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9966 [12]
3 years ago
14

When computing yield to maturity, the implicit reinvestment assumption is that the interest payments are reinvested at the:

Business
1 answer:
Vlad1618 [11]3 years ago
7 0

Answer:

The remaining part of the question is:

The interest payments are reinvested at the:

a.Coupon rate.

b.Current yield.

c.Yield to maturity at the time of the investment.

d.Prevailing yield to maturity at the time interest payments are received.

e.The average yield to maturity throughout the investment period

<u>Correct Answer:</u>

b.<u>Current yield. </u>

<u></u>

Explanation:

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Answer:

1. The GDP deflator for this year is calculated by dividing the <u>value of all goods and services produced in the economy this year</u> using <u>this year's prices </u>by the <u>value of all goods and services produced in the economy this year </u>using <u>the base year's prices</u> and multiplying by 100.

This is why the formula for the GDP deflator is = GDP by year n prices/ GDP by base year prices.

2. However, the CPI reflects only the prices of all goods and services<u> bought by consumers. </u>

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The Chinese-made car is not made in the US and is included in the basket of goods consumers buy which is used to calculate calculate CPI.

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This is not part of the goods in the basket and it is assumed to be made domestically so it is part of the GDP Deflator.

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3 years ago
job ________ involves division of an organization’s work among its employees and application of motivational theories to jobs to
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2 years ago
The DHSMV _________________________ is an enforcement sector that patrols state highways and ensures the safety of drivers and c
Nadusha1986 [10]
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5 0
3 years ago
One of the following is an example of managing earnings down (reducing earnings)?
malfutka [58]

Answer:

The answer is (C) Revising the estimated life of equipment from 10 years to 8 years.

Explanation:

Revising estimated life of equipment from 10 years to 8 years has the effect of increasing annual charge of depreciation.

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Which of the following institutional investors most likely must spend a target percentage of the portfolio annually?
konstantin123 [22]

Answer: Endowments

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The institutional investors that most likely must spend a target percentage of the portfolio annually is the endowments.

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2 years ago
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