The market demand and supply functions for toothpaste are: Q D =10−2P and Q S =2P+2 Suppose the toothpaste market is taxed $1 per unit. Calculate the following: a) Tax revenue: b) Loss in Consumer surplus in absolute value due to the tax (correct to 2 deci places): 2.75 c) Percentage of tax revenue borne by consumers (note: Answer is expressed as a percentage number): 100
Answers
a) Tax revenue:
To calculate tax revenue, we need to find the quantity of toothpaste sold in the market after the tax is imposed. We know that the market demand function is QD = 10 - 2P and the market supply function is QS = 2P + 2.
Since the tax is $1 per unit, the new price faced by consumers will be P + $1, while the price received by suppliers will remain P. Therefore, the new market equilibrium can be found by setting the quantity demanded equal to the quantity supplied:
10 - 2(P + $1) = 2P + 2
Solving for P, we get:
P = $3
Therefore, the new equilibrium quantity is:
Q = 2($3) + 2 = 8
Before the tax, the equilibrium price was $2 and the equilibrium quantity was 6. So, the tax increases the price by $1 and reduces the quantity sold by 2 units.
Tax revenue is equal to the tax per unit multiplied by the quantity sold after the tax is imposed:
Tax revenue = $1 x 8 = $8
b) Loss in Consumer surplus in absolute value due to the tax:
To calculate the loss in consumer surplus, we need to find the area of the triangle formed by the original equilibrium, the new equilibrium, and the vertical axis. This represents the total consumer surplus before the tax minus the total consumer surplus after the tax.
The original equilibrium price was $2 and the equilibrium quantity was 6. The new equilibrium price is $3 and the equilibrium quantity is 8. So, the loss in consumer surplus is:
(1/2) x ($2 - $3) x (6 - 4) = $1
Therefore, the loss in consumer surplus due to the tax is $1.
c) Percentage of tax revenue borne by consumers:
The percentage of tax revenue borne by consumers can be calculated as the loss in consumer surplus divided by the tax revenue, multiplied by 100%:
Percentage of tax revenue borne by consumers = ($1/$8) x 100% = 12.5%
Therefore, consumers bear 12.5% of the tax revenue, while suppliers bear the remaining 87.5%.
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Related Questions
the three steps of the review process for business messages are conducting the fair test, proofreading, and?
Answers
The three steps of the review process for business messages are conducting the fair test, proofreading, and revising. After creating a business message, it is crucial to go through the review process to ensure that the message is accurate and effective. The review process has three key steps:
1. Conducting the Fair Test
Conducting the fair test means evaluating the message's clarity, readability, and persuasiveness. A fair test is a criterion-based test that compares the message's effectiveness against established criteria. The criteria should be objective and reliable, such as readability levels, use of jargon or technical terms, and tone. The message should be reviewed by someone other than the writer to provide a fresh perspective.
2. Proofreading
Proofreading is the second step of the review process. In this step, the message is read thoroughly to identify and correct any errors or typos. The message should be checked for spelling, punctuation, grammar, and sentence structure errors. Proofreading can be done manually or by using automated tools such as spell checkers, grammar checkers, and style checkers. These tools can help detect errors and make suggestions for improvements.
3. Revising
The final step of the review process is revising. Revising involves making necessary changes to the message based on feedback received during the fair test and proofreading. The feedback should be analyzed carefully to determine areas where the message can be improved. Revising may involve restructuring the message, clarifying ambiguous statements, improving sentence structure, or changing the tone. The revised message should be reviewed again to ensure that all errors have been corrected and the message is accurate and effective.
In conclusion, the three steps of the review process for business messages are conducting the fair test, proofreading, and revising. Following these steps can help ensure that business messages are clear, accurate, and effective.
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You are planning to save for retirement over the next 44 years. To do this, you will invest $500 a month in a stock account and $300 a month in a bond account, beginning one month from today. The return on the stock account is expected to be 9.6 percent, and the bond account will pay 5.4 percent. When you retire, you will combine your money into an account with a 5 percent return. You plan to make equal monthly withdrawals for 30 years from your retirement account beginning one month from your date of retirement. You also plan to leave $5 million as bequest to your beneficiaries. Calculate the amount of your monthly withdrawals.
Answers
Answer:
MILLONS
Explanation:
In what seven (7) way can we promote good marriage in the society
Answers
Answer:
1.being loving
2bieng understanding
3being loy
emergency repairs or additional supervisors for an unanticipated second shift will fixed overhead spending variance. multiple choice question. likely lead to a favorable not affect the likely lead to an unfavorable
Answers
Emergency repairs or additional supervisors for an unanticipated second shift will likely lead to an unfavorable fixed overhead spending variance.
Accounting fees, advertising, insurance, interest, legal fees, labor burden, rent, repairs, supplies, taxes, phone bills, travel expenses, and utilities are examples of overhead expenses. Administrative overheads and manufacturing overheads are the two main types of business overheads.
Overhead costs, also known as overhead or operating expenses, are expenses associated with running a business that is not directly related to the creation or production of a product or service. They are the expenses incurred by the company to remain in business, regardless of its level of success.
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Julian buys plants and flowers every month. Both are normal goods. When the price of flowers fell, Julian purchased fewer plants. Which of the following statements is true for Julian regarding the income effect and the substitution effect
Answers
When the price of flowers fell, Julian purchased fewer plants. Julian regarding Substitution effect was stronger.
What is the Substitution Effect ?Substitution Effect is the change in the quantity of a good that a consumer demands when the good's price rises, holding other prices and the consumer's utility constant.
The substitution effect happens when consumers replace cheaper items with more expensive ones due to price changes or when their financial conditions improve, and vice-versa.
The substitution effect (SE) is derived from a product's price variation, together with the income effect (IE).
If the price of a product rises, demand of the product decreases (law of demand) because consumers will switch and demand a substitute good instead, as such goods would allow them to satisfy the same individual need of preference (that is the ultimate objective when making a purchase).
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Describe an ethical dilemma related to employee relations.
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An ethical dilemma or ethical paradox is a decision-making problem between two possible moral imperatives, neither of which is unambiguously acceptable or preferable. The complexity arises out of the situational conflict in which obeying would result in transgressing another.
Liz just completed a Client Needs Assessment and her client
confirmed that he will require profitability tracking, and need to
create budgets and purchase orders in his accounting solution.
Answers
Answer:
QuickBooks Online Plus
The question and multiple-choices
What is the minimum QuickBooks Online version suitable for Liz's client?
QuickBooks Self-Employed QuickBooks Online Simple Start QuickBooks Online Essentials QuickBooks Online Plus QuickBooks Online Advanced PreviousExplanation:
QuickBooks Online Plus is an advanced feature that small business requires to make better management decisions pertaining to their business. The needs of Liz's client of tracking profitability and the need to create budgets can be meet by installing QuickBooks Online Plus.
Other features of QuickBooks Online Plus include
Keep track of financial records, such as invoices and statements.Update and reconcile payments automatically.Generate accurate estimates and convert them into invoices.Estimate project profitability by taking into account cost factors such as labor and job cost expenses. Automate workflows with rule-based remindersperry incorporated and dally company entered into an exchange of real property. here is the information for the properties to be exchanged. perry dally fmv $ 500,000 $ 530,000 adjusted tax basis 410,000 283,000 mortgage 70,000 100,000 pursuant to the exchange, perry assumed the mortgage on the dally property, and dally assumed the mortgage on the perry property. compute dally's gain recognized on the exchange and its tax basis in the property received from perry.
Answers
Dally Company's gain recognized on the exchange is $247,000, and its tax basis in the property received from Perry Incorporated is $400,000.
To compute Dally Company's gain recognized on the exchange and its tax basis in the property received from Perry Incorporated, we need to compare the fair market values (FMV) and adjusted tax basis of the properties involved in the exchange.
In this case, Perry's property has an FMV of $500,000 and an adjusted tax basis of $410,000. Dally's property has an FMV of $530,000 and an adjusted tax basis of $283,000. Additionally, Perry assumed a mortgage of $100,000 on Dally's property, and Dally assumed a mortgage of $70,000 on Perry's property.
To determine Dally's gain recognized on the exchange, we compare the FMVs and subtract the adjusted tax basis. The gain recognized would be the excess of FMV over the adjusted tax basis. Therefore, Dally's gain recognized is ($530,000 - $283,000) = $247,000.
Next, to calculate Dally's tax basis in the property received from Perry, we subtract the assumed mortgage ($100,000) from the FMV of the property received ($500,000). This gives Dally a tax basis in the property of ($500,000 - $100,000) = $400,000.
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discuss how businesses can use mind mapping and brainstorming to identify new and innovative business opportunities
Answers
Answer: A mind map can be used by businesses to brainstorm thoughts and ideas organically.
Explanation:
By plotting ideas into a diagram, you can turn often complex, monotonous information into an organized, colorful, and memorable centralized format.
Who would benefit from the embargo against country x? who would be hurt by it? be sure to consider both producers in country x and foreign producers in other countries. explain your answer
Answers
The international locations have achieved the largest income beneficial properties as a end result of the rules-based global trading system, the file found.
The US benefited by way of $87 billion (€77.7 billion) in 2016, China with the aid of $86 billion while Germany reaped some $66 billion in financial rewards.
Does global alternate benefit negative countries?Increased Economic ResourcesDeveloping nations can benefit from free exchange by way of increasing their quantity of or access to financial resources. Nations normally have constrained financial resources. Economic resources include land, labor and capital. Land represents the herbal assets discovered inside a nations' borders.
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https://brainly.com/question/14926566#SPJ4When an organization has an outside supplier perform an activity for the firm that was previously performed by the firm itself, this is called?
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When an organization has an outside supplier perform an activity for the firm that was previously performed by the firm itself, this is called outsourcing.
When a company buys a good or service from a third party rather than managing it itself, that practice is known as outsourcing. As a small business, outsourcing enables you to accomplish more by delegating crucial jobs and procedures to experts without having to significantly expand your full-time staff. The best instances of outsourcing are in advertising, office and warehouse cleaning, and website creation. This enables businesses to concentrate the majority of their resources on the primary operation.
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What is true about contemporary Indian Economy
Answers
Answer:
There is a great scope for its growth in the future.
Hope this helps.
under the periodic inventory system, village fabrics purchases navy plaid fabric used in its fabric-selling business in the following lots: june 5 - 4 yards at $2.50 per yard, june 12 - 7 yards at $3.00 per yard, june 17 - 8 yards at $3.50 per yard. what is the periodic average cost of the fabric per yard?
Answers
The periodic average cost of the fabric per yard under the periodic inventory system is $3.11 per yard.
What is a system of periodic inventories?
The physical inventory count of goods is routinely scheduled under the periodic inventory system. Maintenance on physical inventories can be costly because it takes a lot of time and effort. As a result, many companies only occasionally conduct physical inventory counts. Periodic inventory systems are frequently used in place of perpetual inventory systems.
Every transaction in a periodic system is noted in the company's buy account, which keeps track of inventory by deducting the cost of goods sold (COGS). However, it does not account for returned items, damaged, lost, or destroyed items.
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fin411 ten year zero-coupon bond is trading at 80% of their face values. what is the ten-year zero-coupon discount rate under annual, semi?annual, and quarterly compounding conventions?
Answers
In essence, bond valuation is determining the present value of a bond's anticipated future coupon payments. Using an appropriate discount rate, the future value of a bond's coupon payments is discounted to determine its theoretical fair value.
Annual Convention Value of Bond = Face Value / (1+r) n = 10 800 = 1000 / (1+r) n = 10 800 = 1000 / 800 r = 1.25(1/10) - 1 r = 1.02256518256 - 1 r = 2.23 percent
Semi-Annual Convention Bond Value = Face Value / (1+r)n n = 10 * 2 = 20 800 = 1000 / (1+r)20 = 1000 / 800 r = 1.25(1/20) - 1 r = 1.011219651 - 1 r = 1.12%.
Quarter Convention Value of Bond: Face Value / (1+r)n n = 10 * 4 = 40 800 = 1000 / (1+r)40 = 1000 / 800 r = 1.25(1/40) - 1 r = 1.00559417808 - 1 r = 0.5594% Rate: 0.5594% * 4 = 2.24%
Is Bond value PV or FV?The fundamental present value (PV) formula for a given discount rate is used in the bond price calculation. The face value paid at maturity and the present value of coupon payments make up the bond price.
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Exxon, an energy company, thinks demand for oil, gas, and coal will increase for the foreseeable future, meaning 20-30 years. But they are hedging that bet by investing in small biofuels projects. This is called
Answers
Answer:
Forecasting
Explanation:
Forecasting is the way by which businesses predict future economic conditions by using past information and present economic situation to make informed guess about the future.
Forecasting is used by businesses to develop strategies that will ensure their future profitability.
In this instance Exxon predicted demand for oil, gas, and coal will increase for the foreseeable future of 20 to 30 years.
However their present activity is investment I sample biofuel projects.
This is forecasting the trend of demand in the oil and gas industry.
generally, courts allow the party who has ______ to be paid the full amount of the contract price less any costs suffered.
Answers
Generally, courts allow the party who has performed their contractual obligations to be paid the full amount of the contract price less any costs suffered.
In contract law, the principle of "performance" plays a crucial role. When a contract is formed, the parties involved have certain obligations to fulfill. If one party fulfills their obligations and performs as required by the contract, they are generally entitled to receive the full amount of the contract price, minus any costs they have incurred.
The party who has performed their contractual obligations is considered to have fulfilled their part of the agreement and has upheld their end of the bargain. Therefore, courts recognize their right to be paid the full contract price they are entitled to, as specified in the terms of the agreement.
This approach encourages parties to honor their contractual obligations and provides a legal framework that promotes the enforcement of contracts based on the principle of performance. It helps maintain fairness and accountability in contractual relationships by ensuring that the party who has fulfilled their duties receives the appropriate compensation for their performance.
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5020
تيكية
Which material resource is found in
a plastic toy?
Answers
Answer:
polythene, polypropylene,EVA,etc are found in a plastic toy.
explain five importance of a division of labour in production
Answers
Explanation:
INNOVATION: When workers are set specific tasks, that is their pure focus. So it becomes easier to see pitfalls in the existing process. Doing the same task each day makes it easier to analyse areas for improvement. It takes up more of the brains processing power, so it is at the forefront of a workers mind.
HIGHER WAGES: It must be said that not all the productivity gains are necessarily passed on to the consumer. A proportion may go to profits, whilst some may go to higher pay for employees.
CHEAPER PRODUCTS: It must be said that not all the productivity gains are necessarily passed on to the consumer. A proportion may go to profits, whilst some may go to higher pay for employees.
PRODUCTIVITY: When workers focus solely on a specific task, they can master it quicker and more efficiently. In turn, workers become more productive.
EFFICIENT MASTERY: Without the division of labor, mastery of a skill takes much longer. This is because a workers attention is spread across many areas.
For instance, it would be difficult to master a language if you are also trying to learn the piano, engineering, CSS, and economics. So, the division of labor allows the worker to focus and master a specific part of the process, which helps them learn it faster.
The Office of _________________ and Budget, part of the executive branch, prepares the initial _________________ budget. However, the president's budget is only a _________________.
Answers
Answer:
The Office of MANAGEMENT and Budget, part of the executive branch, prepares the initial FEDERAL budget. However, the president's budget is only a PROPOSAL THAT MUST BE APPROVED BY CONGRESS.
Explanation:
The Office of Management and Budget is the largest department or office in the White House. It is also one of the most powerful and influential ones. The budget prepared by the OMB must be sent to Congress in order for it to approve it. Congress has the power to modify and amend it through he process of appropriations. The OMB is also responsible for monitoring how the approved budget is spent, and if it follows the President's policies.
By analyzing the federal budget proposed by the president, you can understand the policies that are favored by the administration and those that are not. E.g. if the federal budget cuts the EPA budget, then you know that the environment is not something important for the president.
b) Manuel needs to order fruit and vegetables on a regular basis from his supplier. Consider the advantages and disadvantages of three methods of communication he could use to place orders with his supplier. Recommend the best method for him to use. Justify your answer
Answers
Explanation:
Manuel has several options for communicating with his supplier to place regular orders for fruits and vegetables. Three potential methods include phone calls, emails, and electronic ordering systems (e.g., a dedicated supplier platform, mobile app, or EDI). We will analyze the advantages and disadvantages of each of these methods and recommend the best option for Manuel.
1. Phone calls:
Advantages:
- Direct, real-time communication with the supplier allows for immediate clarification of issues or negotiations.
- Personal interaction may help strengthen the client-supplier relationship.
- Can be executed quickly in urgent or last-minute situations.
Disadvantages:
- No written record of the conversation, potentially leading to misunderstandings or information loss.
- Requires both parties to be available at the same time.
- Longer or more complex orders might be prone to mistakes, as there is no transcript to review.
2. Emails:
Advantages:
- Provides a written record of the order, clarifying expectations and minimizing miscommunication.
- Allows for asynchronous communication, with no need to coordinate schedules.
- Ability to attach documents or images, if necessary.
Disadvantages:
- May lack the personal touch found in phone calls.
- Time-sensitive requests may not receive an immediate response.
- Emails can be lost or delayed due to spam filters, server issues, or full inboxes.
3. Electronic ordering systems (supplier platform, mobile app, EDI):
Advantages:
- Streamlines the ordering process, with consistent formats and fields.
- Real-time updates on inventory, pricing, and delivery schedules.
- Can integrate with other systems such as accounting and inventory management.
- Reduces manual data entry and hence errors.
Disadvantages:
- May require initial investments in technology or training.
- Potential issues with data privacy or platform compatibility.
- If the system crashes or experiences technical issues, orders may be delayed or lost.
Recommendation:
Based on the analysis, the best method for Manuel would be an electronic ordering system. Although it may require some initial investment and training, it provides a streamlined, efficient approach to ordering, reducing the likelihood of errors and offering real-time updates. This method will also save time, as it eliminates the need for coordination and manual data entry. Integration with other systems further supports business operations and decision-making.
While emails may offer a written record of the order, electronic ordering systems provide this advantage without the risk of delays or lost messages. Phone calls, on the other hand, may allow for personal interaction but lack the consistency, documentation, and automation that electronic systems provide. Overall, an electronic ordering system is the most effective and reliable choice for placing regular orders with the supplier.
Select the best alternative for the following questions:
i. Which of the following transactions are not recorded in book keeping?
a) Sold Goods on Credit.
b)
Introduce capital in the business.
c) Resignation of marketing manager.
d) Drawing cash from business for personal use.
..
Answers
Answer:
c. the resignation
Explanation:
this would not affect the bottom line of the company and is therefore irrelevant
What modern-day learning technique is most similar to apprenticeship?
Vocational training, where students learn the skills they need for new careers through hands-on practice
Elementary school, where students learn academic and social skills under the constant supervision of an adult
O Continuing-education training, where working people learn more about their current professions
Graduate school, where students who have graduated from college go on to further academic studies
Answers
Answer:
Elementary school, where students learn academic and social skills under the constant supervision of an adult
Answer:
the 2nd option
Explanation:
At a local grocery store, they sell a Visa card that has a prepaid amount on it. People can use this card anywhere, but it cannot be used for more than its prepaid value. Which type of card is this?
A.
a debit card
B.
a smart card
C.
a stored value card
D.
a retail credit card
Answers
The type of the card is a Retail Credit card. Hence the option (D) is the correct one.
What is the function of retail credit cards work?For retail credit cards, an image You can potentially obtain benefits at some retail establishments if you have a retail store credit card.
Decide if you want a card that restricts the retailers with which you may earn rewards or one that enables you to earn rewards for regular purchases. Benefits could consist of privileged access to funding, exclusive deals, discounts, and awards.
For instance, paying in whole for a motorcycle costing $10,000 would be excessive for a buyer.
Consumer will receive a $10,000 loan from retail credit institutions, which will be repaid with interest over a period of time in the form of monthly installments.
Hence the correct option is (D).
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Features, Advantages and disadvantages free market economy?
Answers
Answer:
Advantage: Absence of Red Tape.
Advantage: Freedom to Innovate.
Advantage: Customers Drive Choices.
Disadvantage: Limited Product Ranges.
Disadvantage: Dangers of Profit Motive.
Disadvantage: Market Failures
Explanation:
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Please help Sunflowerssk i need you please Answer as fast as you can
What are examples of plagiarism? Choose Plagiarism or Not Plagiarism.
Answers
Answer:
option 1- plagiarism
option 2- not plagiarism
option 3- plagiarism
option 4- plagiarism
option 5- not plagiarism
option 6- not plagiarism
Explanation:
Plagiarism is using someone else's work without giving credit to the original or claiming it as your own.
Answer: There are the 6 answers for the answer key to each of the following "Plagiarism" or "Not Plagiarism" sentence statements based on the "True" or "False" statement:
For sentence statement #1: "Copying the text from a book or website word for word without using the quotation marks.", the option to this sentence statement is "Plagiarism". For sentence statement #2: "Taking the notes from the website.", the option to this statement sentence is "Not Plagiarism". For sentence statement #3: "Presenting the other's idea as your own without citing your sources.", the option to this sentence statement is "Plagiarism". For sentence statement #4: "Using a picture that you found on a website and presenting it as your own.", the option to this sentence statement is "Plagiarism". For sentence statement #5: "Using a famous picture in a presentation with the picture title, the artist name, and the date in the corner of the slide.", the option to this sentence statement is "Not Plagiarism". And last but not least is for sentence statement #6: "Using the facts from a website in a presentation and citing the source of this information.", the option to this sentence statement is "Not Plagiarism".Explanation: Here are the 5 important explanation reasons why you can't recommend yourself to use plagiarism:
Plagiarism means you steal and pass off someone else's creative ideas and claim your own work assignment as your own without giving the proper credit to the original. Plagiarism is serious consequences and is also a violation of the principles of academic integrity. Plagiarism could have more serious consequences: you could get a failing grade, the teacher will send you to the principal's office for dismissal, in-school or out-of-school suspensions, hour after-school detention or possibly an expulsion for receiving "F" for your own entirely class. Plagiarism also means stealing intellectual property. And last but not least is cheating is the same as plagiarism.I hope my explanation answer about the "Plagiarism" or "Not Plagiarism" Sentence Statement that is based on the "True" or False" Sentence Statement is very helpful to your own question and have a great day! :D
Sincerely,
Jason Ta,
The Ambitious of The Brainly And The Role of The TDSB And The WHCI Student of The High School.
Suppose the term structure is flat, with r = 6%. We have $5,000 in a zero-interest checking account. One year from now we will have to make a payment of $5,300. The only risk-free bond in the market is a two-year bond with the nominal $100, paying semi-annually coupons of 8% on the nominal value. The next coupon is to be paid in exactly six months.
(I) Clearly outline the steps to be taken in order to be immunized with respect to the duration according to the above information.
(II) Suppose you are at the end of 1 year and yields have increased by 1%. Illustrate what the immunization strategy has accomplished.
Answers
The duration of a bond is a measure of how sensitive the bond's price is to changes in interest rates. The formula for calculating the duration of a bond is:
Duration = -\frac{\sum_{t=1}^n \frac{CF_t}{P} \times t}{\sum_{t=1}^n \frac{CF_t}{P}}
where:
CF_t is the cash flow of the bond in year t
P is the price of the bond
n is the number of years to maturity
In this case, the duration of the bond is 1.5 years.
Invest in a portfolio of bonds that has the same duration as the liability. In this case, we need to invest in a portfolio of two-year bonds.
Rebalance the portfolio every six months to maintain the same duration.
By following these steps, we can immunize our portfolio against interest rate risk. This means that our portfolio will not lose value if interest rates increase.
Now, suppose you are at the end of 1 year and yields have increased by 1%. In this case, the price of the bond will have decreased. However, because we have immunized our portfolio, the value of our portfolio will not have decreased by as much as the price of the bond. This is because the duration of our portfolio is the same as the duration of our liability.
In other words, the immunization strategy has accomplished two things, It has protected our portfolio from interest rate risk and It has minimized the loss in value of our portfolio due to an increase in interest rates.
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A sale should always satisfy both a customer’s wants and his or her needs.
True
False
Answers
Answer:
True
Explanation:
Answer:
true
Explanation:
Explain what it means to diversify across investments ?
Answers
Answer:
true
Explanation:
diversification isna technique that reduces risk by allocating investment across various financial instrument across various fiancial instrument industries and other categories . it aims to maximize returns by investing in different areas that would each react differently to the same event
what is democracy????
Answers
Explanation:
a system of government by the whole population or all the eligible members of a state, typically through elected representatives.
Answer:
A system in which government is selected by the citizens....
Which of the following is a personal benefit of eaming a college degree?
A. You have more friends.
B. You are more likely to exercise.
C. You have a longer life expectancy.
D. You are more likely to vote for the right candidate.
Answers
Answer:
Option B !!!!! :))
Explanation: