What are the two drawbacks of the traditional approach to the valuation of bonds with embedded options?
What will be an ideal response?
Traditional analysis of the yield premium for a non-Treasury bond involves calculating the difference between the yield to maturity (or yield to call) of the bond in question and the yield to maturity of a comparable-maturity Treasury. The latter is obtained from the Treasury yield curve. The drawbacks of this convention, however, are (i) the yield for all bonds (Treasury versus either callable or noncallable non-Treasury bonds) fails to take into consideration the term structure of interest rates, and (ii) in the case of callable and/or putable bonds, expected interest-rate volatility may alter the cash flow of a bond.
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Nonaka (2001) and others applied Polanyi’s concept of explicit and tacit knowledge but adapted it for management. How does Nonaka conceptualize the concept of tacit knowledge?
a. The formalized, accessible knowledge that can be thought, communicated and shared b. The process of learning, forgetting and memorizing what we do and say c. The underlying personal beliefs, values, and prescriptions that individuals take for granted d. The knowledge that comes with learning how to do things
A model of HRM that focuses more on ensuring that HR strategy fits and is driven by the overall corporate strategy is known as a ______ Model.
a. Systems b. Soft c. Hard d. Planning
Drop shippers are common in industries with bulky products, such as coal or timber.
Answer the following statement true (T) or false (F)
MRP nervousness refers to the notion that a small change at the top of a bill of material can have drastic effects on items farther down the bill of material
Indicate whether the statement is true or false.