Answer:
d. treasury and top-grade corporate bonds pay interest two times each year
Explanation:
Treasury bonds represent the best solution for investing, having in mind the <u>low-risk aspect</u> and the fact that they are <u>issued by the government</u>. Treasury and top-grade corporate bonds always pay <u>semiannual interests</u>.
<em>Junk bonds</em> should not be even considered in risk-free options, as a junk bond is a bond issued by a struggling company, which may happen not to pay any interest sometimes.
<em>Common stock</em> does not necessarily have to pay quarterly dividends, as some companies pay dividends monthly, or even annually. Also, the risk is still lower in treasury bonds, as common stock becomes questionable in the case of company liquidation. If and when that happens, common stockholders gain rights to company assets only after bondholders and preferred shareholders become paid.
The default risk is present in all bonds, including <em>Yankee bonds</em>, which are issued by foreign companies in the USA.
<span>1. Capital is the manufactured, artiFcial, or synthetic goods used in the production of other goods, including machinery, equipment, tools, buildings, and vehicles. Capital is the produced factor of production. This factor must be produced using other factors of production, which means that society is often faced with the choice between producing consumption goods that satisfy wants and needs and capital goods that are used for future production.
2. Industrial goods are made up of machinery, manufacturing plants and materials,and any other good or component used by other industries or Frms. Consumer goods are ready for the consumption and satisfaction of human wants,such as clothing or food</span>
Answer: $1,591.80
Explanation:
This is an annuity as the deposits are constant.
The Future value of an annuity is;
= Annuity * Future value interest factor of annuity, 6% , 3 years
= 500 * 3.1836
= $1,591.80
Answer:
B
Explanation:
The question asks to calculate how much will be disbursed by the company in February.
Firstly , we know that the company disburses 75% in the month of purchase and 25% during the month after purchase.
Now, 75% of $130,000 would be disbursed as February’s own payment:
Mathematically 75/100 * 130,000 = 97,500
Also, we should not forget that the company disburses 25% of previous month during the current. That is 25/100 * 100,000 = 25,000
Total amount disbursed is thus 25,000 + 97,500 = $122,500
