Answer:
no option is correct, since the market value of the bond is $866.32
if the bond matured in 2 years instead of 3, then option B. $911.37 would be correct = $1,000 / [(1.046)x(1.052)] = $911.366 = $911.37
Explanation:
in order to determine the market value of the bond we need to determine the present value of its face value:
market value = PV = future value / [(1 + i₁) x (1 + i₂) x (1 + i₃)]
future value = $1,000
[(1 + i₁) x (1 + i₂) x (1 + i₃)] = [(1 + 4.6%) x (1 + 4.9%) x (1 + 5.2%)] = 1.154311
PV = $1,000 / 1.154311 = $866.32
Answer:
C) allows people to postpone purchases without fear that their money will decline in value.
Explanation:
Stability of money means the ability of money to retain its value overtime.
The stability of money enhances the ability of money to store value and serve as an effective medium of exchange.
I hope my answer helps you
Cannot be determined from the information given.
<span>The need for control. Control freaks are often perfectionists defending themselves against their own inner vulnerabilities in the belief that if they are not in total control they risk exposing themselves once more to childhood angst.</span>