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2 years ago

Bond payments are generally more predictable than stocks because:_______.

1 answer:

4 0

The bond payments are more predictable than stocks because bond owners know the size and timing of payments they will receive.

Bonds refers to the promise by a borrower to pay the lender his/her principal and the interest on the loan given.

Bonds is an instrument used by company as an alternatives to taking a loan from banks.

Generally, the bond payments are more predictable than stocks because bond owners know the size and timing of payments they will receive.

Therefore, the Option C is correct.

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The manager of a 150-unit apartment complex knows from experience that all units will be occupied if the rent is $1000 per month

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The rent that the manager should charge to maximize revenue will be $2,000.

In business, a rent is known as the cost incurred by a business to utilize a property or location for an office, retail space, factory, or storage space.

Initially, to find revenue by coming up we can calculate with an equation below:

Revenue = Price × Revenue

Where, price = 1000 + 20x

Quantity = 150 - x

R(x) = (1000+20x) (150-x)

R(x) = 150000 - 1000x + 3000x - 20x²

R(x) = - 20x² + 2000x + 150000

To maximize the revenue, we calculate the derivative and set it to zero:

R(x) = - 20x² + 2000x + 150000

R(x) = -40x + 2000

-40x + 2000 = 0

40x = 2000

x = 50

After we find the amount of X, thus we determine the rent that the manager should charge to maximize revenue

Price=$1000+20x

Price=$1000+20(50)

Price=$1,000 + 1,000

Price = $2,000

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1 year ago

Definition of diverse nation

Umnica [9.8K]

The concept of diversity<span> encompasses acceptance and respect. It means understanding that we all have differences and we're all unique. </span>

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3 years ago

On the first day of the fiscal year, Shiller Company borrowed $63,000 by giving a five-year, 12% installment note to Soros Bank.

lidiya [134]

Answer:

Bank A/c Dr $63,000

To Notes Payable $63,000

(Being the issuance of the installment note for cash is recorded)

Explanation:

The journal entry is shown below:

Bank A/c Dr $63,000

To Notes Payable $63,000

(Being the issuance of the installment note for cash is recorded)

For recording this transaction, we debited the bank account as it increased the assets account and at the same time it decreased the liabilities so the notes payable is credited

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3 years ago

Lowe's is the second-largest home improvement retailer in the world, with 2,002 stores. During its fiscal year ended in February

34kurt

The financial statement effects template records Lowe's purchases for the fiscal year ended February 28, 2019 as follows:

Transaction Assets = Liabilities + Equity

Purchases $0 + $49,569 = $49,569 + $0

Inventory Accounts Payable

The accounts equally affected by the purchases on account are the Inventory and the Accounts Payable.

Data Analysis:

Merchandise Inventory $49,569 Accounts Payable $49,569

Thus, with the purchases of merchandise during the fiscal year at a cost of $49,569, the Assets (inventory) and Liabilities (accounts payable) are increased by the same amount.

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3 years ago

Consider a tax cut which affects not only consumer disposable income, but also afterminus−tax earnings from labor supplied to l

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<span>in the long run we would expect this tax cut to </span>C. increase the level of real GDP.
Tax cut will give the private sectors more resources to either increase the number of employees or buy materials for production.
Either decision will lead to an increase in overall productivity which will contribute to additional Gross Domestic Products.

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