Answer: True
Explanation:
Marginal externality is constant. However, it may not be calculated with accuracy. Hence, there's need for estimates at reasonable levels.
Hence, the policymaker's estimate of $35/ unit is reasonable and within the acceptable range of between $10 and $50/unit. Also, the tax charge raises social welfare compared to no tax at all.
B) Family child care <span>refers to care of a child in someone else's home. This is like a day-care that exists in someone's place of residence. Usually there are a number of children enrolled at once, and the care-taker makes the home more suitable to the purpose, ensuring child safety and that there are plenty of activities to stimulate the children.
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Answer:
amortization on discount on BP 400
Explanation:
When there is a difference between the face value and the issuance proceeds from the bond a premium or discount is created.
When the proceeds are above, there will be a premium and the interest expense will be lower thant the actual cash outlay on the bond.
When theface value is above the proceeds, there is a discount.and expenses are higher than cash payment to bondholders.
In this case the expense is higher so there is a discount.
Answer:
The dirty price of a bond is referred to:
- The actual price of the bond.
- Also the cash flows in futureand its values.
Explanation:
Dirty price of bond: The dirty price of bond is referred to the actual and present value of the bond.
Also is referred to the present value of the bonds or the future cash flows.
In financial terms a dirty price of bond is said to be the bond's price which is including all the interests which has been added up since the most recent payment of the coupon.
Price quote of a bond: The price quote of a bond is referred to bond's clean price as it does not affects or reflects on all the interests which have been calculated for the bond since of its most recent coupon payment.
Bonds gets always quotes in terms of clean price but the financial investos always pay them in terms of Dirty price until the bond has to be purchased on the given date of coupon's payment.
This shorter payback period is positive and beneficial to the consumer, as it allows for harmony with amortization expenses.
We can arrive at this answer because:
- A short payback period is beneficial because of its relationship to amortization, as long-term debt allows this amortization to take place.
- These amortization expenses allow the cost of long-term assets to be represented in the payment.
- However, when the short-term payback period allows for amortization, causing the asset's value to be reduced by the amount that will be paid by the consumer.
In this case, we can state that in cases like the one shown in the question above, the short payback period is very beneficial and interesting to the consumer, as it can promote economic benefits.
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