Margot company purchases $100,000 face amount, 6% semi-annual bonds for $110,000 when the market interest rate is 5%. margot should recognize the following interest revenue for the first 6-month period:
$3,000
Rationale:
$100,000 x (6% x 6/12)
The amount that the lender charges the borrower over and beyond the principal amount is referred to as the interest rate. A person who deposits money in a bank or other financial institution also earns additional income in terms of the recipient, known as interest, taking into account the time value of money.
The amount that a lender charges a borrower for the use of assets on top of the principal is known as the interest rate.
The money generated from a deposit account at a bank or credit union is likewise subject to an interest rate.
Simple interest is used in most mortgages. Compound interest, which is applied to both the principle and the accrued interest from earlier periods, is used in some loans, nevertheless.
The interest rate will be lower for a borrower who the lender deems to be low risk. The interest rate on a loan will be greater if it is thought to be high risk.
Learn more about interest rates here:
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Answer: B. provides more social benefits than it derives in private benefits.
Explanation:
Raven farms in this instance is deriving less private benefits than it gives social benefits.
Private benefits are those benefits that the producer gains as a result of their actions.
Social benefits on the other hand are the benefits gained by the producer as well as the benefits to society as well.
Raven's private benefits are the revenue it accrues from it's skin healing cream and yet those same bees still providing a societal service of pollinating Oakcreek Apple Orchard Apple. That shows that they are giving more social benefits than they are receiving.
As the products go on the market, the limitations in the induction cause them to be relatively homogeneous, however, over time, technological advances, product positioning, consumer needs and profits allow the market to lose homogeneity, especially those products that are related to very subjective and diverse criteria such as aesthetics or happiness.
In this case, what is shown in the cell phone market is the variation in the offer that occurred over time.
Answer
The history of the cell phone demonstrates that a. <em>Markets evolve toward greater heterogeneity over time.</em>
Answer:
The dividend the company just paid is $3.53
Explanation:
The solution to the problem is given as follows.
$48.20 = D1/(.1120 − .0360)
$48.20= D1(0.076)
Making D1 the subject of formula we have.
D1 = $3.66
D0 = $3.66/(1 + .0360)
D0 = $3.53
