A bond's value will increase when interest rates increase.
Answer the following statement true (T) or false (F)
False
An increase in interest rates leads to a decline in the values of outstanding bonds. Because interest rates can rise, bondholders face the risk of suffering losses in the market values of their bond portfolios. See 6-5: Interest Rates and Bond Values
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You are trying to do a reference check for a potential new hire, but when you contact the candidate’s most recent supervisor by phone, he will only offer the candidate’s dates of employment with that company. What should you do?
a. Thank the manager and end the phone call. b. Ask if the manager would be willing to do an in-person interview. c. Quickly ask the manager if he would hire that candidate again. d. Quickly ask the manager if the candidate was ever disciplined in a serious way.
In the decision on whether or not to drop an unprofitable product line, the product line will most likely be dropped if:
A) all of the product line's fixed costs are unavoidable. B) the product line's total fixed costs are less than the contribution margin lost from dropping the product line. C) the contribution margin lost from dropping the product line is less than the fixed costs avoided from dropping the product line. D) the contribution margin lost from dropping the product line is more than the fixed costs avoided from dropping the product line.
A factual incapacity may exist when, because of a mental condition caused by medication, drugs, alcohol, illness, or age, a person does not understand that a contract is being made or understand its general nature
Indicate whether the statement is true or false
The monthly fee that HMOs charge employers is called the:
A) capitation payment B) capitation and insurance premium C) insurance premium D) subscription fee