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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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A company that has never previously issued securities registered with the Securities and Exchange Commission, can register in a
tatiyna

Answer:

C. II and III

Explanation:

These are the options for the question

I Filing

II Coordination

III Qualification

A. I only

B. II only

C. II and III

D. I, II, III

The Securities and Exchange Commission (SEC) can be regarded as an oversight agency of U.S. government, which responsible for regulation of securities markets as well as protection of investors. civil actions can be taken by SEC against lawbreakers, they aworks hand in hand along with Justice Department on criminal cases. For a company to register under them , there must be Coordination and Qualification. It should be noted that company that has never previously issued securities registered with the Securities and Exchange Commission, can register in a State by Coordination and Qualification

5 0
3 years ago
pJimmy is a client of yours and he has some holdings in U.S. T-Bonds. Over the past year, he received $500 in interest from thes
Firdavs [7]

Answer:

Jimmy must pay federal income taxes for the $500 earned in dividends during last year = $500 x 28% = $140

Since interest earned on federal securities are not taxed by state or local governments, there is no state tax liability.

Jimmy's total taxes due from dividends earned = $140

5 0
3 years ago
Effect of gains and losses on the accounting equation and financial statementsOn January 1, 2013, Liken Enterprises purchased a
Finger [1]

Answer:

Explanation:

Liken enterprises

Accounting equation:

Asset minus Liability = Capital

Jan 1 2013

Land (Asset) was purchased

$20,000 + 0 = $20,000

A.

In 2014

Land (Asset) was sold for cash at a profit of $2,500

*Land (Asset) is now zero

*Cash (Asset) is now $22,500

*Profit from the sale of Land (addition to capital also called retained earnings) is added to capital

Asset minus Liability = Capital

($20,000 - $20,000 + $22,500) minus 0 = $20,000 + $2,500

$22,500 + 0 = $22,500

B.

The statement of cashflow only recognizes cash movement in transactions and not accruals.

Therefore the sale of Land will be recorded as $22,500 in the cashflow statement

C.

Land being an Asset, all of its transactions at the point of purchase and disposal would have been treated within the balance sheet.

However where a profit or loss is arrived at in the disposal of the asset, it is then recognized in the income statement.

In this case $2,500 will be recognized in the income statement as profit on disposal of Land

2.

If land was sold for $18,500 (this is at a loss of $1,500)

A.

*Land (Asset) is now zero

*Cash (Asset) is now $18,500

*Loss from the sale of Land (reduction in capital being net operating loss) is deducted from existing capital balance

Asset minus Liability = Capital

($20,000 - $20,000 + $18,500) minus 0 = $20,000 - $1,500

$18,500 + 0 = $18,500

B.

In this case $1,500 will be recognized in the income statement as Loss on disposal of Land

C.

$18,500 will be recorded in the cashflow statement recognising the cash received from the sale of land at a loss

8 0
2 years ago
Read 2 more answers
Terry industries engages rose & co., cpas, to prepare its annual financial statements and tax returns. before either of thes
Verizon [17]

Rose & Co can withhold their <u>working papers</u> and <u>partially completed work.</u>

"Working papers" are preliminary documents that show the information gathered and the information behind the reports that are generated.

6 0
3 years ago
The Larson and Gobeli study that compared projects that had been managed in a variety of structural types revealed that new prod
11Alexandr11 [23.1K]

Answer:

The correct answer is letter "C": Project organization.

Explanation:

Gobeli, D. and Larson, E. published in the <em>Project Management Journal</em> (1987) the <em>Relative effectiveness of different project structures</em> after their study on how projects are organized and how that organization affects the results of the team. According to them, superlative effectiveness is accomplished in project organization structures.

6 0
3 years ago
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