Research a trading bloc, what are its current standing in terms
of membership, leadership, pressing issues, challenges, and
structure?
Answers
One of the prominent trading blocs in the world is the European Union (EU).
Membership:
The European Union consisted of 27 member states as of September 2021. However, it's important to verify the current membership as new countries may have joined or existing members may have left.
Leadership:
The EU is led by various institutions, including the European Council, the European Commission, and the European Parliament. The European Council comprises the heads of state or government of EU member countries. The European Commission is the executive branch, responsible for proposing legislation and implementing decisions. The European Parliament is the directly elected legislative body representing EU citizens.
Pressing Issues:
The EU faces numerous pressing issues, some of which include:
Brexit: The United Kingdom, one of the EU's largest member states, officially left the EU on January 31, 2020. Negotiations on the future relationship between the EU and the UK, including trade agreements, were ongoing at the time of my knowledge cutoff.
Economic Recovery: The COVID-19 pandemic had a significant impact on the EU's economy, leading to challenges in terms of recovery and growth. The EU has been implementing measures to support member states and stimulate economic activity.
Migration and Refugee Crisis: The EU has faced challenges related to migration and the influx of refugees from conflict-ridden regions. This has prompted discussions on burden-sharing and the development of a common migration policy.
Challenges:
The EU encounters several challenges, including:
Political Differences: Member states may have varying political priorities, which can create disagreements and challenges in decision-making processes.
Economic Disparities: Economic disparities exist among EU member states, with some countries facing greater challenges in terms of development and competitiveness. Achieving economic convergence and ensuring a level playing field is a continuous effort.
Democratic Legitimacy: Some critics argue that the EU's decision-making processes can be complex and distant from citizens, raising concerns about democratic accountability.
Structure:
The EU has a complex institutional structure, which includes the European Commission, the European Council, the European Parliament, the Court of Justice of the European Union, and other specialized bodies. The institutions work together to formulate and implement policies, ensure the functioning of the internal market, and promote the overall objectives of the EU.
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Related Questions
why is it important to make sure the people buying your product are happy?
Answers
It is important to ensure customer satisfaction and make sure people buying your product are happy because it directly affects the success and reputation of your business.
Customer satisfaction plays a crucial role in the success and longevity of any business. When people buy a product, they have certain expectations and needs that they want to be fulfilled. By ensuring customer happiness and satisfaction, businesses can build a loyal customer base, encourage repeat purchases, and attract new customers through positive word-of-mouth and referrals.
Happy customers are more likely to become brand advocates, sharing their positive experiences with others and promoting the product or service organically. On the other hand, dissatisfied customers can have a detrimental impact on a business, potentially leading to negative reviews, decreased sales, and a damaged reputation. In today's highly competitive market, where consumers have numerous options to choose from, meeting and exceeding customer expectations is vital for maintaining a competitive edge.
Furthermore, happy customers tend to have higher customer lifetime value, as they are more likely to make additional purchases and remain loyal to the brand. This not only drives revenue growth but also reduces customer acquisition costs. Additionally, satisfied customers are more inclined to provide valuable feedback, helping businesses improve their products and services based on customer preferences and needs.
In summary, ensuring customer happiness and satisfaction is essential for the success of a business. It helps build a positive reputation, encourages customer loyalty, drives revenue growth, reduces customer acquisition costs, and provides valuable feedback for continuous improvement. By prioritizing customer satisfaction, businesses can establish a strong and sustainable foundation for long-term success.
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You take your $1000 of inventory that you bought with cash and sell it for $4000. How are the 3 financial statements impacted?
Answers
When you sell your $1000 inventory for $4000, your financial statements are impacted in the following ways: income statement will show a revenue of $4000, balance sheet will show an increase in cash by $4000, cash flow statement will show an increase in cash from operating activities of $4000
1. Income Statement: Your income statement will show a revenue of $4000, which is the amount you received from selling the inventory. This will increase your gross profit by $3000 (Revenue - Cost of Goods Sold).
2. Balance Sheet: Your balance sheet will show an increase in cash by $4000, which is the amount you received from selling the inventory. Your inventory account will decrease by $1000, which is the cost of the inventory you sold. This will result in an increase in your retained earnings by $3000.
3. Cash Flow Statement: Your cash flow statement will show an increase in cash from operating activities of $4000, which is the amount you received from selling the inventory. There will be no impact on cash flows from investing or financing activities. Overall, selling your $1000 inventory for $4000 will increase your revenue, gross profit, cash, and retained earnings, while decreasing your inventory account.
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In the U.S., cash takes which two forms
Answers
its takes the form of paper money and coins
Use Library Database in Syllabus to find an article related to Organizational Behavior: Capture five major points of from the article and use APA to acknowledge this is captured or copied by (authors last name, date) Write a short paragraph explaining why you think this article interest you as Introduction Summary: Write your conclusion of what you have learned from the article List the title and author of the article Reference put the article reference in APA forma Learning Resources System (LRS): IGU subscribes to three online library systems. The following procedures describe how students may access these materials: Steps for Completing Article Research Assignment First go to assignment and review the example assignment. Next go to Populi and log on. At the top of Populi click on the Bar labeled Library Under Library click on Links Click on LIRN note UN 34314 and PW firstpanda 47 Login CLICK ON ABN/TRADE AND INDUSTRY DATA BASE IN SEARCH BAR TYPE IN SUBJECT OF: course you are currently taking for example if it is leadership type leadership if it is OB type organization behavior if Strategy type business strategy Select any article that interest you and click full text to read the article Open a blank work document Under the label introduction write the introduction in your own words of about a paragraph see the example assignment posted Now copy directly any two or three sentences from the article. Put parenthesis before and after the copied sentences and the author (last name, first name initial) or paragraph. See the example posted in the assignment. Now write a few words of your own related to the copied information. See the example posted in the assignment Repeat step 13 four more times Type in Conclusion Heading and under that write a one-paragraph conclusion in your own words. Type a Reference heading on the write hand side of the article you will see a button Cite, click on this and copy the reference and post it under the Reference Heading.
Answers
Organizational Behavior is the study of human behavior within organizations, its impact on the organization, and the organization's impact on human behavior.
Emotional Intelligence:A Tool for Success in the Workplace" by Sharma (2012). Five major points captured from this article are:
The paper discusses the importance of emotional intelligence in the workplace.Emotional intelligence plays a significant role in managing employees, enhancing their performance, and improving the quality of decision-making.
A lack of emotional intelligence can lead to decreased performance and morale in the workplace.
Emotional intelligence can be developed through training and self-awareness.Emotional intelligence helps managers to create a more positive organizational culture.
APA citation for the above article: Sharma, S. (2012). Emotional Intelligence:
A Tool for Success in the Workplace. Journal of Management and Social Sciences, 8(2), 33-39.I found this article interesting because it emphasizes the importance of emotional intelligence in the workplace.
I think that the concept of emotional intelligence is very important in all aspects of life, including the workplace.
The article also highlights that emotional intelligence can be developed through training and self-awareness.
This suggests that it is possible to improve one's emotional intelligence, which can have a positive impact on their personal and professional life.
In conclusion, emotional intelligence plays a critical role in the workplace, and its development can enhance the quality of decision-making, employee performance, and morale.
Therefore, it is essential for managers to understand the concept of emotional intelligence and encourage its development among their employees.
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Create a scenario that includes at least 3 needs and 3 wants. HELP ME WITH THIS IS FOR A Business class
Answers
In the ______ approach, change is accomplished by persuading people that a change is necessary, providing data to support the argument, and justifying the need for change.
a) normative-reeducative
b) power-coercive
c) empirical-rational
d) environmental-adaptive
Answers
In the c) empirical-rational approach, change is accomplished by persuading people that a change is necessary, providing data to support the argument, and justifying the need for change.
The empirical-rational approach focuses on implementing change by presenting logical reasoning and empirical evidence to convince individuals of the need for change.
It involves providing data, facts, and rational arguments to support the proposed change and justify its necessity. This approach assumes that people are rational beings who will be convinced by the logical case for change.
It emphasizes the use of information, analysis, and persuasive techniques to gain acceptance and commitment from individuals involved in the change process. By presenting a strong case backed by evidence, the empirical-rational approach aims to overcome resistance to change and facilitate its successful implementation.
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What is an example of a common part of a company's brand that would be represented in television
commercials?
Answers
Answer:
logos, product, company's name, :DDD and endorsers
ECO Jeans, Inc. had a mission to become the leading producer of environmentally friendly blue jeans, an emerging and in-demand category in the apparel industry. Its strategy involved leveraging a network of organic cotton farmers and suppliers of environmentally responsible synthetic materials to create a product that is durable, attractive, affordable, and 100% recyclable. However, because it did not upgrade its outdated production facilities, ECO Jeans could not assemble its products at a low-enough cost to offer the jeans at a price that was attractive to customers. ECO Jeans’ strategy failed because
Answers
Answer: it was not backed up with strategic commitments.
Explanation:
The reason why ECO Jeans’ strategy failed is because the strategy was not backed up with strategic commitments.
Strategic commitments refers to the decisions that are taken by a company which have a long-term impact on the company.
Since ECO jeans could not upgrade its outdated production facilities, the company could not assemble its products at a low-enough cost to offer the jeans at a price that was attractive to customers. This could have had a positive impact on the company for a long term.
(02.10 LC) What strategy works best to get out of a rut?
A) Attitude
B) Belief
C) Flexibility
D) Selling out
Answers
Answer is C Flexibility because that's the only thing that goes in the exercise category.
Explanation: I hoped that Helped!!
Answer:
Flexibility.
Explanation:
Cognitive flexibility refers to the brain’s ability to transition from thinking about one concept to another. The quicker you are able to switch or “shift” your thinking from one dimension (e.g. color of an object) to another (e.g. shape of an object), the greater your level of cognitive flexibility.
Choose an advertisement that you found to be especially memorable. Describe the
advertisement and explain how effective it is. Discuss the techniques you would have
used to make it more effective.
Answers
Answer:
use the droritos commuecials those were good
Explanation:
The first step in conducting a background investigation is to_________
A) Provide certification to the reporting agency
B) Obtain permission from the employee
C) Provide copies of the background reports to the employee
D) Give notice to the employee if a problem is found during the investigation
Answers
Answer:
B) Obtain permission from the employee.
Explanation:
When business organizations or companies require the employment of new employees (staffs or workers), they usually use series of recruitment procedures and processes. This is to ensure that, the employee to be employed by the company is fit, eligible and qualified for the position.
In conducting a recruitment, employers seek to acquire sets of information about the employee based on factors such as mental health, criminal history, financial debt, education, medical health, employment history, temperament, references, emotional psych, license etc
However, the first step in conducting a background investigation is to obtain permission from the employee by ensuring or requesting that he or she fill out an employment application form for the job position (vacancy) advertised. Also, when conducting a background investigation on an applicant or employee, it is important that the informations gathered are kept confidential and in accordance with state laws.
Answer:
You must obtain permission of the employee first
Explanation:
______ Is a market in which a large number of suppliers compete with each other to satisfy the needs and wants of a large numbers of consumers at a competitive price.???
Answers
Answer : Monopolistic competition
Answer:
Monopolistic Competition
Explanation:
In a monopolistic competitive market, there are large numbers of sellers who do not sell identical products instead they sell differential products. They compete with each other at a competitive price. The products could be differentiated in many ways including quality, style, location and even brand name. Since they compete at a competitive price, if there is a substantial rise in the price of any of the products, the buyers could quickly shift from one product to another. The most crucial factor behind product differentiation is because of geographical factors. Under a monopolistic competitive market, the sellers do not have any influence over customer loyalty and limited control over the price.
Click this link to view O*NET’s Work Activities section for Licensing Examiners and Inspectors. Note that common activities are listed toward the top, and less common activities are listed toward the bottom. According to O*NET, what are some common work activities performed by Licensing Examiners and Inspectors? Check all that apply. working directly with the public evaluating information staffing organizational units drafting technical devices interacting with computers getting information
Answers
Answer:
Licensing Examiners and Inspectors examine, evaluate, and investigate eligibility for, conformity with, or liability under licenses or permits.. Here is what a typical day’s work for a Licensing Examiner and Inspector looks like: Issue licenses to individuals meeting standards. Collect fees for licenses.
Explanation:
Answer: A B E F
Explanation:
What type of an IRA would a woman approaching her 74th birthday but still earning a comfortable income through the sale of her popular mystery novels?
a traditional IRA
a Social Security underwritten IRA
a Roth IRA
an IRA based on investment returns exclusively
Answers
Answer:
1 an accounting practice that tracks both credits and debits
2 signing the back of a check before you can deposit it into your account
3 an amount of money extended by a bank of financial institution and ready for the borrower to use at any time provided the latter adheres to certain rules and regulations
4 the individual who receives the funds on a check; the person who the check is written to
5 the person or business writing the check; the owner of the checking account on which the check is being written
Explanation:
Answer:
fu c k
Explanation:
What are the basic types of resources used by producers? Choose three answers. Capital labor value scarcity land.
Answers
Answer:
Capital
Labor
Land
Explanation:
edge2021
The basic types of resources used by producers are capital, labour and land.
What are the factors of production ?
Factors of production are resources used by producers in the production of goods and services. The factors of production include:
Land : they are natural resources used to produce goods and services e.g. gold mine, land, water Labor: it is the effort used by people in the production of goods and services.Capital: it includes machinery and man made resources used in production e.g. hammerTo learn more about factors of production, please check: https://brainly.com/question/988852
today is the day before 4th of july holiday and the fireworks stands is almost out of fireworks what will happen to the price of the fireworks
Answers
Answer:
The prices of the fireworks will rise
Explanation:
This is because there is a high level of demand
Prompt What is an economy?
Answers
Answer:
An economy is the large set of inter-related production and consumption activities that aid in determining how scarce resources are allocated.
Why are personal care aides expected to be paid so little in spite of being in such great demand?
Answers
Answer: Because they were the least educated, (something to do with that).
Explanation:
1. Describe the general effect of education on a person’s earnings. (50 word minimum) *Take into consideration our notes*
2. Do you think this means everyone should make the decision to enroll in college? Tell me the why and why not? (70 word minimum) *Take into consideration our notes and the video on ‘The Economics of Education.’*
3. Describe your plan for work and/or college after high school. Then, describe one strategy you can use to allocate your time and money now that will help you stick to that plan in the future. (125 word minimum)
4. Lastly, what is the opportunity cost of the decision you explained in Question 3? (60 word minimum
Answers
Education and income have a high correlation. A common phrase used to describe education is "an investment in human capital." Similar to how individuals invest in financial assets to produce money, they also invest in human capital. In general, those who have more education make more money.
What are the benefits of education?With its positive effects on health and livelihoods, social stability, and long-term economic growth, education is a potent force for change. Each of the 17 sustainable development goals must be achieved in order for it to succeed.
Among other things, income consists of wages, rent, interest, dividends, and subsidies. Due to their higher investment and saving rates compared to other classes, the rich or upper class tends to have a bigger percentage of unearned income in their overall income. The quality of a person's education and talents are immediately reflected in their employment.
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28. Purchasing Enormous State University's Business School is buying computers. The school has two models from which to choose, the Pomegranate and the iZac. Each Pomegranate comes with 400 GB of memory and 80 TB of disk space; each iZac has 300 GB of memory and 100 TB of disk space. For reasons related to its accreditation the school would like to be able to say that it has a total of at least 48,000 GB of memory and at least 12,800 TB of disk space. If the Pomegranate and the iZac cost $2,000 each, how many of each should the school buy to keep the cost as low as possible? [Hint: See Example 4.]
Answers
Given Information: Two models are available for purchase. Model Pomegranate has 400 GB memory and 80 TB disk space. Model iZac has 300 GB memory and 100 TB disk space.
The school wants to have at least 48,000 GB memory and 12,800 TB disk space. The cost of each model is $2000 each. The question is how many of each should the school buy to keep the cost as low as possible?Let the school purchase x Pomegranate and y iZac computers to meet its requirements.
Then, we can write:x : Pomegranatesy : iZacThe number of Pomegranates required for 48,000 GB of memory is :400 GB memory in one Pomegranate.∴
Number of Pomegranates required = (48,000 GB of memory) / (400 GB of memory per Pomegranate) = 120
Similarly, the number of iZac required for 48,000 GB of memory is:300 GB memory in one iZac.∴ Number of iZac required = (48,000 GB of memory) / (300 GB of memory per iZac) = 160
Therefore, the school needs to buy 120 Pomegranates and 160 iZac to meet its memory requirements.
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.A note receivable due in five years is listed on the balance sheet under the caption
a. investments.
b. current assets.
c. fixed assets.
d. stockholders' equity.
Answers
A note receivable due in five years is listed on the balance sheet under the caption "investments." The correct option is A.
This is because notes receivable that are due in a period longer than one year are considered long-term assets and are categorized as investments on the balance sheet. They are not considered current assets, as those are assets that can be converted into cash within a year.
Fixed assets are items like property, plant, and equipment that are used in the operation of the business, while stockholders' equity represents the ownership interest of the stockholders in the company. Therefore, for a note receivable due in five years, the correct classification is investments. The correct option is A.
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You drink 19 beers to celebrate the end of your risk management and insurance class, then have an accident while driving home from the bar. The police charge you with drunk driving, and with hitting another automobile from behind. What will your automobile insurer do when you file a claim for the damage to your car, and, what will it do when the injured people in the other car file claims to have their bodily injuries paid for
Answers
Answer: The insurer will pay for claims that was insured for or that which the insurance package covers.
Explanation:
Insurance could be described simply as a cover for damages done either in the present or future to be able to curb losses. Insurance companies offer various packages or insurance covers to the client, ranging from house, to cars and other various insurance cover. The insurance company will pay the claim for the accidents but this would be based on the particular claim that was insured for because the Insurance company won't pay for claim that wasn't insured, it would be a loss on their side
Which is a strategy for using technology to help stay fit?
a. going for a walk and guessing how many miles you walked
b. exercising when you feel inspired to do it
c. wearing a fitness bracelet that keeps track of your daily steps
d. watching Netflix or television after a long day of classes
Answers
A strategy for using technology to help stay fit is wearing a fitness bracelet that keeps track of your daily steps.
Wearable fitness technology uses a device that is worn at all times to measure physical activity such as steps walked, calories burn, and workout intensity.
Looking down at an electronic gadget for a long periods can lead to neck and back pain as well as pains in elbows, wrists and hands. To overcome these causes by using fitness technology is a great way for physical activities.
Pedometer-based walking programs were also associated with significant decreases in body mass index, etc.
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Which of the following are examples of lifelong learning?
A. lifestyle
B. reading
C. sacrifice
D. salary
Answers
Answer:
the answer is reading
Explanation:
The correct option is B. Reading is an example of lifelong learning.
This fosters cognitive growth and may prevent cognitive deficits in memory and focus brought on by aging, such as dementia.
Why reading is the key to success?It is a powerful motivator for someone to improve in life. The more a person reads, the better his comprehension and understanding skills get. The more proficient a reader he is, the simpler it will be for him to do a task. The development of a reading habit and knowledge are related.
Reading broadens your vocabulary and boosts your concentration, memory, and self-esteem. But it also aids in stress relief and hepatization, two traits that can guarantee your academic success.
Thus, Every time a reader turns a page, they continue to learn something new. New and intriguing ideas are presented to readers on a regular basis.
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You are interested in purchasing a home. You can afford $1200 a month as a mortgage payment. How much can you pay for a home assuming a 30 year (360 months) loan at 4. 25% interest?.
Answers
The calculated value of the price that can be paid for the home is $28,234, provided $1200 a month as a mortgage payment.
Principal, interest, taxes, and insurance are the usual four components of a mortgage payment. The amount that is deducted from your outstanding loan balance is known as the principal portion. The expense of borrowing money is interest.
The price that can be paid for the home is:
P={ [1−(1 + i)^−n]/i } ×R
Where;
R = monthly payment = $1200
i = monthly rate of interest = 4.25%
P = Price afforded
n = number of months = 360
P = { [1−(1 + 0.0425)^−360]/0.0425 } ×1200
P= $28,234
P = $28,234
Hence, $28,234 is the calculated value of the price that can be paid for the home.
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How are property taxes calculated Santa Clara County?
Answers
In Santa Clara County, property taxes are calculated based on the assessed value of a property and the local tax rate.
The assessed value is determined by the Santa Clara County Assessor's Office and takes into account factors such as the size of the property, the age and condition of the buildings on the property, and any improvements made to the property.
The local tax rate is set by various government entities such as the county, city, school and other special district. These entities collect the property taxes through the county. The amount of tax owed is determined by multiplying the assessed value of the property by the local tax rate.
For example, if a property in Santa Clara County has an assessed value of $500,000 and the local tax rate is 1%, the property taxes for that year would be $5,000. The Assessor's Office will send out an annual assessment letter, which will include the property's assessed value and any changes to the value from the previous year, so that property owners can verify the accuracy of the assessment.
It is important to note that the assessed value may not always be the same as the market value of the property. In Santa Clara County, the assessed value of a property cannot increase more than 2% annually, unless there is new construction or improvements made to the property.
Additionally, there are several exemptions that may apply to lower the tax bill, such as the Homeowner's Exemption, which applies to owner-occupied properties and reduces the assessed value of the property by $7,000, and the Senior Citizen's Exemption, which applies to those over the age of 65 and reduces the assessed value of the property by $40,000.
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Joe and Andy are accounting assistants at a particular company. They have been asked by the management to make a decision about changing an accounting procedure. What is this aspect of accounting?
When accountants use financial data to make non-financial decisions on behalf of the company, it is known as ______ analysis
a. subjective
b. objective
c. relative
Answers
Answer:
Answers B
Explanation:
Just took the test
margaret is analyzing the current year income statement and the comparative balance sheet in order to prepare the statement of cash flows. she should expect the operating cash flows to be the amounts reported in the income statement.
Answers
Net income from the bottom of the income statement links to the balance sheet and cash flow statement.
An profits announcement or earnings and loss account is one of the financial statements of a company and shows the enterprise's revenues and charges in the course of a specific length. It shows how the sales are converted into net profits or net earnings.
An earnings announcement indicates a company's revenues, charges, and profitability over a period of time. it's also from time to time called an income-and-loss announcement or the announcement of a profit. It suggests your: sales from selling products or services. charges to generate revenue and manage your commercial enterprise.
The income declaration suggests a business enterprise's expenses, profits, profits, and losses, which can be put into a mathematical equation to arrive at the net earnings or loss for that time period. These statistics allow you're making well-timed choices to make certain that your commercial enterprise is on an excellent economic footing.
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Both Bond Sam and Bond Dave have 10.4 percent coupons, make semiannual payments, and are priced at par value. Bond Sam has 5 years to maturity, whereas Bond Dave has 22 years to maturity. Both bonds have a par value of 1,000 . a. If interest rates suddenly rise by 3 percent, what is the percentage change in the price of these bonds? Note: A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16. b. If rates were to suddenly fall by 3 percent instead, what would be the percentage change in the price of these bonds? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g. 32.16.
Answers
a. If interest rates rise by 3 percent:
- Bond Sam's price decreases by approximately 11.41 percent.
- Bond Dave's price decreases by approximately 54.85 percent.
b. If interest rates fall by 3 percent:
- Bond Sam's price increases by approximately 13.38 percent.
- Bond Dave's price increases by approximately 196.42 percent.
To calculate the percentage change in the price of Bond Sam and Bond Dave, we need to consider the impact of a sudden 3 percent increase and a 3 percent decrease in interest rates. Let's break down the calculations for each scenario:
a. If interest rates rise by 3 percent:
- Bond Sam has a 5-year maturity, while Bond Dave has a 22-year maturity.
- Both bonds have a 10.4 percent coupon rate and make semiannual payments.
- Since the bonds are priced at par value ($1,000), their initial prices are also $1,000.
To calculate the new prices of the bonds, we need to adjust the discount rates for the increase in interest rates. The discount rate is calculated by subtracting the coupon rate from the yield to maturity (YTM). Since the bonds are priced at par, the initial YTM is equal to the coupon rate.
For Bond Sam:
- Initial YTM = Coupon rate = 10.4 percent
- Increase in YTM = 3 percent
- New YTM = Initial YTM + Increase in YTM = 10.4 percent + 3 percent = 13.4 percent
Using the new YTM, we can calculate the new price of Bond Sam using the present value formula. Since it's a 5-year bond with semiannual payments, we divide the YTM and coupon rate by 2 and double the number of periods.
- New price of Bond Sam = 1,000 * (1 - (1 + (13.4 percent / 2))^(-2 * 5)) / (13.4 percent / 2) = $885.86
For Bond Dave:
- Initial YTM = Coupon rate = 10.4 percent
- Increase in YTM = 3 percent
- New YTM = Initial YTM + Increase in YTM = 10.4 percent + 3 percent = 13.4 percent
Using the new YTM, we can calculate the new price of Bond Dave using the present value formula. Since it's a 22-year bond with semiannual payments, we divide the YTM and coupon rate by 2 and double the number of periods.
- New price of Bond Dave = 1,000 * (1 - (1 + (13.4 percent / 2))^(-2 * 22)) / (13.4 percent / 2) = $451.50
The percentage change in the price of these bonds can be calculated using the following formula:
- Percentage change = ((New price - Initial price) / Initial price) * 100
For Bond Sam:
- Percentage change in price = (($885.86 - $1,000) / $1,000) * 100 = -11.41 percent (rounded to 2 decimal places)
For Bond Dave:
- Percentage change in price = (($451.50 - $1,000) / $1,000) * 100 = -54.85 percent (rounded to 2 decimal places)
b. If interest rates fall by 3 percent:
- We follow the same steps as above, but this time we decrease the YTM by 3 percent.
Using the new YTM and the present value formula, we can calculate the new prices of Bond Sam and Bond Dave.
For Bond Sam:
- New price of Bond Sam = $1,000 * (1 - (1 + (7.4 percent / 2))^(-2 * 5)) / (7.4 percent / 2) = $1,133.80
For Bond Dave:
- New price of Bond Dave = $1,000 * (1 - (1 + (7.4 percent / 2))^(-2 * 22)) / (7.4 percent / 2) = $2,964.17
Using the percentage change formula:
For Bond Sam:
- Percentage change in price = (($1,133.80 - $1,000) / $1,000) * 100 = 13.38 percent (rounded to 2 decimal places)
For Bond Dave:
- Percentage change in price = (($2,964.17 - $1,000) / $1,000) * 100 = 196.42 percent (rounded to 2 decimal places)
Therefore, if interest rates were to suddenly fall by 3 percent, the percentage change in the price of Bond Sam would be 13.38 percent, and the percentage change in the price of Bond Dave would be 196.42 percent.
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new money spent by tourist and then re-spent by hotels and restaurants in the community for goods and services is known as
Answers
New money spent by tourists and then respent by hotels and restaurants in the community for goods and services is known as. the multiplier effect.
Which group is behind the World Tourism Organization?
The United Nations organisation in charge of promoting ethical, environmentally sound, and widely accessible travel is the World Tourism Organization (UNWTO).
Ecotourism: What is it?
Ecotourism, according to the World Tourism Organization, is any type of nature-based travel where visitors' primary interests are in observing and appreciating the environment as well as the local cultures that are still practised in natural regions.
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