Which of the following statements is CORRECT?
a. If the maturity risk premium (MRP) is greater than zero, then the yield curve must have an upward slope.
b. Because long-term bonds are riskier than short-term bonds, yields on long-term Treasury bonds will always be higher than yields on short-term T-bonds.
c. If the maturity risk premium (MRP) equals zero, the yield curve must be flat.
d. The yield curve can never be downward sloping.
e. If inflation is expected to increase in the future, and if the maturity risk premium (MRP) is greater than zero, then the yield curve will have an upward slope.
e
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Answer the following statement true (T) or false (F)
In Hughes v. Oklahoma, Oklahoma law forbid the export of natural minnows, to help protect the state's natural resources. When this law was challenged, the Supreme Court announced a test of constitutionality that did not include which provision:
a. whether another rule could be used to achieve the same purpose without discriminating against interstate commerce b. whether the rule was evenhanded with only incidental effects on interstate commerce c. whether the rule serves a legitimate local interest d. the specific choices are all correct e. none of the other choices are correct
Trial. Robert Michels met Allison Formal through an online dating Web site in 2002. Michels represented himself as the retired chief executive officer of a large company that he had sold for millions of dollars. In January 2003, Michels proposed that he
and Formal create a limited liability company (a special form of business organization discussed )—Formal Properties Trust, LLC—to "channel their investments in real estate." Formal agreed to contribute $100,000 to the company and wrote two $50,000 checks to "Michels and Associates, LLC." Six months later, Michels told Formal that their LLC had been formed in Delaware. Later, Formal asked Michels about her investments. He responded evasively, and she demanded that an independent accountant review the firm's records. Michels refused. Formal contacted the police. Michels was charged in a Virginia state court with obtaining money by false pretenses. The Delaware secretary of state verified, in two certified documents, that "Formal Properties Trust, L.L.C." and "Michels and Associates, L.L.C." did not exist in Delaware. Did the admission of the Delaware secretary of state's certified documents at Michels's trial violate his rights under the Sixth Amendment? Why or why not?
Ash Company reported sales of $460,000 for Year 1, $510,000 for Year 2, and $560,000 for Year 3. Using Year 1 as the base year, what is the revenue trend percent for Years 2 and 3?
A. 110.9% for Year 2 and 121.7% for Year 3. B. 90.0% for Year 2 and 82.1% for Year 3. C. 90.0% for Year 2 and 91.1% for Year 3. D. 82.1% for Year 2 and 91.1% for Year 3. E. 121.7% for Year 2 and 110.9% for Year 3.