Making the assumption of no compounding interest, suppose you purchase a perpetuity bond from Vandalay Industries for $4,000 with an annual coupon rate of 3%. Specify all answers to the nearest dollar and assume a discount rate equal to that of the current interest rate.
1. What is the yearly return on your $4,000 investment?
yearly return: $______________
2. Changes in the economy push interest rates up from 3% to 5%. For how much can you sell your bond following this change in market interest rates?
price of bond: $______________
3. Suppose that interest rates instead change from 3% to 1%. For what price will you be able to sell your bond following this change in market interest rates?
price of bond: $______________
Answer:
yearly return: $120
price of bond: $2,400
price of bond: $12,000
Explanation:
To solve for the yearly return on the bond, simply multiply the value of the bond by the annual coupon rate. This yields
$4000 × 0.03 = $120
To calculate the price of a perpetuity bond following changes in the market interest rate, use the formula
price of bond = interest payment / yield
So if the yield on bonds is now 5% , the price of your existing bond from Vandalay Industries, which pays only 3% , falls to $2{,}400 since
$120 / 0.05 = $2400
However, if market interest rates fall to 1% , then the 3% yield on your current bond becomes very attractive to investors.
$120 / 0.01 = $12000
As such, investors would pay $12,000 for your bond when interest rates fall to 1% .
Although perpetuities may seem to be an unusual form of investment, note that the pattern of the bond price varying inversely with interest rates is common to other types of bonds.
Considering the heart-breaking news about educational field trip related accidents, are you in favor or disfavor in continuing this school activity? why?
To make an argument for or against continuing educational field trips, in-depth research must be carried out, to generate greater consistency to the argument.
How to create an argument?It is essential that your position against or in favor of a topic is formed from reliable sources, such as indexes and books, which generate greater reliability and persuasion about your point of view.
Therefore, if you are in favor of continuing educational trips, your argument may be that, in order to avoid accidents, compliance with safety regulations is necessary, and explain about the benefits of the activity.
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who was the most important person in 1860
Answer:
M. Visvesvaraya, Lizzie Borden, Anton Chekhov, Jane Addams, Gustav Mahler and many more.
Explanation:
The potential output of an economy depends on three factors: human capital, physical capital, and technology. For each item below, indicate whether it affects human capital, physical capital, or technology.
a. An improvement in adult literacy
b. An increase in the college student population
c. The development of smaller mp3 players
d. The acquisition of computers by companies
e. New distribution techniques
WORD BANK
human capital
physical capital
technology
Answer:
a. human capital
b. human capital
c. technology
d. physical capital
e. technology
Explanation:
Growth is generated by three main sources: growth of human capital, growth of physical capital, and technological advance. Human capital is the knowledge and skills of the workforce. While human capital need not be measured in schooling, years of education is a good proxy for the quantity of human capital in a society. However, literacy and continued education in one's career also contribute to a society's store of human capital.
Physical capital refers to the physical goods used to produce output. This includes machines, computers, factories, office building, etc. You may have been tempted to categorize computers as technology, but technology refers to the methods and techniques used in various human endeavors, including production. Once developed, a computer itself is a physical machine that helps in the production process.
Technology is the application of knowledge to achieve practical ends. Technological advance explains the increase in output that would be possible if human and physical capital were constant over time. Technological advance often arises from the growth of knowledge, e.g., of management techniques, chemical properties, programming structures, distribution techniques, communication networks, transportation methods, and so forth.
Explain in paragraph form what taxes are and on what types of things we tax.
Answer:
The answer is
→ We tax/use regular taxes.
Explanation:
Taxes are from the government each month who are in need of money. Taxes are always used. If someone decides to stop paying taxes for a while, then it is considered tax fraud. Tax fraud can get you arrested for a good while so I wouldn't risk doing it. Most taxes from the government are the ones we recieve each month when paying our homes. Some other taxes that we usually have to pay is when buying food. For example, if I were to buy a Hotdog at Costco for $1.50, usually sometimes it comes with an extra $0.80-$1.20, depends where you live.
Hope this helped! :^)
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Submitted on: 4/8/2022 at 1:40 PM
A problem or decision facing a group of people two words.
Dividing responsibilities is a problem or a decision that two people may have to face.
What does it mean to divide responsibilities?This is a way of assigning duties or tasks in between two people that are faced with equal duties.
This may lead to a problem on how the work would be delegated between them and also how to go about the tasks.
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Compare and contrast the five explanations for the emergence and persistence of nondemocratic regimes. Are there any explanations you find particularly compelling or unlikely? Why?
Answer:
-small group of individuals exercise power over the state
-government is not constitutionally responsible to the public
-public has little or no role in selecting or removing leaders from office (more leeway for leaders to dictate policies)
-individual freedom is restricted
-might be institutionalized and legitimate
defined by their amount of freedom and equality
i hope this helped
Who started the fight between Hamilton and jefferson
A preschoolers friendships to be based on proximity. True or false?
Answer:
True
Explanation:
Since children often cannot explore on their own the location of their guardians choosing is most likely where their social life will remain.
PLS ANSWER ALL, THANK YOU!
In the blank at the left, write the letter of the choice that best completes the statement or answers
the question.
7 Points
___ 1. To avoid the concentration of power, the states divided government functions between the
_?_.
A. people and the governor
B. people and legislature
C. governor and the president
D. governor and the legislature
Continue on next page.
___ 2. Under most state constitutions, which government branch was most powerful?
A. the judicial branch
B. the legislative branch
C. the executive branch
D. none
___ 3. Which of these functions could the national government not perform under the Articles of
Confederation?
A. conduct foreign affairs
B. impose taxes
C. maintain armed forces
D. issue currency
___ 4. How many states had to approve the Articles of Confederation?
A. 13
B. 9
C. 11
D. 10
___ 5. What area did the ordinance passed in 1787 create?
A. Mississippi River valley
B. Appalachia
C. Northwest Territory
D. Ohio River valley
___ 6. When could a territory apply for statehood?
A. when it abolished slavery
B. when it elected a governor
C. when it wrote a constitution
D. when its population reached 60,000
___ 7. How did Robert Morris propose to pay off the national debt left over from fighting the
Revolutionary War?
A. 5 percent state sales tax
B. 5 percent import tax
C. 5 percent national income tax
D. 10 percent inflation tax
How does density determine what is found in each layer? (inside the earth layers)
Density layers the atmosphere and the interior of the Earth. Denser materials are at the heart of objects because gravity pulls them more forcefully. The Earth's core is denser than its crust at its center. The atmosphere's lower layer is denser than the upper layer.
Which of the sociological perspectives would you use to understand crime and the criminal justice system in America?
While there are many different sociological theories about crime, there are four primary perspectives about deviance: Structural Functionalism, Social Strain Typology, Conflict Theory, and Labeling Theory. Starting with these theories can provide the context and perspective necessary to better appreciate other sociological theories of crime.
Sure hope this helps you! ;)There are four sociological perspectives use to understand crime and criminal justice system in America:
- Structural Functionalism
- Social Strain Typology
- Conflict Theory
- Labeling Theory
What is crime in Sociology?Crime under sociology is defined as the study of social deviance and violation of established norms.
Most common types of crime under Sociology is:
- Violent crime
- Property crime
- White-collar crime
- Organized crime
- Consensual or victimless crime
Four primary sociological deviance are:
- Structural Functionalism:
Structural Functionalism argues deviant behavior plays an important part in society bringing together different parts of the population within a society. Deviance helps to demarcate limitations for acceptable and unacceptable behavior and serves to affirm our cultural values and norms.
While deviant behavior can throw off social balance, society may adjust social norms in the process of restoring that balance.
In other words, deviant behavior can then contribute to social stability in the long term because it challenges norms while promoting social cohesion
- Social Strain Typology:
Social Strain typology proposes that deviant behavior can be classified by typology based on a person’s motivations or adherence to cultural objectives and beliefs about how they can obtain those goals.
The main “types” of social deviance being: ritualism, innovation, rebellion, ritualism, retreatism, and conformity.
This theory also suggests that people can turn towards deviant behavior while pursuing accepted social values/goals.
-Conflict Theory:
Conflict Theory views deviant behavior as a consequence of material inequality between various socio-political groups. Those groups might be drawn along the lines of gender, religion, race, class, and so on.
Each sociopolitical group has a tendency to perceive its own interests in completion with others.
Groups that find themselves in an unequal social position in society will be inclined to deviant behavior to change those circumstances, including the structures which helped create them.
-Labeling Theory:
Labeling Theory argues that deviant behavior is often a consequence of having a deviant-like label applied to a person.
This theory tends to focus on how people become deviant as a result of others forcing that identity upon them.
It allows us to develop a better understanding of how a person’s previous behaviors can be reinterpreted in relation to the symbolic labeling they encountered over the course of their lives.
What is Criminal Justice System of U.S.A?A criminal justice system is an organization that exists to enforce a legal code. There are three branches of the U.S. criminal justice system: the police, the courts, and the corrections system.
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To which region did people migrate to find gold in 1849?
How did Aksum rise to power?
'
Answer:
under the leadership of King Ezana
Explanation:
Aksum reached its peak under the leadership of King Ezana who ruled from around 325 CE to 360 CE. During this time, Aksum expanded its territory and became a major trade center. It was under King Ezana that Aksum conquered the Kingdom of Kush, destroying the city of Meroe. King Ezana also converted to Christianity.
Write down one main question you would like to ask an elected official who may be weighing in on transgender rights issues.
Answer:
why would it be ok for a transgender person to be able to joining the opposite gender sports team
Explanation:
Donny, of Donny's Doughnuts, bakes and sells 100 dozen doughnuts a day using one mixer and one fryer. His rival, Sunshine, of Sunshine's Doughnuts, produces 180 dozen doughnuts a day using two mixers and two fryers. Both shops use the exact same technology to make doughnuts and have the same number of workers and the same size building. Donny and Sunshine both increase their capital equipment by one mixer and one fryer.
1. Which shop will benefit the most from its expansion?
a. The shops will benefit equally because they are using the same quantity of equipment.
b. Donny, because his workers currently have less available capital to work with.
c. The local weight‑loss clinic, because the number of doughnuts consumed will increase.
d. Sunshine, because her operation was producing more doughnuts to start with.
2. How much should Donny realistically expect his production to increase with the new equipment?
a. at least 100 dozen
b. about 50 dozen
c. about 80 dozen
3. How much should Sunshine realistically expect her production to increase with the new equipment?
a. at least 100 dozen
b. at least 80 dozen
c. about 50 dozen
Answer:
b. Donny, because his workers currently have less available capital to work with.
c. about 80 dozen
c. about 50 dozen
Explanation:
Because the two shops are identical in every respect except the amount of capital equipment they use, you can see that diminishing returns is taking place by comparing the two firms.
Donny produces 100 dozen doughnuts using one mixer and one fryer. Sunshine has twice as much equipment but produces less than twice as many doughnuts, 180 dozen. The second set of equipment does not increase her production as much as the first set did.
So, if Sunshine adds a third set of equipment (without adding more workers to use it), that third set will increase her output even less than the second set did. So, Donny can expect the second set of equipment to increase his output by about 80 dozen, while Sunshine should expect her third set of equipment to increase her output by less than 80.
People who might need to retrieve part or all of their investment relatively soon, such as the elderly, are often advised to invest a higher percentage of their money in bonds, and thus a lower percentage in stocks, than people who can leave the investment untouched for decades. We know, however, that bonds typically have a lower rate of return than stocks.
Why would people be advised to invest in assets that give lower average rates of return?
a. This is bad advice. People should always invest in whichever assets have the highest average rate of return.
b. Although stocks have a higher rate of return in the long run, they are much more volatile, or riskier, in the short run. Therefore, there is a higher probability that the value of the stocks will be less than the original value of the investment for people who might need to withdraw the investment in the short run.
c. Since bondholders get paid before stockholders in the event of bankruptcy of a firm, the average "real" rate of return on stocks and bonds will be the same, with bonds being less risky.
d. Although stocks have higher average rates of return in the long run, bonds have higher average rates of return in the short run. Therefore, bonds are likely to be more profitable for people who might need to get their investment back in the short run.
Answer:
b. Although stocks have a higher rate of return in the long run, they are much more volatile, or riskier, in the short run. Therefore, there is a higher probability that the value of the stocks will be less than the original value of the investment for people who might need to withdraw the investment in the short run.
Explanation:
The relationship between risk and return plays an important role here. Although stocks have higher returns on average, they are much riskier. One way in which this higher risk can manifest itself is through a portfolio value that fluctuates a lot. So, it is more likely that $1,000 invested in a diversified stock portfolio will be worth only $800 at some point than $1,000 invested in a diversified bond portfolio. If the investor is going to need that $1,000 back at some point soon, then it might be wiser to invest in the lower‑average‑return bond portfolio.
Stocks surely have higher rate of return in the long run but are highly volatile in the short run. If an investor, especially older person, who might need his money in the short run may find that his current value of stock is less than the value of investment. Thus the investor may incur a net loss even if the stock may have high rate of retun in the long run. Hence it is advisable to invest more in bonds if money is to be withdrawn in the short run.
Select the term that matches each definition.
a. when the government receives more in taxes than it spends in a given time period
b. when government spending and taxes are equal
c. when the federal government spends more than it collects in taxes in a given time period
d. the total accumulated amount that the government has borrowed and not yet paid back over time
WORD BANK
budget surplus
government debt
balanced budget
budget deficit
Answer:
a. Surplus budget
b. Balanced budget
c. Budget deficit
d. Government Debt
Explanation:
The terms budget surplus, budget deficit, and balanced budget all characterize the difference between the amount that the government spends and collects over some time period.
When the government collects more in tax revenue than it spends, a budget surplus occurs. Taylor notes that surpluses occurred during President Clinton's second term in office but that they went away when President Bush took office.
When the government spends more than it collects in tax revenue, a budget deficit occurs.
When the government spends the same amount that it collects in tax revenue, a balanced budget occurs.
Government debt is the accumulation of deficits and surpluses across time. Government debt is a measure of what the government owes.
The Following correctly matches each definition.
budget surplus: when the government receives more in taxes than it spends in a given time period.balanced budget: when government spending and taxes are equalbudget deficit: when the federal government spends more than it collects in taxes in a given time period.government debt: the total accumulated amount that the government has borrowed and not yet paid back over time.What is the meaning of a Surplus Budget?When income exceeds expenditures, there is a budget surplus. When a government runs a surplus, it has extra money that it can reinvest or use to pay off debts. The inverse of a surplus is a deficit. When government spending exceeds revenue, the government must borrow money to fund spending.
Thus, the mentioned above are correctly matched with its description.
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In 3 John, John commends the elect lady and her children for their faithfulness in lovingly helping fellow Christians and strangers. true false
The answer to the question is false because 3 John is not about the elect lady and her children.
What is the 3 book of John about?This chapter of the book is mostly about the hospitality that has been shown to the people of Christian faith.
The book mostly highlights the importance of hospitality especially to the people that were spreading the gospel.
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Why shouldn't young people cohabit ?
Answer:
Marriage is a big commitment, there's no doubt about it. It's natural to be a little nervous before jumping in. But the trends and recent studies suggest that more people today seem not only anxious about the prospect of marriage, they are shunning it. Of the various ways in which one can forge a family (marriage, cohabitation, or having a child without being married), cohabitation has become the most common.
One reason for this increased interest in cohabitation over marriage may not be the fear of the union itself, so much as a concern for the possibility of its collapse. In other words, it may be the looming prospect of divorce that's driving more people to choose the question "Will you move in with me?" over "Will you marry me?"
Explanation:
Having an attitude of respect can help us
in all of the following ways EXCEPT:
A. change how we view ourselves
B. change how we view others
C. allow us to judge ourselves
D. change how we act towards others
Answer:
Allow us the judge ourselves
Explanation:
When you respect yourself the judgement you feel towards yourself decreases. you can respect other people for who they are but you also respect yourself.
d. change how we act towards others
Which of the following best describes
"equity?"
A. investing in a company
B. paying money back to a firm
C. printing more money for business use
D. buying products from a firm
Answer:
The sum of what the initial stockholders paid when they bought company shares and the earnings that the company has retained over the years.
The Code of Hammurabi stated that _____________ .
A) wealthy merchants were expected to help the poor
B) every criminal would be punished by losing an eye
C) the punishment would fit the crime
Answer:
C) the punishment would fit the crime
Explanation:
Hammurabi's Code is one of the most famous form of retaliatory justice commonly associated with the saying “an eye for an eye.” Under this system, if a man broke the bone of one his equals, his own bone would be broken in return.
People who drink coffee are more likely to develop cancer.
For this statement, which could be a hidden variable? Check all that apply.
A. The amount of coffee consumed
B. Which people were selected for the sample
C. Age
D. Cars driven by people who drink coffee
From this question the hidden variable of the people could be the
Age Which people were selected for the sampleWhat is a hidden variable?This is another term for what is referred to as a confounding variable. These are the types of variables that would have an indirect effect on the endogenous variable.
The variables here are the age of the person that is drinking coffee and the people used in the study.
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What rights do states not have under the Constitution? HISTORY
Answer:
Article I, Section 10 of the Constitution of the United States puts limits on the powers of the states. States cannot form alliances with foreign governments, declare war, coin money, or impose duties on imports or exports.
Explanation:
Exercise 1.) Why are Panchaibajas so called?
Answer:
Its envious
Explanation: The Panche baja is a set of five traditional Nepali musical instruments that are played during holy ceremonies, especially marriages
The full employment level of real GDP is $6 billion for the recently formed island nation of Turtleopolis. Use the line segment to show long‑run aggregate supply on the graph.
Answer:
*see image*
Explanation:
The long‑run aggregate supply curve is vertical at the point of full employment GDP. In this case, it is $6 billion. A change in the price level will not affect the production capabilities of an economy in the long run. LRAS is at the same point of real GDP for every price level. The LRAS curve will shift when the economy experiences growth, but, even then, it will maintain its vertical shape.
Pretorius wanted to investigate widows as victims of financial exploitation. She began her study by locating a few such widows by means of an article focusing
on the problem of the financial exploitation of widows that appeared in a local suburban newspaper. She then asked each of these widows for the names of
other widows who were victims of financial exploitation that might be interested in being a part of her study. which sampling strategy did she use?
A. purposive
B. available subjects
C. snowball
D. quota
E. selecting informants
Based on the fact that Pretorius wanted the widows to identify other widows who were exploited, this is a C. Snowball sampling technique.
What is the snowball sampling technique?This is a technique where those who are being studied are used to find other people to be studied because the original ones might know others in their situation.
The widows in this instance were used to find other widows who could have been exploited so this is snowball sampling.
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As Joe and his family are with their therapist, they start talking about with Sarah, their youngest daughter who has been causing a lot of tension in the family. Their family therapist will most likely __________.
The thing which the family therapist would most likely do is to a. encourage growth and autonomy in each family member
What is Therapy?This refers to the professional psychological intervention which is done to help people with their psychological problems.
Hence, we can see that based on the given family problem of Sars, who is their youngest daughter giving them tension and problems, the family therapist while counseling them would most likely encourage growth and autonomy in each family member
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give any four importance of being committed to the family
Answer:
Families are stronger when members are hitched together as one owing to their shared affiliation with God. A shared commitment to God's word can provide families with a sense of meaning and purpose in life which can propel them to stay together. They can achieve the right perspective of life's struggles and challenges.
Families are stronger when members are hitched together as one owing to their shared affiliation with God.
What is Family?A group of individuals related by blood, marriage, or adoption.
A family usually consist of the parents and their children and people who are tied to the parents and children and together by blood or marriage. Family composition is the people who make up a families, this amount of members, the peoples ages, and everyone's relationship to each other.
Families are stronger when members are hitched together as one owing to their shared the affiliation with God. A shared commitment to God's word can provide families with a sense of meaning and purpose in life which can propel them to stay together. They can achieve the right perspective of life's struggles and challenges.
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