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myrzilka [38]
3 years ago
8

Selling the bonds at a premium has the effect of

Business
1 answer:
ludmilkaskok [199]3 years ago
5 0

Answer: Selling the bonds at a premium has the effect of causing the cost of borrowing money to be lower than the bond when interest is paid.

Explanation: When a bond is traded above the par value, it is being sold at premium. Since the bond is sold above it, the interest rate is higher but the cost to borrow money is lower. Purchasing a bond a premium is expensive because it is above market value but selling a bond at premium contributes to more money made off of the sale.

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Detailed information about the financial statement elements is maintained in records commonly called?
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Detailed information about the financial statement elements is maintained in records commonly called "Accounts'

An account in accounting is a general ledger entry that is used to categorize and record transactions. For example, businesses will have a Cash account where they may record each transaction that raises or reduces the amount of cash they have on hand.

Three different accounts exist.

  1. Real account: It links assets and obligations; it excludes accounts for specific individuals. They continue every year.
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Amendments involving changes to irb approved protocols do not need prior irb approval if:
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Suppose disposable income increases by $ 2,000 . As a result, consumption increases by $ 1,500 . Answer the questions based on t
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Answer:

Increase in savings resulting directly from the given change in income

= increase in income - increase in consumption  = $2000-$150 = $500

Marginal propensity to save = increase in savings/increase in income = 500/2000 = 0.25

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