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Zach is trying to figure out the price he should pay for a Corporate Bond with a $10,000 face value. His minimum acceptable return is 10% per year, compounded semi-annually. Sally, the company representative wants him to pay $8,500 for the bond and in return he will get a 6% coupon rate semiannually and the face value of the bond after 8 years. Will the investment meet Zach’s minimum acceptable return of 10% or is Sally trying to pull a fast one? SHOW WORK
Under what conditions are the two strategies of low cost and high quality a trade-off? Under what conditions would the efficient frontier not be an appropriate picture of the two strategies?
Put aggregate supply (AS) and aggregate demand (AD) together to get to equilibrium output (GDP) and price level (CPI). Calculate and graph what happens to government (G), AD, GDP, and Prices if the government increases government spending by 100 bill..
You had chosen to take a trip during spring break if you had not gone you would either work a temporary job or studied for exams the opportunity cost of your trip.
Suppose Roberta's only consumer choice is to pick the optimal amount of blue pens and black pans. No matter what combination of blue and black pens Roberta is holding, she is always willling to give up one black pens for two blue pens. What is a util..
xplains with aid of a diagram, effect that such legislation will have/has had on equilibrium price and quantity of labour employed. Also illustrate what can be done to alleviate/remedy any problem that may rise from above laws.
Give two examples of externalities connected with consumption and saving that can be used in arguing for policies aimed at increasing U.S. personal saving. Explain why they can be used that way. Explain what a traditional I.R.A. is. Explain how it in..
What is globalization (please define it both as a process and outcome)? What factors can you identify in explaining why globalization occurred? How do you assess its impact upon both rich countries and poor ones, in particular, the issue of inequalit..
What do you think about the Hispanic way of greeting people? How does the Hispanic way of greeting people compare to how people greet each other in non-Hispanic cultures?
Suppose there is an increase in the saving rate. This increase in the saving rate will cause an increase in which of the following once the economy reaches its new steady state equilibrium?
What must happen to induce foreign residents to buy the bonds? If foreign residents desire to purchase the bonds, what is the most important source of dollars to buy them?
Would you say the firm is price discriminating? Why or why not, and if yes what type of price discrimination is this? If people began trading these hard drives freely between the US & Mexico, what would happen to the price?
Niki owns Solar Corporation. Niki uses Solar’s funds to pay her personal expenses, creates Pure Green Corporation to engage in the same business as Solar, transfers Solar’s assets to Pure Green, and petitions Solar into bankruptcy. These most likely ..
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