Problem on zero bond price
You are provided a bond which will pay no interest however will return the par value of $1,000 20 years from now. When your needed return for this bond is 7.35%, what are you willing to reimburse or pay?
Expert
Zero-coupon bond price = F (1 + i)-n = $1,000 (1 + .0735)-20 = $1,000(.2420800635) = $242.08
Can someone help me in finding out the precise answer from the given options. A raise in the cost of resource inputs would lead to the: (1) Shift of the supply curve to right. (2) Shift of the supply curve to left. (3) Movement upward all along the su
I have a problem in economics on Resources and Products Flow Model. Please help me in the following question. The firm which is the sole buyer of a specific good or resource is the: (i) Monopsonist. (ii) Conglomerate. (iii) Price discriminator. (iv) P
Suppose an economy is in equilibrium condition. Its consumption function is C = 300 +0.8Y and investment is 700 find out its national income.
Jim a vegetarian. All he eats is lettuce and cheese. His original budget constraint and utility maximizing bundle are illustrated in the graph shown below: Q : Collective Bargaining-Check off When a collective bargaining contract comprises a ‘check-off provision’ then: (1) Union workers can be fired if they don’t meet production quotas. (2) Firms collect the union dues by deducting them from pay-checks. (3) Workers are needed to do just t
When a collective bargaining contract comprises a ‘check-off provision’ then: (1) Union workers can be fired if they don’t meet production quotas. (2) Firms collect the union dues by deducting them from pay-checks. (3) Workers are needed to do just t
In efforts to offset specific failures of the private sector, government policy within a mixed-capitalist economy would be least reasonably intended at an objective of: (1) creating externalities to spread the costs of various activities across all me
When the interest rate is 5%, in that case the present value of a perpetuity which pays $500 each year beginning a year by today equals: (1) $500. (2) $1000. (3) $2500. (4) $5000. (5) 10,000. Can s
Monopolistic competition is NOT described by: (1) P = MSC. (2) large numbers of sellers. (3) P = LRATC. (4) MR = MC. (5) differentiated products. Hey friends please give your opinion for the problem of Econ
Total revenue can be measured such as area: (1) 0bcq1. (2) 0adq2. (3) 0Peq2. (4) aPed. (5) None of the above. Q : Characterized purely-competitive markets Purely-competitive markets are NOT characterized through: (i) substantial barriers to entry and exit. (ii) many small potential buyers. (iii) many small potential sellers. (iv) homogeneous products. (v) zero long-run economic profits. Discover Q & A Leading Solution Library Avail More Than 1461164 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1937701 Asked 3,689 Active Tutors 1461164 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
Purely-competitive markets are NOT characterized through: (i) substantial barriers to entry and exit. (ii) many small potential buyers. (iii) many small potential sellers. (iv) homogeneous products. (v) zero long-run economic profits. Discover Q & A Leading Solution Library Avail More Than 1461164 Solved problems, classrooms assignments, textbook's solutions, for quick Downloads No hassle, Instant Access Start Discovering 18,76,764 1937701 Asked 3,689 Active Tutors 1461164 Questions Answered Start Excelling in your courses, Ask an Expert and get answers for your homework and assignments!! Submit Assignment
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