An $8,000 coupon bond with a $400 coupon payment every year has a coupon rate of
A) 5 percent.
B) 8 percent.
C) 10 percent.
D) 40 percent.
A
You might also like to view...
Which theorem tells us that no voting system is perfect?
A. Arrow's impossibility theorem B. Median-voter theorem C. Condorcet paradox D. Bowman's problematic theorem
The IMF uses the quota system to determine how much a country may borrow from the Fund.
a. true b. false
If the average price level increases 10 percent per year, and the velocity of money is 2, then the:
A. inflation rate is 5 percent. B. inflation rate is 2 percent. C. inflation rate is 10 percent. D. inflation rate is 20 percent.
Refer to the information provided in Figure 12.4 below to answer the question(s) that follow.
Figure 12.4There are two sectors in the economy, X and Y, and both are in long-run, zero-profit equilibrium at the intersections of S0 and D0.Refer to Figure 12.4. Assume consumer preference changes toward X and away from Y. Ceteris paribus, the likely change in capital flows in sectors X and Y will eventually________ in industry X and ________ in industry Y.
A. decrease the price to P0; decrease the price to P1 B. increase the price to P1; decrease the price to P1 C. increase the price to P1; increase the price to P0 D. decrease the price to P0; increase the price to P0