

luda_lava [24]2 years ago

7 0

Answer:

If there is an excess of money supply in the market, there will be an excess of demand for bonds.

This is because a higher money supply means lower interest rates, which make investment cheaper, although less rewarding (the yields are lower).

Fudgin [204]2 years ago

3 0

Answer:

The statement is: False.

Explanation:

When there is excess in the supply of money, people's buying power increases. Thus, they will have more money to buy assets such as bonds implying there will be more demand for bonds but less supply as people start purchasing them. As there is less supply of bonds their price is likely to rise which is interpreted in lower interest rates.

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Garland Company received proceeds of $235000 on 10-year, 6% bonds issued on January 1, 2018. The bonds had a face value of $2500

Lerok [7]

Answer:

$238000

Explanation:

The computation of the carrying value of the bond is shown below:

Given that

Face Value of Bonds = $250,000

Proceeds from issuance of bonds = $235,000

Before that we need to compute the following things

Now

Discount on Bonds Payable = Face Value of Bonds - Proceeds from issuance of bonds

= $250,000 - $235,000

= $15,000

Life of Bonds = 10 years

Now

Discount on Bonds amortized annually = Discount on Bonds Payable ÷ Life of Bonds

= $15,000 ÷ 10

= $1,500

Now

Discount amortized is

= Discount on Bonds amortized annually × expired life

= $1,500 × 2

= $3,000

Finally

Carrying Value of Bonds = Issue Price + Discount amortized

= $235,000 + $3.000

= $238,000

5 0

3 years ago

Correl Corporation has provided the following data concerning an investment project that it is considering: Initial investment $

Marianna [84]

Answer:

A. $38,500

Explanation:

The net present value is the present value of after tax cash flows from an investment less the amount invested.

Npv can be calculated using a financial calculator.

Cash flow in year 0 = $-190,000

Cash flow each year from 1 to 3 = $75,000

Cash flow in year 4 = $75,000 + $25,000 = $100,000

I = 15%

NPV = $38,417.21

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

6 0

3 years ago

The manager of the customer service division of a major consumer electric company is interested in determining whether the custo

Elanso [62]

Answer: Stratified random sampling

Explanation:

Given : The manager of the customer service division of a major consumer electric company is interested in determining whether the customers who have purchased a Blu-ray player made by the company over the past 12 months are satisfied with their products. If there are 4 different brands of Blu-ray players made by the company.

The best sampling strategy which we can use is stratified random sampling because it is not much costly and also it induces the efficiency . We can me different strata according to the 4 brands , then we can randomly select participants for the sample.

Stratified random sampling is a method of probability sampling in which a researcher divides the entire population into multiple homogeneous groups known as strata and then he randomly select an sample members from each strata for research .

4 0

2 years ago

While placing his order, a customer tells the waiter to avoid bell peppers of any kind or color in the food since he is allergic

boyakko [2]

An allergic reaction should not be treated lightly because this can actually result in death of the victim. So in this casem this could actually lead to serious illness or death of the customer. Which adds a very huge liability for the restaurant or organization.

4 0

2 years ago

Josh separated people who wanted a high quality lawn mower from people who wanted a low priced lawn mower, then saw if different

Vsevolod [243]

Answer:

The correct answer is letter "D": behavioral.

Explanation:

In market segmentation, classifying customers by behavior implies analyzing their consumption patterns to find out what type of product they are likely to buy under what conditions. This research allows companies to know what each type of client is looking for so the corporation can dedicate a tailored item for each market sector. By doing so, the firm increases its opportunities to generate more sales.

3 0

2 years ago