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Veronika [31]
3 years ago
15

Which of the following statements is correct? Multiple Choice Interest rates and bond prices vary directly. Interest rates and b

ond prices vary inversely. Interest rates and bond prices are unrelated. Interest rates and bond prices vary directly during inflations and inversely during recessions.
Business
1 answer:
nevsk [136]3 years ago
8 0

Answer:

Interest rates and bond prices vary inversely

Explanation:

The relationship between interest rate and bond prices can be seen in the bond pricing formula. Given a series of coupon payments (C) paid over the lifetime (ranging from "1" through "i" to "n") of a bond, and given that the bond will repay the principal investment (F) at maturity, the price of the bond is

P = ∑\frac{C}{(1+r)^{i}}  + \frac{F}{(1+r^{n})}

where "r" is the interest rate.

As seen in the formula, the price of the bond (P) is inversely related to the interest rate (r).

Option A is incorrect because interest rates and bond prices vary indirectly, not directly. Option C is incorrect because interest rates and bond prices are related. Option D is incorrect because vary inversely irrespective of inflation and recession.

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Employees at Fratelli Inc. are encouraged to participate in decision making. Organizational control is based on group norms and
BARSIC [14]

Answer:

Letter a is correct. <u><em>Descentralized control</em></u>.

Explanation:

A company that has decentralized control has a more flexible hierarchy, where all employees are motivated to contribute ideas and opinions and participate in the decision making process. Decentralized management is common in large companies, such as Google and Dell, which ensures greater autonomy and freedom of action for employees.

The biggest benefits seen by decentralization are the flexibility to adapt to market changes, the speed of decision making that prevents opportunity costs, and the sense of motivation and value creation between employee and organization.

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3 years ago
What is another term for liability?<br> A. asset<br> B. notes<br> C. debt<br> D. accounts
Fiesta28 [93]

Answer:

Another term for liability is debt, because both of these terms are accountable for money charges and assist needed :3

Explanation:

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6 0
3 years ago
if there is a budget deficit during the biennium, money can be used from the economic stabilization fund
Lunna [17]

If there is a budget deficit during the biennium, money can be used from the economic stabilization fund with approval of 3/5th of the members of both the Texas house and the Texas Sentae.

<h3>What is the meaning of the Senate?</h3>

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A deliberative assembly known as a senate is frequently the upper house or chamber of such a bicameral legislature.

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Learn more about The Senate here:

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5 0
1 year ago
Pelzer Printing Inc. has bonds outstanding with 10 years left to maturity. The bonds have a 9% annual coupon rate and were issue
miv72 [106K]

Answer:

The answer is 9.85%

Explanation:

The number of periods N = 9years(10 years minus 1 year ago)

Yield to Maturity (I/Y) = ?

Present value of the bond (PV) = $950.70

Future value of the bond(FV) = $1,000

Annual payment (PMT) = $90 (9% x $1,000)

Using a financial calculator to solve the problem ( BA II plus Texas instruments):

Yield to Maturity (I/Y) = 9.85%

8 0
3 years ago
Zeta Corporation is a manufacturer of sports caps, which require soft fabric. The standards for each cap allow 2.00 yards of sof
ad-work [718]

Answer:

Direct material price variance= $2,500 favorable

Explanation:

Giving the following information:

The standards for each cap allow 2.00 yards of soft for $2.00 per yard. During January, the company purchased 25,000 yards of soft fabric at $2.10 per yard, to produce 12,000 caps.

<u>To calculate the direct material price variance, we need to use the following formula:</u>

Direct material price variance= (standard price - actual price)*actual quantity

Direct material price variance= (2 - 2.1)*25,000

Direct material price variance= $2,500 favorable

7 0
2 years ago
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