Based on the relationship between the above mentioned measures, the following is true:
- Price and yield to maturity are <u>inversely </u>related.
- When YTM <u>rises</u>, the price of the bond <u>falls</u>.
<h3>What is Yield to Maturity?</h3>
- It is the discount rate on the bond.
- It shows the riskiness of the bond.
When the YTM is high, it means that the bond is more risky which leads to it having a lower price to compensate for the risk. The reverse is true.
Find out more on YTM at brainly.com/question/15172286.
Answer:
we recommnend to buy this bracket
Explanation:
The computation is shown below:
Given tyhat
Buying cost of the machine = $33,000 = x
x_1 = $0.67
And, x_2 = $0.41
Now the break even point is
X = x ÷ (x_1 - x_2)
= $33,000 ÷ ($0.67 - $0.41)
= 126,923 units
Therefore
Probability (Demand > Break even point)
= 1 -
($126,923 - 100,000) ÷ 10,000
= 1 -
(2.69)
= 0.36%
where
= function of cumulative distribution of N (0,1)
Therefore the probability is that it makes economically the items would be lesser
Thus, we recommnend to buy this bracket
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Answer:
$10,000
Explanation:
Based on the information given we were told that the government contribution to the pension plan was the amount of $10,000 for year 1 which simply means the amount of $10,000 will be the pension expenditure for the general fund for year 1.
Therefore the pension expenditure for the general fund for year 1 will be $10,000.