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3 years ago

Why are products made in Third World Countries cheaper than goods made in the US?

Business

1 answer:

Lostsunrise [7]3 years ago

6 0

Answer:

Demand in developing countries is lower and so the price is set lower to match the capacity to pay (such as pharmaceuticals). Locally produced goods, especially the outputs of primary production are generally inexpensive and often will be cheaper in developing countries e.g. bananas.

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Suppose a -year, bond with annual coupons has a price of and a yield to maturity of . What is the bond's coupon rate? The cou

kari74 [83]

Complete Question:

Suppose a five-year, $1000 bond with annual coupons has a price of $903.35 and a yield to maturity of 5.6%. What is the bond's coupon rate?

Answer:

3.396% Approximately

Explanation:

We can calculate the coupon interest by using the formula given in the attachment.

Now, here we have:

F is the Face value which is $1000

P is the price of the bond which in this case is $903.35

C is the Coupon interest

n are the number of years which is 5 years in this case

Yield to Maturity is 5.6%

By putting the values in the given equation we have:

5.6% = [C + ($1000 - $903.35)/5 years] / [($1000 + $903.35)/2]

5.6% = [C + 19.33] / [951.675]

0.056 * 951.675 = C + 19.33

53.2938 = C + 19.33

C = 53.2938 - 19.33

C = $33.96 approximate estimate.

Now we will find the coupon rate by using the following formula:

Coupon Rate = Coupon Interest / Face Value

By putting values, we have:

Coupon Rate = $33.96 / $1000 = 3.396% Approximately.

Accurate Coupon interest can be calculated using excel. The above answer gives minor difference in decimal points.

6 0

3 years ago

Complete the following sentence.

3241004551 [841]

Uhm financial crisis, poverty, homelessness, debt, etc...

4 0

3 years ago

On April 1, Fisher Corporation borrowed $400,000 from its bank by signing a 9%, 5-year note payable. The note calls for 60 month

Andre45 [30]

Answer:

a) 3,000

b) 396,850

c) 2,976.38

d) 393,873.62‬

Explanation:

a) principal x rate x time = interest

400,000 x 0.09 x 1/12 = 3,000

b) 6,150 - 3,000 = 3,150 principal payment

400,000 - 3,150 = 396,850

c) principal (carrying value) x rate x time = interest

396,850 x 0.09 x 1/12 = 2,976.38

d) 396,850 - 2,976.38 = 393,873.62‬

3 0

4 years ago

Whiplash Ltd. makes a single product and only one type of direct material is used to make this product. Whiplash uses a standard

RSB [31]

Answer:

$2 per gram.

Explanation:

We are given the following parameters in the question above; the production of output in July: Actual number of units of output produced = 7,800 units, the Materials quantity variance = $2,609, the favorable (F) Materials spending variance = $3,744, the Favorable (F) Standard amount of materials used per unit of output = 5.0 grams per unit , the Actual total materials purchased/used = 37,830 grams and the Actual price per gram purchased/used = $2.20 per gram.

(37,830 × standard price) - (37,830 × 2.2 ) =$3,744.

Thus, (37,830 × standard price) = 79482.

Approximately, standard price = $2 per gram

4 0

3 years ago

Read 2 more answers

In command economy, who makes production decisions?

earnstyle [38]

I think the most appropriate answer would be C.

I hope it helped you!

8 0

3 years ago