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3 years ago

If M = 6,000, P = 2, and Y = 12,000, what is velocity?

Business

1 answer:

NARA [144]3 years ago

5 0

Answer:

Velocity of money = 4

Explanation:

Given:

Money supply M = 6,000

Price level P = 2

Real GDP Y = 12,000

Find:

Velocity of money

Computation:

Velocity of money = [Price level x Real GDP] / Money supply

Velocity of money = [P x Y] / M

Velocity of money = [12,000 x 2] / 6,000

Velocity of money = [24,000] / 6,000

Velocity of money = 24 / 6

Velocity of money = 4

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Blank 1. Protect citizens from crime and justice
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C) Drawer

Explanation:

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3 years ago

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4 years ago

Read 2 more answers

Yan Yan Corp. has a $5,000 par value bond outstanding with a coupon rate of 4.6 percent paid semiannually and 21 years to maturi

Aleonysh [2.5K]

Answer:

Price of the bond = $4,122.36

Explanation:

The value of the bond is the present value(PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV).

Value of Bond = PV of interest + PV of RV

The value of bond for Yan Yan Corp. be worked out as follows:

Step 1

PV of interest payments

Semi annul interest payment

= 4.6% × 5,000 × 1/2 = 115

Semi-annual yield = 4.1%/2 = 2.05 % per six months

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PV of interest =

115 × (1- (1+0.0205)^(-21)/0.0205)=1,946.47

Step 2

PV of Redemption Value

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Step 3:Price of the bond

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3 years ago

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Answer:

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3 years ago