Answer:
a) decrease the quantity demanded
Explanation:
According to the law of demand, an increase in the price of a good reduces the quantity demanded for that good.
<span>A typical married couple would probably be a. Gilbert would be for splitting the household chores on the basis of time spent on each task. However, it is a bit unusual to actually calculate the time it takes for each task. B. and c. doesn't make sense. D. is also valid, however.</span>
Answer:
Price at issuance is $1,000 for both bonds.
Price of the 5 year bond after the market rate increased to 7.4% is:
PV of face value = $1,000 / (1 + 3.7%)⁸ = $747.77
PV of coupon payments = $27.50 x 6.81694 (PV annuity factor, 3.7%, 8 periods) = $187.47
Market price = $935.24
this bond's price decreased by 64.76/1,000 = 0.06476 = 6.48%
Price of the 10 year bond after the market rate increased to 7.4% is:
PV of face value = $1,000 / (1 + 3.7%)¹⁸ = $519.97
PV of coupon payments = $27.50 x 12.97365 (PV annuity factor, 3.7%, 18 periods) = $356.78
Market price = $876.75
this bond's price decreased by 123.25/1,000 = 0.12325 = 12.33%
Hi the correct answer would be C hope this helps you!
Good luck!
Answer:
Please check the attached image for the diagram
Explanation:
I would be borrowing $4000 from the bank. I would be $4,000 richer and the bank would have $4000 less.
In one year, I would be paying the bank $4160. So I would have $4160 less and the bank would be $4160 richer.
A negative sign indicates cash outflow and a positive sign indicates a cash inflow.
I hope my answer helps you.
