There is an inverse relationship between the price of a bond and its current yield.
Answer the following statement true (T) or false (F)
True
The current yield is one measurement of the rate of return on a bond and is equal to the annual interest payment divided by the bond's price. If the bond price increases, the current yield goes down (the denominator increased). If the bond price decreases, the current yield goes up.
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The value of a producer's output minus the value of the inputs it purchases from other producers is called the producer's
A) surplus. B) profit. C) value added. D) gross product.
In 1886, what did the U.S. Supreme Court rule in Wabash, St. Louis, and Pacific Railway v Illinois?
(a) Only the federal government could regulate commerce across states. (b) Only the states had the right to regulate commerce across states. (c) Neither the federal or state governments had the right to regulate across states. (d) Railroads were not subject to any government regulation, state or federal.
Michelle Martelle, CEO of Michelle Enterprises, has five projects in hand and is considering which, if any, to undertake. Their expected returns are: project A = 12 percent, project B = 7 percent, project C = 10 percent, project D = 9 percent, and project E = 8 percent. If the interest rate is 8.5 percent, which, if any, investment projects will she accept?
a. Only project A. b. Projects A and C. c. Projects A, C and D. d. Projects A, C, D and E. e. Projects A, B, C, D and E.
Define an M-form organization and discuss its advantages over a U-form organization