Refer to the given information. If the price of this bond increases to $1,250, the interest rate will:
Answer the question on the basis of the following information for a bond having no expiration
date: bond price = $1,000; bond fixed annual interest payment = $100; bond annual interest
rate = 10 percent.
A. fall to 9 percent.
B. fall to 8 percent.
C. rise to 11 percent.
D. rise to 12 percent.
B. fall to 8 percent.
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High Tech, Inc. produces plastic chairs that sell for $10 each. The following table provides information about how many plastic chairs can be produced per hour. Number of WorkersChairs Produced Per Hour00110218324428530For simplicity, assume that labor is the only input. How many workers will be hired if the hourly wage for workers is $70?
A. 3 B. 4 C. 1 D. 2
The amount of time that it takes between recognizing an economic problem and implementing policy to solve it is
A) the recognition time lag. B) the effect time lag. C) the action time lag. D) fiscal policy.
Based on the above table, the reserve ratio for the banking system is
A) 1 percent. B) 15 percent. C) 20 percent. D) 10 percent.
Which of the following is an aim of a price-fixing agreement?
a. Reducing entry barriers b. Increasing profit c. Reducing price d. Increasing demand