The bid price for a bond quote is:
A. determined solely by the time left to maturity.
B. the price at which the bond dealer is willing to sell the bond.
C. fixed over the life of a bond.
D. the price at which the bond dealer is willing to purchase the bond.
Answer: D
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A) fixed input. B) temporary input. C) variable input. D) substitution input.
If the rate of interest is fixed, a profit-maximizing firm will employ capital up to the quantity where MRP = interest rate
Indicate whether the statement is true or false
“Since a public good is enjoyed by all members of society, willingness to pay for the good will not diminish as the amount produced increases.” Evaluate and use an example to support your answer
Please provide the best answer for the statement.
Which of the following "costs" could a firm that wants to remain in business avoid if it halted current production?
A. Opportunity costs B. Variable costs C. Fixed costs D. Sunk costs