What would you expect the market value to be for a four year bond that has a face value of 10,000 and a coupon return of $2000 when the market interest rate is 6%?
A) $14,851.15
B) $6,930.21
C) $13,742.22
D) $18,000.00
A
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The following OLS assumption is most likely violated by omitted variables bias:
A) E(ui Xi) = 0 B) (Xi, Yi) i=1,..., n are i.i.d draws from their joint distribution C) there are no outliers for Xi, ui D) there is heteroskedasticity
Exhibit 9-3 Keynesian aggregate expenditures model
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As shown in Exhibit 9-3, if GDP is $14 trillion, the economy experiences unplanned inventory:
A. accumulation of $12 trillion. B. depletion of $14 trillion. C. accumulation of $2 trillion. D. depletion of $4 trillion.
Which of the following factors would economists consider "key" to economic development?
A. establishing a system of property rights B. expansionary monetary policy C. policies that promote consumption expenditures by households D. All of these are correct.
Refer to the information provided in Figure 23.5 below to answer the question(s) that follow. Figure 23.5Refer to Figure 23.5. The MPS for this saving function is
A. 5. B. 4. C. 0.5. D. 0.25.