1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Norma-Jean [14]
3 years ago
8

If the current interest rate is 5% and your semi-annual coupon paying bond has a duration of 5.33 years, how much will the price

of the bond change if the interest rate increases by 1 basis point?
Business
1 answer:
Serhud [2]3 years ago
7 0

Answer:

Percentage change in price = -5.33 * 0.00005

Explanation:

Percentage change in price = - modified duration * (Change in yield in BP/100)

Percentage change in price = -5.33 * ((0.01/2)/100)

Percentage change in price = -5.33 * (0.005/100)

Percentage change in price = -5.33 * 0.00005

You might be interested in
It takes one day for Peter Gibbons to complete a TPS report and attach the cover sheet. During that day, Peter spends about 15 m
ololo11 [35]

Answer:

Peter's percent value-added time is just over 3%. is the correct statement

Explanation:

3 0
3 years ago
What are the 3 important reasons to reconcile bank and credit card as a set date ​
rodikova [14]

Answer:

1) To verify transactions have the correct date assigned to them. 2) To verify that an account balance is within its credit limit. 3) To verify that all transactions have been recorded for the period.

Explanation:

6 0
2 years ago
Kaira's company recently switched to a new calendaring system provided by a vendor. Kaira and other users connect to the system,
nikitadnepr [17]

Answer:

Software as a Service (SaaS)

Explanation:

Software as a service (SaaS) allows users connected to cloud-based applications over the Internet and use them. Some common examples are email, calendars and office tools (such as Microsoft Office 365).

SaaS offers a comprehensive software solution that is acquired from a cloud service provider through a pay-per-use model. It is possible to rent the use of an application for the organization and users connect to it through the Internet, usually with a web browser. All underlying infrastructure, middleware, software and application data are located in the provider's data center. The service provider manages the hardware and software and, with the appropriate service contract, will also guarantee the availability and security of the application and data. SaaS allows an organization to get started and can run applications with a minimal initial cost.

3 0
3 years ago
Incident managers begin planning for the demobilization process when:
vampirchik [111]
Incident managers begin planning for the demobilization process when B. INCIDENT ACTIVITIES SHIFT FROM RESPONSE TO RECOVERY.

Demobilization occurs when the incident objectives have been met. 

<span>Demobilization is the orderly, safe, and efficient return of all resources used in the incident to its original status and location. It must be done as soon as possible to facilitate accountability of the resources.</span>

5 0
3 years ago
whole number. a. Before the tax is imposed, the equilibrium price is $ 1.5 per bottle and the equilibrium quantity is 4 billion
Sonbull [250]

Answer: hello your question is poorly structured attached below is the missing graph and missing part of the question

Assume the government imposes a $1.00 excise tax on the sale of every 2 liter bottle of soda. The tax is to be paid by the producers of soda. The figure below shows the annual market for 2 liter bottles of soda before and after the tax is imposed.

answer :

a) $2 , 4 billion

b) $2.5

c) $1.5

d) 3 billion

e) $3 billion

Explanation:

a) equilibrium price = $2 per bottle

   equilibrium quantity = 4 billion bottles

<u>b) After imposition of excise tax </u>

consumers will pay = $2.5

<u>c) The amount producers keep after the imposition of taxes </u>

= $2.5 - tax

= 2.5 - 1 = $1.5

<u>d) New equilibrium quantity ( after tax is imposed ) </u>

= 3 billion bottles ( from graph attached ) i.e. intersection of S2 and D

e)<u> Amount of tax revenue collected by the government from the imposition of tax </u>

= quantity  of bottles sold  * $1

= 3 billion * $1 =  $3 billion

   

6 0
3 years ago
Other questions:
  • Your opening a savings account that earns compound interest which compounding frequency will earn me the most money? A.compoundi
    12·1 answer
  • When Coca Cola introduced Coke Zero,this was an example of a _____ strategy.
    13·1 answer
  • If the equilibrium interest rate in the money market is 5%, then at an interest rate of 2% sellers of interest-bearing financial
    9·1 answer
  • Melissa purchases a dvd player at a store that sells refurbished merchandise. the store has a big sign stating "caveat emptor" p
    12·1 answer
  • On May 1, 2021, Concord Corporation declared and issued a 10% common stock dividend. Prior to this dividend, Concord had 207000
    5·1 answer
  • Assume that TarMart purchased equipment at the beginning of fiscal year 2016 for $480,000 cash. The equipment had an estimated u
    6·1 answer
  • Bramble Corp. incurs the following costs to produce 9900 units of a subcomponent: Direct materials$8316 Direct labor11187 Variab
    10·1 answer
  • In what way are mutual funds similar to common stocks
    11·1 answer
  • Which of the following items is an example of an overhead expense?: (A)Rent on a factory. (B)Electricity, most of which is used
    5·1 answer
  • _____ involve an initial public offering, private sale of stock, succession by a family member or a nonfamily member, merger wit
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!