Answer: The corrects answers are: "a. If both firms are localized in position 1/2 (i.e., center of the line), neither firm has incentives to deviate and move to a different position.", "c. If Firm localize at the same point along the line, they will each sell to 50% of the consumers." and "d. If Firm 1 is located at position 1/2 (i.e., center of the line) and firm 2 is located somewhere else, then both firms have incentives to deviate and change their position along the line.".
Explanation: According to the Hotelling model of the competition between two firms:
a. If both firms are localized in position 1/2 (i.e., center of the line), neither firm has incentives to deviate and move to a different position. - If this were the case, it would be indifferent for customers to go to either.
c. If Firm localize at the same point along the line, they will each sell to 50% of the consumers. - This happens because each consumer will go to the nearest one.
d. If Firm 1 is located at position 1/2 (i.e., center of the line) and firm 2 is located somewhere else, then both firms have incentives to deviate and change their position along the line. - This happens because the strategy chosen is not suitable for either company.
Answer:
(a) The arbitrage strategy is to buy zeros with face values of $140 and $1,140 and respective maturities of one and two years, and simultaneously sell the coupon bond.
(b) The profit on the activity equals $0.72 on each bond.
Explanation:
The price of the coupon bond = 140 × PV(7.9%, 2) + 1000 × PV(7.9%, 2)
= 140 × (1-(1/1.079)^2)/0.079 + 1,000/1.079^2
= $1,108.93
If the coupons were withdrawn and sold as zeros individually, then the coupon payments could be sold separately on the basis of the zero maturity yield for maturities of one and two years.
[140/1.07] + [1,140/1.08^2] = $1,108.21.
The arbitrage strategy is to buy zeros with face values of $140 and $1,140 and respective maturities of one and two years, and simultaneously sell the coupon bond.
The profit on the activity equals $0.72 on each bond.
This is a true statement that Beneficiary-facing content that includes generic or plan-specific product or benefit information must be submitted for review and cms submission, as well as acceptance or approval, prior to distribution.
<h3>
What is distribution?</h3>
The term "distribution" refers to spreading a product out over the market so that many people may purchase it. These actions are involved in distribution: 1. A reliable transportation system to deliver the commodities to various locations. Distribution is the process of distributing things to clients. One example of distribution is the transportation of rice from Asia to the US.
Therefore,
Beneficiary-facing content that includes generic or plan-specific product or benefit information must be submitted for review and cms submission, as well as acceptance or approval, prior to distribution. This is a true statement.
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A provision model known as Infrastructure as a Service (IAAS) allows an organization to outsource the hardware, servers, storage, and networking components necessary to support operations.
What exactly does "IaaS infrastructure as a service" imply?
Pay-as-you-go infrastructure as a service (IaaS) is a type of cloud computing service that provides essential computing, storage, and networking resources on demand.IaaS is one of the four kinds of cloud administrations, alongside programming as a help (SaaS), stage as a help (PaaS), and serverless.
What exactly is infrastructure?
The business model known as Infrastructure as a Service (IaaS) offers pay-as-you-go access to IT resources like compute, storage, and network resources via the internet.You can request and configure the resources you need to run your IT systems and applications with IaaS.
Learn more about IAAS here:
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