If you are getting paid bi weekly it means you get paid every other week, so it depends on how long you have the job.
Answer:
Georgeland has an absolute but not a comparative advantage in producing clothing.
Explanation:
Absolute advantage is defined as the ability of a firm to produce higher amounts of a product as a result of use of the same resources with other competitors. It is usually bad a result of more efficient production process.
Comparative advantage is the ability of a firm to produce goods at a lower opportunity cost. Therefore they are able to sell at lower price compared to competitors.
Georgeland can produce 18 units of clothe per year while Alland can produce 16 units per year, so Georgeland has absolute advantage.
In producing clothes Georgeland has opportunity cost of 36 units of food which is higher than that of Alland which is 32 units of food. So Georgeland does not have comparative advantage in producing clothes.
Answer:
Advantages of buying business premises
There are considerable advantages to securing a mortgage to buy business premises, including:
- your mortgage repayment is likely to be similar to or less than a rental payment on the same property
- with a fixed rate mortgage, your monthly repayments will be predictable
- you aren't exposed to any sudden, large rent increases
- you may be able to sublet any free space, reducing your monthly repayments (you may require permission from your lender to do so) and allowing you to generate extra income
- interest payments on a commercial mortgage are tax-deductible
- any gain in value of the property will increase your capital
- as your business grows, you may be able to extend your existing premises, avoiding relocation costs
- you have control over what alterations you want to make to your office space
Disadvantages of buying business premises
The disadvantages of buying business premises include the following:
- Unlike renting, you'll need to come up with a substantial mortgage deposit - this is money that might be used for more important business purposes.
- If you own premises, you may find it harder to relocate your business, because selling business premises is a complex and sometimes lengthy process. If you rent, you may be able to negotiate to end your rental agreement, or to find another organisation to take over your tenancy at short-notice.
- If you have a variable rate mortgage, you are exposed to increases in interest rates.
- Owning a property means you'll be responsible for factors such as maintenance, fixtures and fittings, insurance, decoration and security, which can prove expensive.
- Repaying a commercial mortgage
- Commercial mortgage fees and costs
- Book traversal links for Advantages and disadvantages of buying business premises
Explanation:
Answer:
-3.91%.
Explanation:
The Duration Adjustment (% change in bond price) is given by:
= (Duration) * (Change in yield in %)
= -(7.81) x (0.5%)
= -3.91%
The Convexity Adjustment is given by:
= 0.5 * Convexity * (Change in yield, as a fraction)^2
= 0.5 * 99.87 * (0.005)^2
= 0.5 * 99.87 * 0.000025
= 0.001248375
= 0.0012%
Thus, the convexity correction is 0.0012%
Thus, the total change in bond price = -3.91% + 0.0012% = -3.91%.
