Barb is a corporate bondholder. What can she expect from owning a bond?
a. She will be allowed to vote for company leaders.
b. She may earn huge profits if the company’s share price grows.
c. She will have to make annual interest payments to the company.
d. She will receive a fixed interest payment from the company.
d. She will receive a fixed interest payment from the company.
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The volume of loans that the Fed makes to banks is affected by the Fed's setting of the interest rate on these loans, called the
A) federal funds rate. B) prime rate. C) discount rate. D) interbank rate.
The opportunity cost of the U.S. producing tea or coffee is measured by the value of the foregone production alternative—manufacturing or staples
Indicate whether the statement is true or false
If incomes in the United States increase, other things equal, then U.S. _____
a. imports increase and exports remain constant b. exports increase and imports decrease c. imports decrease and exports decrease d. imports remain constant and exports increase e. net exports remains constant
Holders of convertible stock have __________ but not ______________
a. corporate bonds that yield interest; dividends b. dividends; corporate bonds that yield interest c. first claim to dividends; voting rights d. voting rights; first claim to dividends e. exclusion from double taxation; from any taxation