A corporation is likely to "call" a bond if
A) it goes bankrupt.
B) it has short-term liquidity problems.
C) interest rates fall sharply.
D) interest rates rise sharply.
C
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Refer to Figure 2.1. If you choose to produce only agricultural products, what is the maximum quantity you can produce per year?
A) 200 tons B) 400 tons C) 600 tons D) > 600 tons
For a profit-maximizing monopolistically competitive firm, price exceeds marginal cost in
a. the short run but not in the long run. b. the long run but not in the short run. c. both the short run and the long run. d. neither the short run nor the long run.
Calculate cumulative losses or gains if you buy (long) 4corn futures contracts @ $5.96/bushel one day and settlement prices will be at $5.50/bushel corn on the later day you evaluate your position. Initial and maintenance margins for corn are $2,700 and $2,000 per contract. Compute gains or losses and then compare your computed number to the following possible answers.
A. A loss of $9,200. B. A gain of $9,200. C. A gain of $10,800. D. A loss of $10,800.
What is the discouraged worker effect?
A. A discouraged worker accepts a part-time job and is therefore counted as being employed. B. A discouraged worker will accept any job offer regardless of the wage. C. A discouraged worker stops looking for a job and therefore is no longer counted as being in the labor force. D. Because a discouraged worker accepts a part-time job when he wants a full-time job, he is considered to still be unemployed. E. A discouraged worker stops looking for a job but is still counted as being in the labor force.