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grigory [225]
3 years ago
15

How does risk influence the rate of interest?

Business
1 answer:
Andru [333]3 years ago
3 0

Answer:

Interest rate risk directly affects the values of fixed income securities. Since interest rates and bond prices are inversely related, the risk associated with a rise in interest rates causes bond prices to fall and vice versa. Interest rate risk affects the prices of bonds, and all bondholders face this type of risk.

Explanation:

Hope this helped Mark BRAINLEST!!

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Which of the following activities is not a component of the operating cycle?A)Sale of merchandiseB)Payment of employees' salarie
Sloan [31]

Answer:

B)Payment of employees' salaries

Explanation:

Operating cycle: The operating cycle is that cycle in which the firm makes the collection of cash with respect to the sales and make the payment with respect to the purchase of the inventory

The cycle start from days of inventory outstanding, days of sales outstanding, and days of payable outstanding

In mathematically,  

Operating cycle = days of inventory outstanding + days of sales outstanding - days of payable outstanding

Thus, option B is correct.

8 0
4 years ago
The morgan company, a small furniture manufacturer, divides its organization into marketing, human resources, accounting, and pr
Leona [35]
<span>The morgan company, a small furniture manufacturer, divides its organization into marketing, human resources, accounting, and production departments. this is an example of departmentalization by function


</span>
3 0
4 years ago
Lin Corporation has a single product whose selling price is $130 per unit and whose variable expense is $65 per unit. The compan
4vir4ik [10]

Answer:

1.- selling 530 units will achieve 2,300 operating profit

2.- sales for $82,100 will achieve 8,900 operating profit

Explanation:

sale price 130

variable 65

contribution margin 65

\frac{Fixed\:Cost + Target \: Profit }{Contribution \:Margin} = Units\: to\: Profit

(32150 + 2,300) /65 = 530 units

\frac{Fixed\:Cost}{Contribution \:Margin \:Ratio} = Sales\: To\: Profit

\frac{Contribution \: Margin}{Sales \: Revenue} = Contribution \: Margin \: Ratio

65/130 = 0.5

(32,150 + 8,900) / 0.5 = 82,100

4 0
3 years ago
QUESTION 31 Kumar Consulting operates several stock investment portfolios that are used by firms for investment of pension plan
ElenaW [278]

Answer:

The portfolio's alpha is - 0.15%

Explanation:

For computing the portfolio's alpha, first, we have to compute the expected rate of return. The formula is shown below:

Expected rate of return = Risk free rate of return + Beta × (realized rate of return - free rate of return)

= 7% + 1.15 × (12% -  7%)

= 7% + 1.15 × 5%

= 7% + 5.75%

= 12.75%

Now the portfolio alpha equal to

= Expected rate of return -  portfolio realized rate of return

=  12.75% - 12.6%

= - 0.15%

7 0
4 years ago
Companies must prioritize and determine the performance dimensions on which they will focus and excel. Each performance dimensio
gladu [14]

Answer:

Quality.

Explanation:

Garvin´s definitions of quality based on the perspective of the viewer (perception is reality):

-Transcendent. quality is intuitively understood but nearly impossible to communicate.

-Product based. quality is found in the components and attributes of a product.

-User based. if the costumer is satisfied, the product has good quality.

-Manufacturing based. if the products conforms to desing specifications, it has good quality.

-Value based. if the product is perceived as providing good value for price, it has a good quality.

Garvin´s dimensions of product quality are:

Performance, features, reliability, conformance, durability, serviceability, aesthetics, and perceived quality.

These different dimensions of quality are not mutually exclusive.

6 0
3 years ago
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