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earnstyle [38]
4 years ago
14

You expect interest rates to decline in the near future even though the bond market is not indicating any sign of this change. W

hich one of the following bonds should you purchase now to maximize your gains if the rate decline does occur?A. short-term; low coupon?B. short-term; high coupon?C. long-term; zero coupon?D. long-term; low coupon?E. long-term; high coupon
Business
1 answer:
Dmitriy789 [7]4 years ago
4 0

Answer:

C. long-term; zero coupon bond.

Explanation:

If the investor is worried about declining interest rates on his present Investment, the best option to get is long term zero coupon bond.

They are long term in nature. Zero coupon bonds pay the full face value on maturity. It does not have periodic payments to the beneficiary. At maturity the investor will receive the par value.

Zero coupon bonds do not pay interest so are not subject to interest fluctuations. It operates on a discount and at maturity the full value is guaranteed.

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Is rent paid recorded in Cash flow statement?​
Galina-37 [17]

Answer:

A business that basically leases property that should included in the actual rental payments each month including the "Rent Expense", this is a line of the cash that has a flow statement. These two terms rent or lease are payments of a significant part of the cash called an outlay of the business, so the expense is typically or generally illustrated on the line of it's own. hope this helps :)

7 0
3 years ago
How will you explain a yellow colour to someone who has never seen before??​
Nina [5.8K]

Answer:

it is a bright color close to orang but lighter with a tint of white added to orange to make a bright floresent color

Explanation:

6 0
3 years ago
Read 2 more answers
Which of the following organizations does notfollow the AICPA's Not-for-Profit Guide?
eimsori [14]

Answer: City Libraries

Explanation;

The American Institute of CPAs Not-for-Profit Guide is meant to help Not-for-Profit organizations prepare their financial statements in such a way that they can incorporate the unique aspects of their organization.

Not-for-Profit organizations are private in nature so this guide is mostly for private organizations. City Libraries on the other hand are Government owned and as such will use Government type accounting methods not the AICPA's Not-for-Profit Guide.

7 0
3 years ago
The following information is available for Felix Company: Net income $300 Decrease in plant and equip. $40 Depreciation expense
zmey [24]

Answer:

$240

Explanation:

The computation of cash flow from operating activities of Felix company is seen below;

= Net income - Decrease in plant and machinery + decrease in expense - increase in deferred assets + gain on sale of assets

= $300 - $40 + $20 - $5 + $35

= $240

Therefore, cash flow from operating income of Felix company is $240

7 0
3 years ago
Imagine that odyssey national is a brand new bank, and that its required reserve ratio is 10 percent. if it accepts a $1,000 dep
Snezhnost [94]
Hi there
Excess reserve balance is
1,000−1,000×0.1=900

Hope it helps
8 0
3 years ago
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