Answer:
Item Assets Liabilities Stockholders’ Paid-in Retained Net
Equity Capital Earnings Income
1. Increase No effect Increase No effect Increase Increase
2. No effect Increase Decrease No effect Decrease No effect
3. No effect No effect No effect No effect No effect No effect
4. No effect No effect No effect No effect No effect No effect
5. Decrease No effect Decrease No effect Decrease Decrease
6. Decrease Decrease No effect No effect No effect No effect
7. No effect Increase Decrease No effect Decrease Decrease
8. No effect No effect No effect Decrease Decrease No effect
9. No effect No effect No effect No effect No effect No effect
Answer:
New Bond Price = $875.6574005 rounded off to $875.66
Explanation:
To calculate the price of the bond today, we will use the formula for the price of the bond. We assume that the interest rate provided is stated in annual terms. As the bond is an annual bond, the coupon payment, number of periods and annual YTM or interest rate will be,
<u>For 3 year bond:</u>
Coupon Payment (C) = 1000 * 0.05 = $50
Total periods (n) = 3
r or YTM = 0.10 or 10%
The formula to calculate the price of the bonds today is attached.
Bond Price = 50 * [( 1 - (1+0.1)^-3) / 0.1] + 1000 / (1+0.10)^3
Bond Price = $875.6574005 rounded off to $875.66
B: Complicated I think that it this one I may be wrong -if I am sorry
Answer: Distinctive competence
Explanation: There are certain qualities which usually sets a person, firm or organization apart from the rest of it's competitors such that consumers finds it very difficult to trade it's services for another while it's competitors also find it difficult to match the services it offers. These qualities usually sets the tone for success, increases customer loyalty and gives such firm an edge abive it's rivals. These qualities are usually called distinctive competence, services which are only offered by one or very few firms. In the scenario above, the distinctive competence exhibited by Gadgetbug's is the rare nature of efficient aftersale customer service it provides to it customers which other rivals find very difficult to match.
Answer:
The correct answer is: D. The supply increases more than the demand increases.
Explanation:
The law of supply and demand is the basic principle on which a market economy is based. This principle reflects the relationship between the demand for a product and the quantity offered of that product taking into account the price at which Sell the product.
Thus, depending on the price in the market of a good, the bidders are willing to manufacture a certain number of that good. Like the plaintiffs they are willing to buy a certain number of that good, depending on the price. The point where there is a balance because the plaintiffs are willing to buy the same units that the bidders want to manufacture, for the same price, is called the market equilibrium or breakeven point.
According to this theory, the law of demand states that, keeping everything else constant, the quantity demanded of a good decreases when the price of that good increases. On the other hand, the law of supply indicates that, keeping everything else constant, the quantity offered of a good increases when its price does.