Answer:
If the yield to maturity remains at 8%, then the bond's price will decline over the next year.
Explanation:
When the bonds sells at a premium it means that the coupon payment is greater than the yield to maturity, which means that the income generated by the bond is greater than return required by the investor and because of this the bond sells at a premium because the investor is willing to pay more for the bond as it offers more income than its required rate of return. With a premium the bond price increases to a point where the coupon and required return become equal. When the bond has 10 years to maturity it means that it will give 10 equal payments to the investor which will be greater than the investors required return therefore the investor will be willing to pay a higher price for the bond, as the maturity decreases the number of payments which will be higher than the required return also decrease, so for example if there are 5 years to maturity then the bond will pay 5 payments that are greater than the required return so the investor will be paying a lower premium compared to when he was getting 10 payments that payed more than his required return.
Answer:
reasonable
Explanation:
Analytical skills are a set of skills that allow an individual to collect and analyze information, as well as make decisions accordingly in order to solve complex problems. This is a highly important set of skills for a manager to have since it allows them to identify problems creatively, and generate reasonable alternatives for the best outcome.
Answer:
$2200
Explanation:
will be Lq25.The total cost function is thus given by the sum of the costs of capital, labor, and rawmaterials:TC(q) = rK +wL +2000q = (10,000)(5) + (5,000)(q25) + 2,000 qTC(q) = 50,000 +2200q.The average cost function is then given by:AC(q) TC ( q ) q 50,000 2200 q q . and the marginal cost function is given by: MC ( q ) TC q 2200.
Answer:
A. 0.684
Explanation:
A seasonal index refers to an index that is used to compare the value for a particular period with the average value of all periods.
The purpose of using a seasonal index is to show the relationship between the two values, and the degree to which the two values are different.
The seasonal index can be calculated as the latest value for a period divided by the average of all periods. Therefore, we have:
Seasonal index for July = Latest value for July / Average demand over all months = 130 / 190 = 0.684.
Therefore, he approximate seasonal index for July is 0.684.
