1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Viktor [21]
3 years ago
10

Drag each tile to the correct box.

Business
1 answer:
defon3 years ago
7 0

<u>Answer:</u>

  1. <em><u>Reinvestment risk</u></em><em> </em><em>⟶ George purchased a US Treasury bond that matures in five years. He plans to purchase a newly issued Treasury bond and hopes it will be just as valuable.</em>
  2. <em><u>Inflationary risk</u></em><em> ⟶ Claretta purchased a Treasury bond that pays 1% interest when the price of goods and services are rising by 2%.</em>
  3. <em><u>Credit risk</u></em><em> ⟶ Corbin purchased a corporate bond with a poor rating and a risk of default.</em>
  4. <em><u>Market risk</u></em><em> </em><em>⟶ Beth bought a company’s stock in hopes of a quick profit, but the stock price has been very unpredictable.</em>

<u />

<u>Explanation:</u>

  1. Let's review the first scenario. We know that George just bought a bond that will mature in five years. If the bond turns out to be profitable, he intends to buy a new US Treasury bond once his current one matures. This accurately describes a reinvestment risk because he is risking buying a second bond based on the outcome of the first one. Once the bond matures, the interest rates will have fallen, which will make it extremely less likely that newer bonds available to reinvest in will offer the same rewards.
  2. Now take a look at the scenario. This one is relatively obvious. Since it states that the prices of goods and services are rising, Claretta's interest won't seem like much after a few years. This makes it an inflationary risk because the inflation rates in her country are rising and her interest returned will buy her less that it would have in the past.
  3. Moving onto the third scenario, we can see that Corbin purchased a bond from a corporation that has incredibly low ratings and usually fails to repay their loans. This indicates a credit risk. A credit risk occurs when  an investor chooses to invest in a bond issuer that has a history of poor credit reliability. This is clearly the case for this issue and therefore, Corbin has made a credit risk.
  4. The final scenario indicates a market risk. A market risk is any factor that affects the overall performance of the financial markets. Since the stock prices in Beth's economy have been unpredictable, clearly something has negatively impacted the market so the stock prices are frequently fluctuating.
You might be interested in
_____ skills refer to the ability to grasp a big-picture view of the overall organization and the relationship between its vario
choli [55]

Answer:

Conceptual skills

Explanation:

Conceptual skills are the skills or the abilities which allow an individual or a person to understand the complex problems or situations in order to develop the successful as well as creative solutions.

So, Conceptual skills refer to the ability for understanding the view of the overall firm and the relationship among its various parts. And also helps in understanding how the company fits into the wider competitive environment.

8 0
4 years ago
The typical risks of a cost leadership strategy include: a. the inability to balance high differentiation and low price. b. exce
vichka [17]

Answer: The correct answer is "b. production and distribution processes becoming obsolete.".

Explanation: The typical risks of a cost leadership strategy include production and distribution processes becoming obsolete because to maintain cost leadership, the production and distribution processes must always be in constant observation to modify if necessary in order to maintain competitiveness and not remain stuck attached to a production and distribution model that as a consequence of innovations in the competition may become obsolete.

8 0
3 years ago
Read 2 more answers
Cost sharlng and Medic beneficlarles:The states possess an option of charging premium for establishing spending out-of-pocket res
Dima020 [189]

Answer:

Medicaid can provide cost-sharing assistance. Depending on your income, you may qualify for the Qualified Medicare Beneficiary (QMB). If you are enrolled in QMB, you do not pay Medicare cost-sharing, which includes deductibles, coinsurances, and copays.

Explanation:

The Centers for Medicare & Medicaid Services (CMS) are responsible for implementing laws and various forms of guidance, sub-regulatory guidance operational updates and technical clarifications passed by Congress related to Medicaid and the Basic Health Program to explain what states and others need to do to comply.

There are 4 “metal” categories of health insurance plans: Bronze, Silver, Gold, and Platinum. These categories show how you and your plan share costs. Plan categories are independent from quality of care.   The total costs for health care include a monthly premium bill to the insurance company and out-of-pocket costs, which have a big impact on your total spending on health care and sometimes more than the premium itself as the out-of-pocket maximum is the amount you have to spend for covered services in a year, and only after you reach this amount, the insurance company pays 100% for covered services; and the deductible, which is the amount you have to spend for covered health services before your insurance company pays anything (except free preventive services). The Plan and network types allow you to use or not doctors or health care facilities. Plans & prices are issued according to the income and household information and they determine the copayments and coinsurance, which are payments you make each time you get a medical service after reaching your deductible

There are plans that have very low monthly premiums, but have high deductibles and pay less of your costs when you need care.

If you qualify for "cost-sharing reductions" (CSRs), Silver plans may offer good value because of a lower deductible. The income determines where your estimate falls in the range for cost-sharing reductions.

A Gold plan or Platinum plan generally have higher monthly premiums but pay more of your costs when you need many doctor visits or regular prescribed medication.

7 0
3 years ago
Which is true for a limited liability partnership (llp)?
lesya [120]
All partners are limited from personal liability in certain situations. 
3 0
3 years ago
Read 2 more answers
Ted, a used car dealer, entered into a written agreement to sell a car to Debra, a sixteen year old high school junior. The agre
Zepler [3.9K]

Answer:

d. Debra will prevail, as Ted is bound to the contract

Explanation:

Options are <em>"a. Ted will prevail because Debra was a minor when the contract was formed b. the contract is illegal c. the contract is void d. Debra will prevail, as Ted is bound to the contract"</em>

The general rule is that a minor can enter into any contract an adult can, provided that the contract is not one prohibited by law for minors such as the sale of alcoholic beverages or tobacco. Debra is a minor (below age of 18) and she can honor the contract or make it Void. Since she did not make it Void the contract, Ted is bound to the contract as per the Contract Act. So, Debra can recover because Ted was bound to the agreement.  Hence, the correct answer is <u>Debra will prevail, as Ted is bound to the contract</u>.

4 0
3 years ago
Other questions:
  • The Smith family adopted a child. The adoption procedure took about three months, and the family incurred various expenses. Will
    15·2 answers
  • If the MPC is .8 and there is a $10 million increase in investment spending, then the aggregate demand curve will shift up and t
    8·1 answer
  • Samantha’s paper fits her audience and thesis but doesn’t match the purpose. which stage of the fact strategy applies
    11·1 answer
  • About 13 to 16 guests out of every 100 are purposefully out to scam us and get something for free.
    9·2 answers
  • The owner of the West End Kwick Fill Gas Station wishes to determine the proportion of customers who pay at the pump using a cre
    12·1 answer
  • It seems hard to justify spending $4.00 for a compact fluorescent lightbulb when an ordinary incandescent lightbulb costs 50 ¢.
    14·2 answers
  • Last season at City Opera House, far more people attended opera X than opera Y. However, opera Y generated far greater net profi
    10·1 answer
  • Which of the following is an indicator of how much output the average person would get if all output were divided up evenly amon
    14·1 answer
  • g Suppose the Federal Reserve begins to increase the supply of money at an increasing rate. What impact would that have on GDP,
    8·1 answer
  • The cost of advertising is part of the firm's _______ costs and if advertising enables the firm to sell a greater output, its av
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!