This topic contains a solution. Click here to go to the answer

Author Question: When the interest rate falls, bond values (Read 50 times)

amal

  • Hero Member
  • *****
  • Posts: 572

Question 1

Related to the 
Economics in Practice on p. 522: If the estate in the Chekhov play 
Uncle Vanya is earning 2 percent, the interest rate on suitable securities is 5 percent, and the securities are a better risk than the estate, a potential buyer should require the price of the estate be ________ until the equivalent return on the estate is ________.


◦ raised; 5 percent
◦ lowered; 5 percent
◦ lowered; greater than 5 percent
◦ raised; greater than 5 percent

Question 2

When the interest rate falls, bond values


◦ rise.
◦ fall.
◦ are unchanged because the interest rate paid on a bond is fixed.
◦ will either increase or decrease depending on the type of bond.


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by amal on Apr 19, 2019

diana chang

  • Sr. Member
  • ****
  • Posts: 288
Reply #1 on: Apr 19, 2019
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
Answer Preview
Only 39% of students answer this correctly




amal

  • Member
  • Posts: 572
Reply 2 on: Apr 19, 2019
Thanks for the timely response, appreciate it


jordangronback

  • Member
  • Posts: 339
Reply 3 on: Yesterday
Excellent

 

Did you know?

Most childhood vaccines are 90–99% effective in preventing disease. Side effects are rarely serious.

Did you know?

There are more sensory neurons in the tongue than in any other part of the body.

Did you know?

Fungal nail infections account for up to 30% of all skin infections. They affect 5% of the general population—mostly people over the age of 70.

Did you know?

Illness; diuretics; laxative abuse; hot weather; exercise; sweating; caffeine; alcoholic beverages; starvation diets; inadequate carbohydrate consumption; and diets high in protein, salt, or fiber can cause people to become dehydrated.

Did you know?

Interferon was scarce and expensive until 1980, when the interferon gene was inserted into bacteria using recombinant DNA technology, allowing for mass cultivation and purification from bacterial cultures.

For a complete list of videos, visit our video library