Answer:
Explanation:
Theorem Utilization: Coase Theorem has been created to take care of the issue of market disappointment. Market disappointment exists where value component doesn't convey productive outcome.
Example : For instance, dairy cattle of Rancher wandered into close to field. this is a sort of negative externalities. On the off chance that property right is given to rancher, at that point he can sue Rancher for making harm crop. Yet, there is no privilege to rancher, it suggests that privilege has been given to farmer. Presently here rancher will attempt to repay Rancher to lessen the size of his cows group.
Three necessary conditions:
- The rights of property should be well defined.
- The rights of property should be transferable.
- The cost of transaction must be sufficiently small.
It doesn't make a difference whom property right is given, there will be effective results. Coase hypothesis bombs where haggling cost rises or free rider issues are seen.
Answer:
The answer is "21%".
Explanation:
The calculation for this question is define in attached file please find it.
Answer:
b. 5.27%
Explanation:
First, find the PV of the bond today. With a financial calculator, input the following and adjust the variables to semi-annual basis;
Face value; FV = 1000
Maturity of bond; N = 15*2 = 30
Semiannual coupon payment = (8.75%/2)*1000 = 43.75
Semi annual interest rate; I/Y = 3.25%
then compute Price; CPT PV= 1,213.547
Next, with the PV , compute the yield to call (I/Y) given 6 years;
Maturity of bond; N = 6*2 = 12
Semiannual coupon payment = (8.75%/2)*1000 = 43.75
Price; PV= -1,213.547
Face value; FV = 1,050
then compute Semiannual interest rate; CPT I/Y = 2.636%
Convert the semiannual rate to annual yield to call = 2.636*2 = 5.27%
They can do what they want they are millionaire athletes that have a fanbase not saying its right by any means.
