Answer:
$ 1,781.53
Explanation:
The future value of the 5-year CD can be determined by using the future value formula stated below:
FV=PV*(1+r)^n
FV is the future value which is expected future amount after 5 years
PV is the initial amount used in purchasing the CD i.e $1500
r is the rate of return on the CD on an annual basis which is 3.5%
n is the number of years the investment would last which is 5 years
FV=$1500*(1+3.5%)^5
FV=$1500*1.187686306
FV=$ 1,781.53
Answer:
The second gamble has the higher expected value. EV = 4
Explanation:
In betting, expected value can be defined as (Amount won per bet * probability of winning) – (Amount lost per bet * probability of losing)
For the first gamble:
For the second gamble:
This means that Cal is expected to earn $4 for each $20 waged on the second gamble while he is expected to break even in the first gamble.
Therefore, the second gamble has the higher expected value.
The government’s action that they use in limiting the amount
of scarce of goods for citizens to buy during the wartime is rationing.
Rationing is an action or process of having a person to have a limited or fixed
amount in which in goods—they can only have or brought a limited amount of
goods.
Answer:
a. True
Explanation:
Answer this question using YTM, coupon rate, price and par value relationship/rules.
If YTM > coupon rate, then Price < Par value
If YTM < coupon rate, then Price > Par value
If YTM = coupon rate, then Price = Par value
In this case, the assumption is that YTM > coupon rate, hence based on the above rules, the Price or market value of the bond will be < Par value. This makes the statement true.
Answer:
Investment banks.
Explanation:
Investment banking is the financial service described in the paragraph, could be a company or a division of it, dedicate it to give advisory about financial transactions, raising capital, even-though restructuring and mergers activities.
