A perpetuity is distinguished from other bonds in that it
a. pays continuously compounded interest.
b. pays interest only when it matures.
c. never matures.
d. will be used to purchase another bond when it matures unless the owner specifies otherwise.
c
You might also like to view...
Perfect asset substitutability is the assumption that
A) the foreign exchange market is in equilibrium only when expected returns on domestic assets are greater than returns on foreign currency bonds. B) the foreign exchange market is in equilibrium only when expected returns on foreign currency bonds are greater than returns on domestic assets. C) the foreign exchange market is in equilibrium only when expected returns on all assets are negative. D) the foreign exchange market is in equilibrium only when expected returns on domestic assets are equal to returns on foreign currency bonds. E) the foreign exchange market is in equilibrium only when domestic assets are risk-free.
This profit-maximizing firm produces a quantity of about ________ units.
A. 40
B. 45
C. 50
D. 55
Three of the four following questions are indicative of the three fundamental economic questions. Leaving out the irrelevant question, rearrange the three relevant questions in the order an economy must answer them. - How should hybrid cars be produced? - Should corn be produced in the North or in the South? - Who drives hybrid cars? - Should more hybrid cars and fewer SUVs be produced?
A. 1. Should more hybrid cars and fewer SUVs be produced? 2. Should corn be produced in the North or in the South? 3. How should hybrid cars be produced? B. 1. Who drives hybrid cars? 2. Should more hybrid cars and fewer SUVs be produced? 3. Should corn be produced in the North or in the South? C. 1. Should more hybrid cars and fewer SUVs be produced? 2. How should hybrid cars be produced/ 3. Who drives hybrid cars D. 1. How should hybrid cars be produced 2. Should more hybrid cars and fewer SUVs be produced? 3. Should corn be produced in the North or in the South?
The city of Logan Square needs $40 million for a network of streetlights. There are 20,000 residents in the Logan Square neighborhood, meaning the cost for each resident is $2,000. Mr. Miller refuses to donate $2,000 towards the project. This is an example of the problems encountered with:
A. consumer goods. B. capital goods. C. private goods. D. public goods.