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
elena-14-01-66 [18.8K]
3 years ago
13

Consider a futures contract for the delivery of a two-period bond with M=100 in one period from today. There are four deliverabl

e bonds: A, B, C, and D. The prices and conversions factors of these four bonds on the delivery date are P(A)=100, conversion factor(A)=1.05; P(B)=105, conversion factor(B)=1.04; P(C)=103, conversion factor(C)=1.04; P(D)=99, conversion factor(D)=0.98. Which one of the above four bonds will be delivered? A. Bond B B. Bond D C. Bond C D. Bond A
Business
1 answer:
11111nata11111 [884]3 years ago
7 0

Answer:

The correct answer is ()D.Bond A.

Explanation:

From the question provided, the bond that will be delivered is Bond A.

The reason is that, The bond A has the highest conversion factor when measured  to other bonds and must be delivered.

The Bond A prices and conversions factors with its delivery date will be get there on time before other bonds, because of its high rate.

You might be interested in
All of the following distributions of stock dividends are taxable except: a. The shareholders have the choice to receive cash or
kati45 [8]

Answer:

d. The distribution gives preferred stock to some common stock shareholders and common stock to other common stock shareholders.

Explanation:

This is likely the answer to the question. There is no way preferred stock would be given to some common stock shareholders while common stock to other stock to others.

4 0
3 years ago
If an increase occurs in the demand for the output of industry A, we would expect all of the following to happen except:A. an in
ruslelena [56]

Answer:

The correct answer is option B.

Explanation:

The total revenue and profits of the industry as the price level  increases with increase in the demand.

When there is an increase in the demand for the output of an industry, that industry will increase the production to match the increase in the demand. The increase in production will cause output level to increase.

In order to produce more output the industry will require more inputs, so the demand for inputs will increase.

An increase in the demand for inputs will be accompanied by increase in their prices.

There will not be any decline in the price of inputs.

3 0
3 years ago
Price is constant to the individual firm selling in a purely competitive market because:
musickatia [10]
Any sellers who raise its price lose all of their customers
any sellers who lower the price also cause the reduction in price of other firms,that may lower the profit gained
7 0
3 years ago
An installment note payable for a principal amount of $94,000 at 6% interest requires Lawson Company to repay the principal and
spin [16.1K]

Answer:

$0

Explanation:

Since the note requires Lawson Company to repay the principal and interest in equal annual payments of $22,315, both the principal and interest must have been fully paid after the final payment.

Therefore, the carrying amount on the note will be $0 after the final payment.

6 0
3 years ago
The​ ________ is the amount that you agree to pay before insurance coverage kicks in.
tensa zangetsu [6.8K]
I believe the word you are looking for is deductible.
5 0
4 years ago
Other questions:
  • Longley Trucking is issuing a 20-year bond with a $2,000 face value tomorrow. The issue is to pay an 8% coupon rate, because tha
    6·1 answer
  • Yogesh and Naresh are partners sharing ratio 3:2. They admit ramesh for 1/3rd share on 1st april ,2020 and also decide to share
    6·1 answer
  • Data for Shelby Company for the current year is as follows:
    14·1 answer
  • The level of liquid assets that should be invested in marketable securities depends on several factors. This includes all except
    10·1 answer
  • A team member had an affair with the team
    7·1 answer
  • Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area
    6·1 answer
  • Craft Brewery Inc., a leading multinational beverage manufacturing company, coordinates with Waste Recycling Inc., a waste manag
    10·1 answer
  • Finance professionals make decisions that fall into three distinctive areas: corporate finance, capital markets, and investments
    7·1 answer
  • A company is a devout follower of Confucian ethics. Hence, it hires people who live by similar principles. What is most likely t
    13·1 answer
  • For the year, movers united has net income of $31,800, net new equity of $7,500, and an addition to retained earnings of $24,200
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!