<span>This is the principal-agent problem. This occurs when an individual is able to make decisions or choices that impact others at the company or in fact the company as a whole.</span>
Answer:
The three question of economics are: what to produce, how to produce and for whom to produce? All of this implicate the scarcity of resources, which is what sums up all three questions. How to efficiently use what we have in order to make the biggest output possible? Inputs are limited, and businesses should use resources wisely, in a planned manner.
Answer:
Bond price= 1,124,622
Explanation:
Giving the following information:
Face value= $1,000,000
Number of periods= 10*2= 20
Cupon rate= 0.12/2= 0.06
YTM= 0.1/2= 0.05
<u>To calculate the bond price, we need to use the following formula:</u>
Bond Price= cupon*{[1 - (1+i)^-n] / i} + [face value/(1+i)^n]
Bond Price= 60,000*{[1 - (1.05^-20)] / 0.05} + [1,000,000 / 1.05^20]
Bond Price= 747,732.62 + 376,889.48
Bond price= 1,124,622
<span>Mr. King performs the service of painting his own house instead of paying someone else to do it. This activity is excluded in GDP.
</span><span>GDP stands for Gross Domestic Product.
</span>It measures the market value of all final goods and services produced in a country during a given time period . In other words GDP <span>measures an economy's performance. If Mr. King pays someone to paint his house, then it will be included in the GDP.</span>
The right answer for the question that is being asked and shown above is that: "liabilities increased and assets remained constant." If your liabilities increased and assets remained <span>constant</span>, your net worth on the balance sheet would have increased from one period to the next.