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svetoff [14.1K]
3 years ago
14

When the economy slips into a recession, normally the demand for bonds ________, the supply of bonds ________, and the interest

rate ________, everything else held constant. a. decreases; increases; rises b. decreases; decreases; falls c. increases; increases; rises d. increases; decreases; fal
Business
1 answer:
Leno4ka [110]3 years ago
5 0

Answer:

b. decreases; decreases; falls.

Explanation:

A bond can be defined as a debt or fixed investment security, in which a bondholder (investor or creditor) loans an amount of money to the bond issuer (government or corporations) for a specific period of time. The bond issuer are expected to return the principal (face value) at maturity with an agreed upon interest (coupon), which are paid at fixed intervals.

In Economics, there are primarily two (2) factors which affect the availability and the price at which goods and services are sold or provided, these are demand and supply.

The law of demand states that, the higher the demand for goods and services, the higher the price it would be sold all things being equal. On the other hand, law of supply states that the higher the price of goods and services, the lower the supply.

Recession can be defined as a period of economic meltdown, in which there's a general decline in all economic activities such as trade.

Hence, when the economy slips into a recession, normally the demand for bonds decreases, the supply of bonds decreases, and the interest rate falls, ceteris paribus (everything else held constant).

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Janet and James purchased their personal residence 15 years ago for $300,000. For the current year, they have an $80,000 first m
Semenov [28]

Answer: $5750 ; $6000

Explanation:

The amount of their deduction for interest paid on qualified residence acquisition debt will be the interest paid on the first mortgage of their home which is: = $5750

The amount of the deduction paid on qualified home equity debt will be calculated as:

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3 0
2 years ago
Morganton Company makes one product and it provided the following information to help prepare the master budget: The budgeted se
pishuonlain [190]

Answer:

Estimated cost of goods sold $ 3,964,800

Gross Margin $ 991,200

Explanation:

Estimated sales units and sales revenue

June                                                 8,800 units

July                                                 19,000 units

August                                            21,000 units

September                                     22,000 units

Total estimated sales                    70,800 units

Sales price per unit                             $ 70

Total Sales Revenue $ 70 * 70,800 units = $ 4,956,000

Computation of cost of goods sold

Direct Material  

5 pounds * 70,800 units * $ 2.40 per pound                                  $ 849,600

Direct Labor

2 labor hours * 70,800 units * $ 12 per hour                                 $ 1,699,200

Variable Manufacturing Overhead

$ 10 * 70,800 units * 2 labor hours                                                <u>$ 1,416,000</u>

Cost of goods sold                                                                          $3,964,800

Computation  of gross margin

Sales Revenue                                                                               $ 4,956,000

Cost of goods sold                                                                        <u>$ 3, 964,800</u>

Gross Margin                                                                                 $     991,200

3 0
3 years ago
You are working as a correctional officer. Your boss pulls you aside and discusses with you how you handled a situation with an
DedPeter [7]
Your boss is providing very helpful type of criticism, and gives you some of the suggestions on how to improve next time.

Constructive Criticism is the answer/ 
3 0
3 years ago
Production equipment costing $500,000 has been purchased by a contract manufacturing company to meet the specific needs of a cus
irina1246 [14]

Answer:

Short-cut IRR = 18.75%

The company has not reached their rate of return goal on this contract and investment.

Explanation:

a) Data and Calculations:

Cost of production equipment = $500,000

Qualified investment tax credit (ITC) = 10% = $50,000 ($500,000 * 10%)

Contract period = 4 years with 4 years extension on renewal

Income tax rate for the company = 40%

Expected after-tax rate of return = 12%

Expected before-tax rate of return = 30% (12%/40%)

Annual income generated by the equipment = $150,000 for 4 years

Salvage value at the end of 4 years = $200,000

Short-cut IRR = 100%, divided by the number of years * about 75-80%

= 100%/4 * 75%

= 18.75%

8 0
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A client is currently training in the Hypertrophy Phase of the OPT model. Which phase of the flexibility continuum would be the
joja [24]

Answer:

The correct answer is active.

Explanation:

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Active flexibility: it is the maximum amplitude of a joint or movement that a person can reach without external help, which only happens through the voluntary contraction and distension of the muscles of the body.

8 0
2 years ago
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