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2 years ago

A decrease in interest rates will:__________.

Business

1 answer:

Allisa [31]2 years ago

5 0

Answer:

c. not affect the bond's duration.

Explanation:

The bond duration measures the sensitivity of a bond's price to change in the interest rate. It is a linear measure of those years in which the repayment of the principal is due. the change in interest rate does not affect the duration of the bond.

On the other hand decrease in interest rate would increase the bond's PV and Price of the bond as well.

Payment frequency would not change with the decrease interest rate.

The Coupon rate will also remain the same whether the interest rate increases or decreases.

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When a real estate agent says the three most important factors when buying a property are “location, location, location,” the ag

Lorico [155]

Answer:

The correct answer for this is 'non price competition'.

Explanation:

When a real estate agent says the three most important factors when buying a property are “location, location, location,” the agent is referring to one of the forms of non price competition.

Non-price competition is a type of competition where two or more than two producers use factors like customer service, packaging or delivery rather than the price to increase the demand of the product or service.

Here, location is used as a non-price competition to increase the demand.

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2 years ago

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Who is Bill Gates and where does he live or stay

Firdavs [7]

Bill Gates (1955-), is a well-known American entrepreneur, investor. Gates launched Microsoft and has been on the Forbes since 1987. He was born and raised in Seattle, Washington and still currently lives in Seattle.

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2 years ago

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Klean Fiber Company is the creator of Y-Go, a technology that weaves silver into its fabrics to kill bacteria and odor on clothi

natulia [17]

Answer:

Klean Fiber Company

Incremental Analysis for the Special order of 250,500 units of Y-Go undergarments:

Direct materials $2.04 $511,020

Direct labor 0.40 100,200

Variable manufacturing overhead 1.04 260,520

Fixed manufacturing overhead 1.02 255,510

Total costs $4.50 $1,127,250

Fixed manufacturing overhead 1.02 255,510

Incremental costs $3.48 $871,740

Explanation:

a) Data:

Full Capacity = 1,031,000

The per unit and the total costs at full capacity for Y-Go:

Per Undergarment Total

Direct materials $2.04 $2,103,240

Direct labor 0.40 412,400

Variable manufacturing overhead 1.04 1,072,240

Fixed manufacturing overhead 1.44 1,484,640

Variable selling expenses 0.34 350,540

Totals $5.26 $5,423,060

b: In her decision to accept or reject the special order for 250,500 units of Y-Go undergarments by the U.S. Army, the Klean Fiber Company will only consider the relevant incremental unit cost of $3.48 and not the whole unit cost of $5.26. The $3.48 cost excludes the fixed overheads or the selling and administrative expenses.

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2 years ago

Which of these lenders would be least likely to approve a short sale? unset starred question conventional lenders credit unions

Semenov [28]

Junior Lenders would be least likely to approve a short sale.

What is a junior interest?

Junior Interest means a performing junior participation interest in a stabilized or transitional senior commercial, multifamily fixed or floating rate mortgage loan secured by a first lien on multifamily and commercial properties or a subordinate portion of a Senior Mortgage Loan evidenced

Is a take out loan the same as junior mortgage?

A junior mortgage is a second mortgage loan that you take out against your home's equity using the property as collateral. A junior mortgage assumes that you already have a mortgage that's also secured by the home. A junior mortgage forms a second lien against the property.

Learn more about junior lender:

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1 year ago

During the first month of operations ended August 31, Kodiak Fridgeration Company manufactured 80,000 mini refrigerators, of whi

tiny-mole [99]

Answer:

1. Absorption Costing Income Statement

For the month ended May 31, 2016

Sales $10,800,000

Cost of goods sold

Beginning inventory -

Cost of goods manufactured $9,600,000

Ending Inventory $960,000

Cost of goods sold $8,640,000

Gross margin $2,160,000

Selling and administrative expenses

$1,080,000 + $180,000 $1,260,000

Income from operation $900,000

2. Variable Costing Income Statement

For the month ended May 31, 2016

Sales $10,800,000

Variable cost of goods sold

Beginning Inventory -

Variable cost of goods manufactured $9,280,000

Ending Inventory $928,000

Variable cost of goods sold $8,352,000

Manufacturing margin $2,448,000

Variable selling and administrative $1,080,000

expenses

Contribution margin $1,368,000

Fixed Cost:

Fixed manufacturing cost $320,000

Fixed selling and administrative $180,000

expenses

Total fixed cost $500,000

Income from operation $868,000

3. The reason for difference of amount for income from operation is $32,000 ($900,000 - $868,000). It is due to fixed manufacturing cost which is included for ending inventory under absorption costing (320,000 / 80,000 * 8,000). Hence, income under absorption costing is higher by $32,000 as compared to income under variable costing.

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2 years ago