Define Yield to Maturity
Describe what do you mean by the term Yield to Maturity?
Expert
Yield to Maturity:
• The yield to maturity of a bond is the discount rate which makes the current value of the coupon and principal payments equivalent to the price of the bond.
• It is the yield which the investor earns when the bond is held to maturity and all the coupon and principal payments are prepared as promised.
• A bond’s yield to maturity modifies daily as interest rates rise or reduce.
• We can evaluate a bond’s yield to maturity by employing a trial-and-error approach.
Pure economic profits do not arise due to: (w) monopoly power. (x) capital owners’ receipts of normal accounting returns to investment. (y) risk and uncertainty. (z) entrepreneurial innovation. How can I solv
Can there be certain fixed cost in long run? If not why? Answer: No, there can’t be any fixed cost in long run. The main reason is that there is no fixed inpu
I have a problem in economics on Problem on diminishing returns. Please help me in the following question. The principle of diminishing marginal utility is a contrast of the law of: (1) Comparative consumer benefit. (2) Diminishing returns. (3) Effective explanation.
In an economy the MPC is 0.75. Investment expenses in the economy raise by Rs.75 crore. Compute total increase in national income.
When a price hike from $15 to $20 for DVD disks causes sales of DVD players to reduce from 100 to 50 units, in that case the coefficient of cross-elasticity of demand among these goods is approximately: (w) 1/10. (x) 10. (y) 7/3. (z)
Maximizes total revenue by a monopolist where marginal revenue: (w) equals marginal cost. (x) is rising. (y) is zero. (z) is negative. Hey friends please give your opinion for the problem of
In short run, the supply of Pinot Noir from the viewpoints of oenophiles who fancy it would be influenced least by: (i) The offspring of late baby boomers arriving the legal age to buy alcohol. (ii) Imposition of a maximum tax for each and every bottle of wine generat
Features of pure competition do not comprise: (w) homogeneous products.(x large numbers of potential buyers. (y) important barriers to entry. (z) large numbers of potential sellers. Can anybody suggest me the prope
Profit maximization within the long run does not need a firm to: (i) produce in accord along with the law of equal marginal advantage. (ii) adjust the resource mix till MPPL/w = MPPK/r. (iii) minimize cost for its selected level of output. (iv) produc
Primary deficit: Primary deficit is the difference among fiscal deficit and interest payments prepared by the government Primary deficit = Fiscal deficit – Interest payments
18,76,764
1934398 Asked
3,689
Active Tutors
1457779
Questions Answered
Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!!