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2 years ago

The present value of an expected future payment ________ as the interest rate increases.

Business

1 answer:

LekaFEV [45]2 years ago

6 0

The present value of an expected future payment "falls" as the interest rate increases.

This is based on the idea that the bond is paid at a fixed interest rate. Thus as the interest rate increases, the value of the bond decreases or falls because investors would certainly stay away from such bonds, therefore, making its value reduce or fall.

Similarly, if the interest falls, a bond with a fixed interest rate becomes more attractive to investors.

Hence, in this case, it is concluded that the interest rates determine the value of the bond.

Learn more here: brainly.com/question/17175565

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A company’s unit costs based on 100000 units are: Variable costs $75 Fixed costs 30 The normal unit sales price per unit is $165

Simora [160]

Answer:

$81,000

Explanation:

The computation of the incremental profit (loss) from accepting the order is shown below:

Contribution per unit = $165 - $75

= $90

Now

Loss on contribution for giving up regular sales is

= $4,100 × 90

= $369,000

Now Incremental contribution for special order is

= ($135 - $75) × 7,500

= $450,000

So,

Incremental profit is

= $450,000 - $369,000

= $81,000

3 0

2 years ago

A weekly time ticket for Joyce Caldwell follows: Direct Labor Time Ticket Dates: Monday 8/13 − Friday 8/17, 2018 Ticket Number:

dusya [7]

Answer:

Wages for Job 271= 16* 31= $ 496

Wages for Job 272= 8 *31= $ 248

Wages for Job 273= 31*16= $ 496

Explanation:

Job 271, 8+8= 16 hours

Wages for Job 271= 16* 31= $ 496

Job 272, 4+ 4= 8 hours

Wages for Job 272= 8 *31= $ 248

Job 273 Weekly =40 - 16- 8= 16 hours

Wages for Job 273= 31*16= $ 496

Working:

Direct Labor Time Ticket

Dates:

Monday 8/13 −

Friday 8/17, 2018

Ticket Number: TT 338 Employee: Joyce Caldwell

Date Time Started Time Ended Total Hours

Job Number 8/12/2018 7:00 AM 3:00 PM 8 hours

Job 271 8/13/2018 7:00 AM 3:00 PM 8 hours

Job 271 8/14/2018 7:00 AM 3:00 PM 8 hours

Job 272 8/15/2018 7:00 AM 11:00 AM 4 hours

Job 272 8/15/2018 12:00 PM 4:00 PM 4 hours

Maintenance 8/16/2018 7:00 AM 3:00 PM 8 hours

Job 273

Weekly Totals 40 hours

Hourly Labor Rate × $31 Total Wages Earned $1,240

7 0

2 years ago

Complete each sentence by selecting the correct term using the drop-down list.

Tomtit [17]

Answer:

FOB destination means "Free on Board Destination.

1. Goods transit shipped to Abbey (purchaser) FOB Destination

Answer: Exclude from inventory

2. Goods in transit shipped to Abbey (purchaser) FOB Shipping Point

Answer: Include in inventory count

3. Goods transit shipped by Abbey (seller) FOB Destination

Answer: Include in inventory

4. Goods in transit shipped by Abbey (seller) FOB Shipping Point

Answer: Exclude from inventory

6 0

2 years ago

The Alpha Division of the Carlson Company manufactures product X at a variable cost of $40 per unit. Alpha Division's fixed cost

zheka24 [161]

Answer:

$70 per unit.

Explanation:

Based on the information given we were been told that the market price of X costs the amount of $70 per unit which simply means that market price exists, based on this the transfer price of X in a situation were each division is been treated as a profit making center will be the market price of $70 per unit.

8 0

3 years ago

Difference between money paid to and money received from other nations in trade is called balance of trade.

frutty [35]

Answer:

Difference between money paid to and money received from other nations in trade is called balance of trade is a TRUE statement.

Explanation:

The difference between the export and the import done by the country is usually termed as the balance of trade. Even though the sum of payments and receipts is necessarily equal, in different types of transactions there will be disparities — excesses of transactions and receipts, named deficits and surpluses.

Trade balance does not include any goods (not even product import and export). For example, China, a nation where many of the globe's consumer goods are manufactured and exported, has registered a trade surplus since 1995. Because of its dependence on oil imports and consumer goods, the United States has shown a trade deficit since 1976.

6 0

3 years ago

Read 2 more answers