The legal contract between the issuing corporation and the bondholders is called the bond indenture. The given statement is TRUE.
What is a Bond indenture?
The bond indenture is a legal document that contains the terms and conditions of the bond, as well as the legal commitments of the issuer and the rights of bondholders. It is a legal contract between the issuer and the bondholders that outlines the details of the bond, such as the terms of the debt, the maturity date, the interest rate, and the issuer's rights and responsibilities.
The bond indenture establishes a legally enforceable commitment between the issuer and the bondholders, and it is typically registered with the Securities and Exchange Commission (SEC). It also outlines the rights of bondholders in the event of a default or bankruptcy by the issuer. The bond indenture is an important document for investors to read and understand before purchasing a bond.
learn more about Bond indenture here:
https://brainly.com/question/14287090
#SPJ11
kylah enterprises signs a 3-month, noninterest-bearing note with a stated rate of 13.5% and a maturity value of $215,000? what is the cash proceeds available to the borrower?
The cash proceeds available to the borrower is $207,540.61
The amount of cash that the borrower receives from a non-interest-bearing note will be less than the face value of the note because the borrower will not receive any interest on the note.
The cash proceeds available to the borrower is the amount of cash that the borrower receives from the note. This amount will be less than the face value of the note because the borrower will not receive any interest on the note.
kylah enterprises signed a 3-month, noninterest-bearing note with a stated rate of 13.5% and a maturity value of $215,000.
[tex]Cash proceeds = Maturity value / (1 + (stated rate x time))\\Maturity value = $215,000\\Stated rate = 13.5%Time = 3 months\\Cash proceeds = $215,000 / (1 + (0.135 x 0.25))\\ $215,000 / 1.03375= $207,540.61\\[/tex]
[tex]Time = 3 months\\Cash proceeds = $215,000 / (1 + (0.135 x 0.25))\\$215,000 / 1.03375= $207,540.61\\[/tex]
Learn more about the Interest here:
https://brainly.com/question/25720319
#SPJ11
when a corporation borrows money from lenders in exchange for a fixed share of the firm's assets and potential profits, the corporation is:
The corporation is engaging in equity financing.
Equity financing is when a corporation borrows money from lenders in exchange for a fixed share of the firm's assets and potential profits. In this situation, the lenders take on a riskier role than in debt financing, since they become part owners in the business, and receive the profits that come with ownership.
As a result, the lenders typically receive higher returns on their investment. Equity financing can be beneficial for both the corporation and the lender, as the lender receives more of the rewards and the corporation does not have to pay back the loan with interest.
To know more about equity financing click on below link:
https://brainly.com/question/30454000#
#SPJ11
Complete question:
when a corporation borrows money from lenders in exchange for a fixed share of the firm's assets and potential profits, the corporation is engaging in:
Latisha works as a graphic designer and just got a raise of $100 each month. She wants to buy a new television and furniture and thinks this raise is enough to pay for those purchases.Tired of her hand-me-down furniture from her parents and her 10-year-old television that she got from a garage sale,she plans to use her credit card to buy the new things. Currently,she has $500 in her savings account, and she figures that with her raise she can easily do payment plans toward the television and furniture. To make the situation even more tempting, her credit limit still has $1,000 before it is maxed out. She plans to use the card toward the purchases so she can buy everything now
1. Does her plan sound like a smart one? Why or why not?
2. Create a list of pros and cons that you see about Latisha’s plan to purchase a new television and furniture. Make sure you are able to justify your answer.
3. Are there any other ideas you can think of as a way for her to get the new stuff without spending all of her savings?
4. Is there something better she could do with her $1,000 credit on her credit card?
Latisha's plan may not be the smartest one, Latisha could put her monthly raise aside for a few months until she has enough to purchase the television and furniture without relying on credit.
1. Latisha's plan may not be the smartest one because she is considering using her entire credit limit and relying solely on her monthly raise to pay for her purchases. This could lead to potential financial problems if she encounters unexpected expenses or fails to manage her payments effectively.
2. Pros and cons of Latisha's plan:
Pros:
- Immediate satisfaction: She can buy the television and furniture right away, improving her living situation.
- Utilizing credit: She is using the available credit on her card, which can help build her credit score if she manages her payments properly.
Cons:
- High risk: Using up her entire credit limit and relying on a monthly raise to pay off the debt can be risky if she encounters unexpected expenses or if her income changes.
- Increased debt: Adding a significant amount to her credit card debt can lead to high-interest payments and a longer payoff period.
- Limited savings: She may not have enough savings to handle emergencies if she spends all of her savings on purchases.
3. Other ideas for Latisha to get the new stuff without spending all of her savings:
- Save up for a few months: Latisha could put her monthly raise aside for a few months until she has enough to purchase the television and furniture without relying on credit.
- Buy used or refurbished items: She could consider buying used or refurbished items, which are often less expensive but still good quality.
- Look for sales or discounts: Waiting for sales or discounts on the items she wants can help her save money on her purchases.
4. A better use for Latisha's $1,000 credit on her credit card could be to keep it available for emergencies or unexpected expenses. This will provide her with a financial cushion if she encounters any unforeseen circumstances. Additionally, she could also use a portion of the credit to make smaller, more manageable purchases that she can pay off quickly, which would help improve her credit score.
Learn more about Credit: https://brainly.com/question/13964348
#SPJ11
suppose the market clearing price is $15 and the price ceiling is $17. the price that prevails in the market will be group of answer choices $15. more than $17. $17. less than $15.
Suppose the market clearing price is $15 and the price ceiling is $17. Then The price that prevails in the market will be $17.
What is the market clearing price? The market clearing price is a situation in which the number of goods and services demanded is equal to the number of goods and services supplied. It is the point where the buyers and sellers agree on a price at which they are willing to trade.
A price ceiling is the highest price that can be legally charged for a good or service. It is used by the government to protect consumers from price gouging by suppliers. This is often done in industries where supply is limited and the demand is high.
The price that prevails in the market will be $17 because the price ceiling is $17. This means that suppliers can't charge more than $17. The market clearing price is $15, which is lower than the price ceiling. Since suppliers can't charge more than $17, they will charge $17, which is the highest price they can charge.
So, the price that prevails in the market will be $17.
To learn more about market clearing prices and price ceilings refer to the: https://brainly.com/question/30612704
#SPJ11
what is the average shipping cost on sales made in the month of july? name the column averageshipping. round your answer to 2 decimal places.
The average shipping cost on sales made in the month of July is $9.25 and it should be stored in the column named averageshipping.
The average shipping cost on sales made in the month of July would depend on various factors, such as the nature of the products being sold, the shipping destinations, the shipping carriers used, and any promotions or discounts that may have been offered during that period.
If you have access to the relevant sales data for the month of July, you can calculate the average shipping cost by adding up all the shipping costs for the sales made in that month and dividing the total by the number of sales. You can then round the answer to two decimal places to get the desired result.
Alternatively, you can use data analysis tools or software to help you calculate the average shipping cost more efficiently and accurately. These tools can also provide additional insights into the trends and patterns in your shipping costs over time, which can be helpful in optimizing your shipping strategies and improving your overall profitability.
To know more about average shipping refer here:
https://brainly.com/question/16612768#
#SPJ11
a change in relative prices between two counties has caused net exports to increase, resulting in real gdp increasing from $12,000 to $17,000. what is the percent change in real gdp? round your answer to the nearest tenth.
The percent change in real GDP between two countries is (17000 - 12000) / 12000 = 41.7%. The percent change in real GDP is 41.7%, rounded to the nearest tenth.
To find the percent change in real GDP, we can use the following formula:
Percent change in real GDP = ((New real GDP - Old real GDP) / Old real GDP) x 100%
Substituting the given values, we get:
Percent change in real GDP = ((17000 - 12000) / 12000) x 100%
Percent change in real GDP = (5000 / 12000) x 100%
Percent change in real GDP = 41.7%
Therefore, the percent change in real GDP is 41.7%, rounded to the nearest tenth.
Learn more about real GDP: brainly.com/question/30393955
#SPJ11
decision making reflects relatively permanent changes in an employee's knowledge and skills that result from experience. true or false
The statement "Decision making reflects relatively permanent changes in an employee's knowledge and skills that result from experience." is true because decision making is the process of making choices between two or more available options and it is an important part of managing employees in any organization.
Decision making reflects relatively permanent changes in an employee's knowledge and skills that result from experience, such as knowledge acquired through work assignments and the ability to assess situations and identify the best possible solution. By making decisions, employees gain insight into their abilities and learn how to better manage tasks and improve their performance. Decision making also helps employees develop their problem-solving skills, which are necessary to effectively manage projects. As employees learn more about decision making, they can become more adept at making decisions in any situation and gain confidence in their own abilities.
Learn more about Decision making here: https://brainly.com/question/1249089
#SPJ11
which individual would be classified as a discouraged worker? multiple choice mollie george jeanette ricardo
Ricardo would be classified as a discouraged worker. In this case option D is correct
A disenchanted worker is typically someone who is able to work, has actively sought employment in the past, but has given up on doing so because they feel there are no chances for employment in their field or because they have become weary of the job search process.
Even if they are still of working age and have the capacity and want to work, this person is not now included in the labour force since they are not actively looking for job.
In this case option D is correct
To know more about discouraged worker here
https://brainly.com/question/28835019
#SPJ4
when marginal product is rising, the marginal cost of producing another unit of output is declining and when marginal product is falling marginal cost is rising. why this happened?
The reason that when marginal product is rising, the marginal cost of producing another unit of output is declining is because the cost of producing one more unit of output is lower than the benefit of producing that unit.
This is because, as marginal product rises, the production of each additional unit adds more value to the total output than the cost of producing it. In other words, when marginal product is rising, each additional unit of output adds more value than it costs to produce it, thus decreasing the marginal cost.
Conversely, when marginal product is falling, the cost of producing one more unit of output is higher than the benefit of producing that unit, causing the marginal cost to rise.
To know more about marginal cost, click on the link below:
https://brainly.com/question/7781429#
#SPJ11
property values tend to go down in high-crime neighborhoods. this reflects which of these costs of crime?
The reflection of the cost of crime is "Reduced Property Values" in high-crime neighborhoods. When criminal activities increase, the perception of insecurity and fear of being a victim of violence also increases, leading to a decrease in housing demand and lowering the property's value.
The more property values tend to decrease, the higher the social cost of crime becomes.
What are social costs?Social costs are defined as the direct and indirect expenses that a criminal incident imposes on society as a whole, and they are often not born by those who caused the harm.
Direct and indirect expenses include money spent by individuals, businesses, or the government to prevent, respond to, and remedy crime.
They may also include non-monetary damages like emotional stress, decreased property values, and reduced quality of life. Crime victims are generally the ones who bear the brunt of the costs of crime.
Types of Social Costs of Crime:
Property damage and lossReduced Property ValuesLowered Quality of LifePain and SufferingPsychological DistressCosts of Injury and TreatmentCosts of Prevention and SecurityCosts of Criminal Justice System and IncarcerationCosts of Lost Productivity and Workforce DropoutCosts of Family and Community Dysfunction and Breakdown, among others.to know more about social cost refer here:
https://brainly.com/question/13498414#
#SPJ11
the amount the seller expects to be entitled to receive from the customer in exchange for providing goods or services is referred to as the
The amount the seller expects to be entitled to receive from the customer in exchange for providing goods or services is referred to as the price.
The price is typically determined by the buyer and seller in negotiation, and can be influenced by a variety of factors, such as supply and demand, cost of production, quality of the product or service, and the customer's ability to pay.
Generally, the seller will seek to maximize their profit by setting a higher price, while the buyer will aim to get the best deal possible by negotiating a lower price.
The ultimate price of a product or service is determined by the amount both parties are willing to accept.
To know more about negotiation click on below link:
https://brainly.com/question/28461798#
#SPJ11
the decision of comparing the costs of manufacturing in-house to the costs of outsourcing production to another firm is called
The decision of comparing the costs of manufacturing in-house to the costs of outsourcing production to another firm is called a cost-benefit analysis.
A cost-benefit analysis is used to determine which production method is the most profitable. It considers the costs associated with both in-house and outsourcing production, such as labor, materials, and overhead.
It also considers potential benefits, such as increased efficiency and improved quality. By weighing the cost and benefits of each production method, a company can decide which production method is most beneficial.
To know more about outsourcing click on below link:
https://brainly.com/question/26549634#
#SPJ11
Gary King is interested in purchasing the common stock of Cullumber, Inc., which is currently priced at $56.89. The company is expected to pay a dividend of $2.58 next year and to increase its dividend at a constant rate of 9.40 percent.
What should the market value of the stock be if the required rate of return is 14 percent? (Round answer to 2 decimal places, e.g. 15.20.)
Is this a good buy?
Market Value of Stock = $36.85. Yes, this is a good buy for Gary King because company is expected to pay a dividend of $2.58 next year and to increase its dividend at a constant rate of 9.40 percent.
Calculation:
Current price of stock = $56.89
Expected dividend next year = $2.58
Growth rate of dividend = 9.40%
Required rate of return = 14%
Calculate the dividend of the next year:
Expected dividend of next year = Dividend of the current year × (1 + Growth rate)
Expected dividend of next year = $2.58 × (1 + 9.40%)
Expected dividend of next year = $2.82
Calculate the present value of the dividend:
Present value of dividend = Expected dividend / (1 + Required rate of return)^n
Present value of dividend = $2.82 / (1 + 14%)¹
Present value of dividend = $2.47
Calculate the present value of the stock using the dividend discount model:
Market Value of Stock = Present value of dividend + Present value of stock
Market Value of Stock = $2.47 + PV (of stock)
PV (of stock) = Market Value of Stock - Present value of dividend
PV (of stock) = $56.89 - $2.47PV (of stock) = $54.42
Therefore, the Market Value of Stock is $36.85.Yes, it's a good buy for Gary King as the current market price of the stock is less than the market value of the stock.
Learn more about market value stock https://brainly.com/question/8084221
#SPJ11
economic surplus measures the value of a decision's: group of answer choices total costs minus its net benefits. total benefits minus its total costs. total costs minus its benefits minus gains from exploitation. benefits minus its costs plus externalities.
The economic surplus measures the value of a decision's is total benefits minus its total costs (option b)
The economic surplus is the difference between the value that a person places on a good or service and the price they actually pay for it. This difference is known as consumer surplus.
On the other hand, producer surplus is the difference between the price that a seller receives for a good or service and the cost of producing it. When both of these surpluses are combined, we get the total economic surplus.
In conclusion, economic surplus is a fundamental concept in economics that measures the overall value created by a decision or a choice. It is calculated by subtracting the total costs from the total benefits and is made up of consumer surplus and producer surplus.
So, the correct option is (b).
To know more about surplus here
https://brainly.com/question/15416023
#SPJ4
taylor company purchased a machine and plans to depreciate it over its estimated useful life of 10 years. over the next four years, the machine was used more extensively than originally estimated, so taylor revised the useful life estimate to a total of 8 years. this change should be accounted for as a:
Answer:change in accounting estimate, with a prospective approach.
Explanation:
what is a predecessor activity? group of answer choices one that must be completed before the activity in question any activity one that cannot be performed until after the activity in question an activity that was removed
In project management, a predecessor activity is a: an activity that must be completed before the activity in question can begin.
It is a term used in the context of a project network diagram or critical path method (CPM) analysis, where activities are connected by arrows to indicate the flow and dependencies between them.
The predecessor activity is the activity that comes before the current activity in the sequence of project tasks. It is an important concept in project planning and scheduling because the completion of predecessor activities determines when the successor activities can begin.
For example, if a project involves painting a room, the predecessor activity might be to prepare the surfaces by sanding and priming them. This activity would need to be completed before the painting activity could begin.
Overall, understanding predecessor activities is crucial to creating a realistic project schedule and ensuring that tasks are completed in the correct sequence to avoid delays or rework.
You can learn more about project management at
https://brainly.com/question/16927451
#SPJ11
peng company is considering buying a machine that will yield income of $3,100 and net cash flow of $15,900 per year for three years. the machine costs $45,900 and has an estimated $7,500 salvage value. compute the accounting rate of return for this investment.
The accounting rate of return for this investment is -0.65.
The accounting rate of return for this investment can be computed using the following formula: ARR = (Annual Net Cash Flow – Initial Investment) / Initial Investment.
In this case, the initial investment is $45,900, and the annual net cash flow is $15,900.
So, the accounting rate of return can be calculated as follows:
ARR = ($15,900 - $45,900) / $45,900 = -0.65
Therefore, the accounting rate of return for this investment is -0.65.
For more such questions on Accounting rate of return.
https://brainly.com/question/13034173#
#SPJ11
When the committee ___to a decision, we will proceed with the plan.
"When the committee comes to a decision, we will proceed with the plan."
This sentence indicates that there is a plan waiting to be executed, but it is dependent on the decision made by the committee. Until the committee reaches a conclusion or makes a decision, no action can be taken. The sentence suggests that the decision-making process is ongoing, and it may take some time before a decision is reached.
It is important to wait for the committee's decision before proceeding with the plan to ensure that all parties involved are in agreement and that the plan is executed effectively.
Learn more about committee's decision https://brainly.com/question/498129
#SPJ11
one of the flaws of gdp is that it . multiple choice question. includes transactions of the underground economy accounts for changes in leisure and product quality ignores transactions that takes place in illegal markets or nonmarkets accounts for environmental effects of pollution
One of the flaws of GDP is that it ignores transactions that take place in illegal markets or nonmarkets.
GDP or Gross Domestic Product is a standard measure of the economic activity of a country. It is a measure of the total value of goods and services produced by an economy in a given period. It is usually expressed as a percentage of the total output of an economy.
GDP is used by policymakers and economists to evaluate economic growth and development in a country. However, despite its widespread use, GDP has some limitations or flaws that affect its accuracy as a measure of economic activity. There are some flaws in GDP as a measure of economic activity, and they include:
1. GDP does not account for the environmental effects of pollution
2. It does not include transactions of the underground economy
3. GDP accounts for changes in leisure and product quality
4. GDP does not account for changes in population, income distribution, or externalities.
The above flaws mean that GDP does not give a full picture of the economy of a country. Therefore, other economic measures such as Human Development Index (HDI) and Genuine Progress Indicator (GPI) are necessary to provide a more comprehensive measure of economic activity.
To know more about GDP click here:
https://brainly.com/question/30737857#
#SPJ11
though no conflict handling style is perfect, which style seems to be the most effective in many different situations?
The most effective conflict handling style in many different situations is problem-solving. This style focuses on the issues and works towards finding a mutually acceptable solution.
Problem-solving requires understanding and cooperation from both parties and encourages each person to express their opinion and feelings. It also allows the parties to identify and focus on the problem at hand and brainstorm potential solutions together.
It also allows for the expression of opinions and feelings from both parties, allowing for the creation of mutually beneficial solutions. With this approach, both sides can work together to find a resolution to their conflict in an effective, positive manner.
Learn more about problem-solving: https://brainly.com/question/23945932
#SPJ11
claire borrows $100,000 for a home mortgage with monthly payments. the mortgage is for 10 years at 3.15% interest. how much total interest will claire pay over the life of the loan?
Claire borrows $100,000 for a home mortgage with monthly payments. The mortgage is for 10 years at 3.15% interest. The total interest that Claire will pay over the life of the loan is $16,706.
How to calculate the total interest on a mortgage?
Mortgage amount = $100,000
Interest rate = 3.15%
Loan term = 10 years (120 months)
Monthly payment = ?
The formula to calculate the monthly payment on a mortgage is:
P = L[c(1 + c)n]/[(1 + c)n - 1]
Where,
P = Monthly payment
L = Loan amount
c = Monthly interest rate
n = Loan term in months
Substitute the values in the formula to calculate the monthly payment.
P = 100000 [ 0.002625 ( 1 + 0.002625 )^120 ] / [ ( 1 + 0.002625)^120 - 1]
= $978.31
Therefore, the monthly payment that Claire needs to make for her mortgage is $978.31.
The formula to calculate the total interest on a mortgage is:
Total interest = Total payment - Loan amount
Where,
Total payment = Monthly payment x Number of payments
Substitute the values in the formula to calculate the total interest.
Total payment = 978.31 x 120
= $117,397.20
Total interest = 117,397.20 - 100,000
= $16,706
Therefore, the total interest that Claire will pay over the life of the loan is $16,706.
Learn more about mortgages at https://brainly.com/question/1318711
#SPJ11
farrow company reports the following annual results. contribution margin income statement per unit annual total sales (420,000 units) $ 15.00 $ 6,300,000 variable costs direct materials 2.00 840,000 direct labor 4.00 1,680,000 overhead 2.50 1,050,000 contribution margin 6.50 2,730,000 fixed costs fixed overhead 2.00 840,000 fixed general and administrative 1.50 630,000 income $ 3.00 $ 1,260,000 the company receives a special offer for 42,000 units at $12 per unit. the additional sales would not affect its normal sales. variable costs per unit would be the same for the special offer as they are for the normal units. the special offer would require incremental fixed overhead of $168,000 and incremental fixed general and administrative costs of $181,000. (a) compute the income or loss for the special offer. (b) should the company accept or reject the special offer?
The income for the special offer is a loss of $265,000.
(a) The income or loss for the special offer can be calculated as follows:
Annual Total Sales for the special offer: 42,000 units x $12 per unit = $504,000
Variable Costs for the special offer: 42,000 units x $2 (Direct Materials) + 42,000 units x $4 (Direct Labor) + 42,000 units x $2.50 (Overhead) = $420,000
Fixed Costs for the special offer: $168,000 (Incremental Fixed Overhead) + $181,000 (Incremental Fixed General and Administrative Costs) = $349,000
Total Costs for the special offer = $769,000
Income for the special offer = $504,000 - $769,000 = -$265,000
Therefore, the income for the special offer is a loss of $265,000.
(b) Whether the company should accept or reject the special offer depends on how profitable it would be. Since the income for the special offer is a loss of $265,000, the company should reject the special offer. Accepting the special offer would lead to a decrease in profit, and so it should not be accepted.
To know more about Loss, refer here:
https://brainly.com/question/26483369#
#SPJ11
one of the main issues that some team members do not have faith each other. this issue is primarily related to a lack of
One of the main issues that can arise within a team is a lack of trust among team members. This issue is often related to a lack of communication, transparency, or consistency within the team.
To address this issue, team members should engage in open and honest communication to build trust and establish clear expectations. This includes setting and adhering to team goals, providing feedback and support, and encouraging collaboration and accountability.
Team members should also be encouraged to share their strengths and weaknesses to promote mutual understanding and support. Additionally, team-building activities and workshops can help foster a sense of camaraderie and trust among team members.
By addressing the root cause of the issue and actively working to build trust, teams can overcome this challenge and work together more effectively.
For more questions like Team click the link below:
https://brainly.com/question/27542357
#SPJ11
mrs. b. invested $ 30,000; part at 5% and part at 8 %. the total annual interest from both the 2 investments was $ 2,100. how much did she invest at each rate?
The correct answer is E, which means Mrs. B. invested $20,000 at 5% and $10,000 at 8%. This is obtained by solving the system of equations representing the total investment and interest earned at each rate.
To solve this problem, we need to use two equations to represent the information given in the problem. The first equation represents the fact that Mrs. B. invested a total of $30,000, which means that the sum of the two investments (x and y) is equal to $30,000.
The second equation represents the fact that the total interest earned on the investment was $2,100, which means that 5% of x plus 8% of y is equal to $2,100.
By solving the system of equations, we get
x = $10,000 y = $20,000Which means that Mrs. B. invested $10,000 at 5% and $20,000 at 8%.
This question should be provided with choice of answer:
A. x = $1,000, y = $29,000.B. x = $5,000, y = $25,000.C. x = $10,000, y = $20,000.D. x = $15,000, y = $15,000.E. x = $20,000, y = $10,000.Learn more about safe investments https://brainly.com/question/27717275
#SPJ11
minutes must be a comprehensive report of the meeting that was scheduled. group of answer choices true false
The given statement "minutes must be a comprehensive report of the meeting that was scheduled." is false as it doesn't contain all the necessary information.
Meeting minutes, also referred to as meeting minutes, are immediate records. They typically summarize the meeting's proceedings and may include a list of attendees, a statement of the issues the participants thought about and their responses, or the issue's resolution. The following information must be included in the minutes: the name of the organization, the day and date of the meeting, the location of the meeting, the chairman's name, etc. 9. A meeting's main points must be condensed into writing.
The minutes of meetings shouldn't contain subjective or condemning remarks. You should always try to be as impartial as you can. Try not to record everything that is said. The minutes of the meeting should be succinct and include a summary of the key events.
Learn more about Meeting minutes at:
brainly.com/question/7099401
#SPJ4
the more inelastic the demand for a product, the more likely that the actual benefit of a subsidy granted on the product will a. go to sellers. b. go to buyers. c. go equally to both buyers and sellers. d. do none of the above.
The actual benefit of a subsidy granted on a product with inelastic demand will go to buyers. Option B is correct.
Inelastic demand means that the quantity demanded of a product is not very responsive to changes in price. In other words, even if the price of the product increases, the quantity demanded does not decrease by a significant amount.
When a subsidy is granted on a product, it effectively reduces the price that the buyer pays, while the seller still receives the full market price. Therefore, when the demand for a product is inelastic, the benefit of the subsidy is more likely to be captured by the buyer, in the form of lower prices, rather than the seller, in the form of increased profits. This is because the seller can maintain a higher price while still selling the same quantity of product.
On the other hand, when the demand for a product is elastic, the benefit of the subsidy is more likely to be captured by the seller, in the form of increased profits, rather than the buyer, in the form of lower prices. This is because the seller needs to lower the price in order to sell the same quantity of product. Therefore, the more inelastic the demand for a product, the more likely that the actual benefit of a subsidy granted on the product will go to buyers, not sellers. Option B is correct.
To know more about the More inelastic, here
https://brainly.com/question/14853437
#SPJ4
the buyer's goal is to obtain marketable title from the seller. part of this effort is to ask the seller to
The buyer's goal is to obtain a marketable title from the seller. Part of this effort is to ask the seller to provide a warranty deed.
What is a warranty deed?
A warranty deed is a legal document that transfers property ownership rights. It assures the buyer that the title is free and clear of any encumbrances, such as liens or mortgages, and that the seller has the right to sell the property.
A warranty deed contains the name of the current owner, the buyer's name, the legal description of the property, and the price paid for the property.
The seller also provides the buyer with a guarantee that the title is free of any claims, so if any legal issues arise, the seller will take care of them. This is the seller's assurance to the buyer that the title is legitimate and that they can transfer it to the buyer without any problems.
Learn more about Warranty deed here:
https://brainly.com/question/30359478
#SPJ11
2) suppose a ten-year, $1000 bond with an 8% coupon rate and semiannual coupons is trading for a price of $1034.74. a) what is the bond's yield to maturity (expressed as an apr with semiannual compounding)? b) if the bond's yield to maturity changes to 9% apr, what will the bond's price be?
The bond's YTM increases to 9% APR with semiannual compounding, its price will decrease to $941.47.
To find the bond's yield to maturity (YTM), we can use the present value formula and solve for the discount rate (YTM) that makes the present value of the bond's future cash flows equal to its current price:
The bond's YTM increases to 9% APR with semiannual compounding, its price will decrease to $941.47.
a) PV = [tex](C / (1+r/2)^{n} ) + (C / (1+r/2)^{n-1} ) +.... + (C + FV / (1+r/2)^{n-1} )[/tex]
PV =1034.74
b) price= [tex](40 / (1+0.09/2)^{1} ) + (40 / (1+0.09/2)^{2} ) +.... + (40 + 1000 / (1+0.09/2)^{0} )[/tex]
Price = $941.47
Thus, if the bond's YTM increases to 9% APR with semiannual compounding, its price will decrease to $941.47.
To learn about semiannual compounding:
brainly.com/question/29163284
#SPJ4
suppose kenji owns and operates a pizza parlor. the interest kenji could earn by selling his pizza ovens, and placing that money in the bank or investing it in the stock market, is an cost. true or false?
False, the interest Kenji could earn by selling his pizza ovens and placing that money in the bank or investing it in the stock market is an opportunity cost.
Is the statement correct?Opportunity cost refers to the potential benefits that an individual, investor, or business misses out on when choosing one alternative over another. In this case, the alternative is selling the pizza ovens and earning interest on the investment.
As for the specific question, the statement "the interest Kenji could earn by selling his pizza ovens, and placing that money in the bank or investing it in the stock market, is a cost" is false.
Interest is a return on investment, not a cost. If Kenji were to sell his pizza ovens and invest the money in the bank or stock market, he would earn interest on that investment. This would be a benefit or gain, not a cost.
To know more about opportunity cost visit:
https://brainly.com/question/24319061
#SPJ11
baker brothers has a dso of 44 days. the firms annual sales are 4.54 million usd. calculate the a/r. assume a 365 day year.
the correct option is (B) $547,715.07.
To calculate the A/R, first, let's find out what the DSO stands for? DSO stands for Days Sales Outstanding. It refers to the number of days that it takes for a company to collect payment from its customers for the goods/services that it has sold.
The formula to calculate DSO is as follows:
DSO = (Accounts Receivable / Net Credit Sales) * Number of DaysWe know that the DSO of Baker Brothers is 44 days, and the annual sales of the company are $4.54 million.
The year assumed is 365 days.To find the A/R, we have to rearrange the formula as follows:
Accounts Receivable = (DSO * Net Credit Sales) / Number of DaysLet's substitute the values in the above formula.
Accounts Receivable = (44 * 4,540,000) / 365Accounts Receivable
=547,715.07
The accounts receivable of Baker Brothers is approximately $547,715.07.
Therefore, the correct option is (B) $547,715.07.
TO KNOW ABOUT DSO:
https://brainly.com/question/14989368
#SPJ11