Answer:
10.51%
Explanation:
The computation of the bond equivalent yield is shown below:
Given that
Par value at redemption = $10,000
Bond price = $9,720
Number of days of maturity = 100 days
Now
Profit of holding this bond = Par value at redemption - Bond purchase price
= $10,000 - $9,720
= $280
Now yield from the 100 days
= profit from holding the bond ÷ Purchase price of the bond
= $280÷ $9,720 × 100
= 2.88
Now the yield annualized is
= 2.88 × 365 days ÷ 100 days
= 10.51%
Answer:
The correct answer is option a.
Explanation:
Net capital outflow can be defined as the net flow of the capital invested abroad by the residents of a country in a given time period, generally a year.
It is calculated by deducting the value of domestic assets purchased by foreigners from the value of foreign assets acquired by the domestic residents.
So, we can say that option a is the correct answer.
Answer:
Venture Capital
Venture capital is the type of partnership in which two or more than two firm or people invest in a project or assets that has higher tendency of returns payback.
Answer:
The law of one price establishes that the product or service price will remain the same for all the entire world.
Explanation:
The law of one price establishes that the product or service price will remain the same for all the entire world. It is necessary to take into account for this law that the price of the currency needs to be also the same and that the price of the product or service would not be affected by other factors such as additional buyers or sellers in the market.
On the other hand the purchasing power parity refers to the idea of an equilibrium of currencies in exchange rates, it means that the power for purchasing will be represented in the same way in the different countries, and it is important to mention that this theory is base in the law of one price.
The the long run equilibrium is an idea that in theory represents all the equilibrium of prices, quantities, and markets in general; on the other hand, for the short run equilibrium there are some limitations in which the market cannot be explained as properly and fully balanced.
Price of one country's currency expressed in terms of another country's currency.
Exchange rates can be either fixed or floating and are used to describe how much one type of money is worth in another country.
