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Svetllana [295]
3 years ago
12

Which of the following is not true?

Business
1 answer:
34kurt3 years ago
3 0

Answer: C. The market for loanable funds is comprised of those who want to save (the suppliers of funds) and those who want to borrow (the demanders of funds) Where the supply curve for loanable funds and the demand curve for loanable funds intersect determines the size of the budget deficit.

This statement is not true because where the supply curve and demand curve meet is the equilibrium interest rate, and not the size of budget deficit.

Explanation:

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7 0
3 years ago
A municipal bond has yield to maturity of 4.83 percent. An investor with a marginal tax rate of 35 percent is indifferent betwee
mezya [45]

Answer: 7.43%

Explanation:

The yield to maturity simply refers to the total return that is expected on a bond as long as the bond is held till it matures.

In this case, since the investor is indifferent between this municipal bond and an otherwise identical taxable corporate bond, the yield to maturity of the corporate bond will be:

4.83% = Corporate bond YTM × ( 1- 35%)

4.83% = Corporate bond YTM × 65%

Corporate bond YTM = 4.83% / 65%

Corporate bond YTM = 0.0483/0.65

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3 0
3 years ago
"Shareholder wealth" in a firm is represented by:
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6 0
3 years ago
he 2017 balance sheet of Kerber's Tennis Shop, Inc., showed long-term debt of $6 million, and the 2018 balance sheet showed long
Cerrena [4.2K]

Answer:

The firm’s 2018 operating cash flow, or OCF is  $1,470,000

Explanation:

For computing the operating cash flow, we have to use the formula of cash flow from assets which is shown below

= Operating cash flow - net capital spending - changes in working capital

where,

cash flow from assets = cash flow to creditors + cash flow to shareholders

                                     = $5,000 + $60,000

                                     = $65,000

And, the other item would remain same

Now put these values to the above formula  

So, the value would equal to

$65,000 = Operating cash flow - $1,450,000 - (-$85,000)

$65,000 = Operating cash flow - $1,450,000 + $85,000

So, the operating cash flow = $1,470,000

5 0
3 years ago
Assume that Abby, Ben, Clara, Joe, and Matt are the only citizens in a community. A proposed public good has a total cost of $1,
serg [7]

I THINK ITS MIDDLE FINGERS AT THESE AHOLE MODERATORS

6 0
3 years ago
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