A bond pays $2500 in 10 years an earns an annual interest rate of 2.75%. What is the bond's price? Assume annual compounding. Round your answer to two decimal places.
Q: QUESTION 6 Which of the following policies would be advocated by someone who wants the government to…
A: If government wants to deal with the issue of severe unemployment, it is the situation when there is…
Q: Migration and income inequality is positively related. Explain.
A: The single greatest effect on development is the extending hole between the lower working class and…
Q: In which of the following situations will total revenue increase? Price elasticity of demand is 1.2…
A: When the firms want to change their elasticity of demand, they make use of price elasticity of…
Q: Degree Type a) perfectly elastic b) elastic Cunit elastic 9) price elasticity of demand price…
A: Disclaimer :- Since you have posted a question with multiple sub-parts, we will solve first three…
Q: The details for the two project proposals are shown below: IRR NPW (15%) EUAW(15%) PROJECT 1 20.01%…
A: Answer is given below
Q: Raphael is a hard-working college junior. One Saturday, he decides to work nonstop until he has…
A: Marginal gain is the additional output produced from employing an additional unit of input
Q: The price goes from $4 to $2. the quanity demanded goes from 800 to 1000. what is elasticty of…
A: Price ELASTICITY of demand refers to the percentage change in quantity demanded due to the…
Q: When using the Fed model to diagnose the economy, if inflation rises even though the economy is weak…
A: When talking about inflation in an economy, it explains the upward movement in the general price of…
Q: The following is the production schedule of a certain firm. A unit of labor cost 50 pesos per hour…
A: In short run, capital is fixed input and labor is variable input => Fixed cost = capital units *…
Q: Symon Enterprises is an international construction company with global offices in twenty foreign…
A: Human resources basically refers to the people who work for a company, a business sector, an…
Q: The details for the two project proposals are shown below: IRR NPW (15%) EUAW(15%) PROJECT I 20.01%…
A: Answer is given below
Q: For the following two-person, zero-sum game, are there any dominated strategies? If so, eliminate…
A: In the given game, one player is a payoff maximiser and another player is minimiser for zero sum…
Q: Solve for the question below, using the following given information: QD=450-P TC=q²-150g + 1000…
A: Since we only answer up to 3 sub-parts we will answer the first 3. Please resubmit the question…
Q: Assume that the level of autonomous consumption in an economy equals 600, the level of planned…
A: "Macroeconomic equilibrium occurs at a point where aggregate supply of the economy equates the…
Q: You own a 6%bond and want to sell it in a yearl Di you hope that interest rates rise or fall?…
A: there are a lot of signals where we can say that we have to sell the bond.
Q: Question: Derive the income elasticity of demand for individuals with Cobb-Douglas (U(91, 92) =…
A: The elasticity of demand refers to changes in demand that might occur due to the change in economic…
Q: Which of the following is an example of (economic) investment I, as defined in GDP accounting? O a.…
A: The investment does not mean investment in the bonds or paper. The investment must be real or it…
Q: The experience of Greece illustrates some of the challenges of the eurozone. As a result of the…
A: In this situation:- Due to the global financial crisis that began in 2007–2008, Greece was in deep…
Q: 2. On the other hand, the General Motors went on a different direction. General Motors was founded…
A: Perfectly competitive market has large number of buyers and sellers. There is free entry and exit…
Q: Consider the following cost function: C(Q)=9,300+44Q+0.025Q 2 Calculate total costs when Q=180
A: The cost function calculates the lowest possible cost of manufacturing a specified quantity of…
Q: Which of the following characterize the Federal Reserve funding facilities used during the U.S.…
A: Monetary Policy is the action that the central bank or the federal ban of a country undertakes to…
Q: Consider a lottery with three possible outcomes: $135 with probability 0.2, $100 with probability…
A: Expected Value is the mean of Probability Distribution. Expected value = ∑xx.p(x)Variance=…
Q: correctly
A: The formula for terminal growth in FCF is FCF *(1+g)/(k-g) where FCF is the terminal years cash…
Q: Price of beef increases by 12% and the quantity of beef demanded falls by 10%. Calculate the…
A: Elasticity of Demand: Elasticity of Demand is the degree of responsiveness of demand to changes in…
Q: Consider the following table: Consumer Goods Non Consumer Goods Year Production price Production…
A:
Q: please answer 4 to 5
A: IS equation: Goods market clears at following point Y = C + I + G Y = 100 + (1-t)Y + 350 - 50i +…
Q: Suppose at your university you are asked to find the relationship between weekly hours spent…
A: The best scholars spend between 50-60 hours studying per week. This will certainly cut into…
Q: 5. A plastic company operates 300 days a year. It produces and supplies 300,000 plastic caps for…
A: Operates = 300 days Supplies = 300,000 plastic cups Production = 12000pcs Annual Carrying Cost =…
Q: Which of the following statements is true for firms in monopolistic competition? Firms face barriers…
A: It is the monopolistic competition in which the sellers which are there in the market basically…
Q: The following equations describe the monopolist's demand, marginal revenue, and the marginal cost:…
A: Dead-weight loss occurs when firm produces less than socially efficient level of output.
Q: Matthew Hamming is stranded on an island. He has decided that he will spend exactly 10 hours a day…
A: Utility function The utility function is a study that measures the combination of two goods. under…
Q: What is the relationship between the marginal and average propensity to consume in the standard…
A: Concept: Average propensity to consume is the ratio of total consumption to total income which…
Q: Continued long-run economic growth requires that economies: Select one: a. have institutions in…
A: When evaluated as a rise in people's real income, economic growth indicates that the ratio b/w…
Q: Suppose that Portugal and Sweden both produce rye and wine. Portugal's opportunity cost of producing…
A: According to comparative advantage theory, a country is said to have a comparative advantage in the…
Q: What is the VRIO Framework or Analysis of Tesla Inc. in 2018?
A: Introduction VRIO is a strategic analysis approach which is part of a larger business plan for a…
Q: sources if finance
A: The eclectic paradigm, also known as the ownership, location, internalisation (OLI) model or OLI…
Q: What value of X makes these two cash flows equivalent assuming an interest rate of 10%? 150 150 100…
A: We know that for the equivalence The present worth of known cash flow must equate the present worth…
Q: Suppose the market supply is given by L=2.8w. Assume the product market is competitive and the…
A: Note:- Since we can only answer up to three subparts, we'll answer first three. Please repost the…
Q: Suppose that the required reserve ratio is 9%, currency in circulation is $620 billion, the amount…
A: Required Reserve = 9% Currency in Circulation = 620 billion Checkable deposit = 950 billion Excess…
Q: What is the difference between a price level and a price index?explain in 200 words...
A: here we explain the difference between a price level and a price index as follows:-
Q: (1) Which of the following is an example of what growth economics calls institutions? a. private…
A: Note: We’ll answer the first question since the exact one wasn’t specified. Please submit a new…
Q: A table planner machine which costs P 50 000 when brand new has a salvage value of x pesos and is…
A: There are many methods in order to calculate depreciation expense like straight line Method, double…
Q: he marginal product of labor in the production of computer chips is 50 chips per hour. The marginal…
A: The marginal rate of technical substitution measures the rate at which the one input must be…
Q: Kilt Company had the following information for the year: Direct materials used= $110,000 Direct…
A: The labor marketplace is a type of marketplace structure wherein the trade of labor services for…
Q: iPhones are mostly made of aluminum. Assume that iPhones are normal goods and that their substitutes…
A: Equilibrium in the market occurs at the intersection of demand and supply curves
Q: 6. (a). Show analytically that if costless negotiation is possible, rights are well- specified, and…
A: Negative externality represents the market failure as it does not give the actual cost or benefit to…
Q: Short analysis about Tesla Inc. in 2018?
A: Tesla Motors was formed in Silicon Valley in 2003 by a group of engineers, including the…
Q: Consider the following frequency distribution. Class Frequency 10-19 11 20-29 13 30-39 17 40-49 7…
A: The cumulative frequency refers to the calculated by adding each frequency from a frequency…
Q: A 6-month put option on James Corp.'s stock has a strike price of $45 and sells in the market for…
A: Formula to be used: Option Premium = Option price - Exercise value
Q: 11
A: The figure shows three curves as Marginal Revenue Curve, the Average Revenue Curve, and the Marginal…
A bond pays $2500 in 10 years an earns an annual interest rate of 2.75%. What is the
Assume annual compounding. Round your answer to two decimal places.
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
- A bond pays $1000 in 5 years an earns an annual interest rate of 2.75%. What is the bond's price? Assume annual compounding. Round your answer to two decimal places.find the present value of $175 perpetuity if the interest rate is 6 percent compounded quarterly. payments are at the beginning of the period.Calculate the price of a zero-coupon bond that matures in 20 years if the market interest rate is 3.8 percent. Assume semiannual compounding. (Do not round intermediate calculations. Round your final answer to 2 decimal places.)
- Calculate the current yield on a bond that has an annual interest payment of $200 and a resale price of $1,550Your retirement account has a current balance of $56,500. What interest rate would you need to be earned in order to accumulate a total of $1,500,000 in 40 years, by adding $6,700 annually? Suppose deposits are made at the beginning of the year. Make sure to show your work.An investment promises to pay into an account that pays you 6 percent annually, $150 per month for the next twenty-two years. Suppose the first deposit into the account is made one month from today what is the value of the amount which will be in the account at the end of thirty years? Rounded to 2 decimal places. (Answer up to 2 decimal places)
- Today, you invest ₱100,000 into a fund that pays 25% interest compounded annually. Three years later, you borrow ₱50,000 from a bank at 20% annual interest and invest in the fund. Two years later, you withdraw enough money from the fund to repay the bank loan and all interest due on it. Three years from this withdrawal you start taking ₱20,000 per year out of the fund. After five withdrawals, you withdraw the balance in the fund. How much was withdrawn? Note: Draw the cashflow diagramToday, you invest ₱100,000 into a fund that pays 25% interest compounded annually. Three years later, you borrow ₱50,000 from a bank at 20% annual interest and invest in the fund. Two years later, you withdraw enough money from the fund to repay the bank loan and all interest due on it. Three years from this withdrawal you start taking ₱20,000 per year out of the fund. After five withdrawals, you withdraw the balance in the fund. How much was withdrawn? Note: Draw the cashflow diagram and solve using the formula of annuitiesSuppose a man purchases a luxury car with an initial down payment of $20,000 and then makes quarterly payments: $2000 at the each of each quarter for six years and $3500 at the end of each quarter for eight more years. Given an interest rate of 6% compounded quarterly, find the present value of the payments and the list price of the luxury car.
- A bond with a face value of $1,000 has 8 years until maturity, has a coupon rate of 8%, and sells for $1,100. What is the yield to maturity if interest is paid once a year? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 4 decimal places. What is the yield to maturity if interest is paid semiannually? Note: Do not round intermediate calculations. Enter your answer as a percent rounded to 4 decimal places.how much did you deposit at the end of each month in an IRA that pays 7% compounded monthly to earn $70,000 per year from interest alone, while leaving the principal untouched, to be withdrawn at the end of each year after you retire in 30 years?A company has issued a 20 year bonds, with a face value of $50,000 interest at 8% is paid quarterly. If an investor desires to earn 12% compounded quarterly, what would be the purchase price of the bond? $12, 654.40 $42, 563 $35, 062.60 $ 34, 900.80