« previous next »

Author Question: If a bond pays 50 a year to its holder and you buy it for 200, what is your interest rate? What ... (Read 84 times)

faduma

  • Hero Member
  • *****
  • Posts: 528
on: Jun 29, 2018
If a bond pays 50 a year to its holder and you buy it for 200, what is your interest rate?
 
  What will be an ideal response?

Question 2

If the expenditure multiplier is 5, the slope of the aggregate expenditure (AE) curve is
 
  A) 0.2. B) 0.5. C) 0.8. D) 0.7. E) 0.6.


meltdown117

  • Sr. Member
  • ****
  • Posts: 326
Reply #1 on: Jun 29, 2018
Answer to Question 1

The interest rate is (50  200 )  100 = 25.0 percent.

Answer to Question 2

C


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

Many of the drugs used by neuroscientists are derived from toxic plants and venomous animals (such as snakes, spiders, snails, and puffer fish).

Did you know?

There are 60,000 miles of blood vessels in every adult human.

Did you know?

Drug abusers experience the following scenario: The pleasure given by their drug (or drugs) of choice is so strong that it is difficult to eradicate even after years of staying away from the substances involved. Certain triggers may cause a drug abuser to relapse. Research shows that long-term drug abuse results in significant changes in brain function that persist long after an individual stops using drugs. It is most important to realize that the same is true of not just illegal substances but alcohol and tobacco as well.

Did you know?

Certain topical medications such as clotrimazole and betamethasone are not approved for use in children younger than 12 years of age. They must be used very cautiously, as directed by a doctor, to treat any child. Children have a much greater response to topical steroid medications.

Did you know?

For about 100 years, scientists thought that peptic ulcers were caused by stress, spicy food, and alcohol. Later, researchers added stomach acid to the list of causes and began treating ulcers with antacids. Now it is known that peptic ulcers are predominantly caused by Helicobacter pylori, a spiral-shaped bacterium that normally exist in the stomach.

Directionality of the hydrogen bond Directionality of the hydrogen bond
Effects of Elevation on Heart Rate and Ventilation Effects of Elevation on Heart Rate and Ventilation
There are many types of adaptive devices: (A) a toothbrush; (B) a reaching stick; (C) a shoe holder; ... There are many types of adaptive devices: (A) a toothbrush; (B) a reaching stick; (C) a shoe holder; ...
Hospitalization per year Hospitalization per year
Last year, Terrific Copying had total revenue of $475 000, while operating at 60% of capacity. ... Last year, Terrific Copying had total revenue of $475 000, while operating at 60% of capacity. ...
Video: Uterine (menstrual) cycle - phases

For a complete list of videos, visit our video library