Often times, advertisers within vehicles in mass media will utilize various sounds, images, and tones to influence buying habits
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Answer: b. For a bond of any maturity, a 1.0 percentage point increase in the market interest rate (rd) causes a larger dollar capital loss than the capital gain stemming from a 1.0 percentage point decrease in the interest rate
Explanation:
This is very true. If market rates reduce by 1.0%, there is a larger drop in the price of a bond than the amount a bond gains in price if interest rates increase by that same 1.0%.
This is why the graph that relates bond prices to yield is concave and I attached a graph as proof.
Notice how the fall in price is greater when interest rate increases.
Answer:
Yes, Omaha department store would be better off by $23000.
Explanation:
Given: Sales revenue= $350000.
Cost of goods sold= $280000.
Sales commission= $30000.
Fixed operating cost= $90000.
Now, computing net profit or (loss)
Net profit/loss=
∴ Net profit/loss=
⇒ Net profit/loss=
∴ Net loss=
∴ Yes boot department should be closed, as Omaha department store is better off by $23000.