Answer:
d. treasury and top-grade corporate bonds pay interest two times each year
Explanation:
Treasury bonds represent the best solution for investing, having in mind the <u>low-risk aspect</u> and the fact that they are <u>issued by the government</u>. Treasury and top-grade corporate bonds always pay <u>semiannual interests</u>.
<em>Junk bonds</em> should not be even considered in risk-free options, as a junk bond is a bond issued by a struggling company, which may happen not to pay any interest sometimes.
<em>Common stock</em> does not necessarily have to pay quarterly dividends, as some companies pay dividends monthly, or even annually. Also, the risk is still lower in treasury bonds, as common stock becomes questionable in the case of company liquidation. If and when that happens, common stockholders gain rights to company assets only after bondholders and preferred shareholders become paid.
The default risk is present in all bonds, including <em>Yankee bonds</em>, which are issued by foreign companies in the USA.
Answer: The saving rate is 0.30
Explanation:
The Golden Rule savings rate is referred to as the rate of savings which maximizes steady state level or growth of consumption.
Let k be the capital/labour ratio (i.e., capital per capita), y be the resulting per capita output ( y = f(k) ), and s be the savings rate. The steady state is referred to as a situation in which per capita output is unchanging, which implies that k be constant. This requires that the amount of saved output be exactly what is needed to one quip any additional workers and two replace any worn out capital.
In a steady state, therefore: sf(k)=(n+d)k
Growth rate of output =3%
Depreciation rate= 4%
Capital output ratio is (K/Y)
= 2.5
Begin the steady state condition:
S= ( σ + n + g) (k/Y)
S= (0.03+0.04) (2.5)
S= 0.175
Golden rule steady state
MPK= (0.03+0.04)= 0.07
Capital output ratio=
K/Y= Capital share / MPK
K/Y= 0.3/0.07
K/Y= 4.29
In the golden state, the capital output ratio is equal to 4.29 in comparison to the current capital ratio 2.5.
The saving rate consistent with the steady growth rate
S= ( σ + n + g) (k/Y)
S= (0.03 +0.04) (4.29)
S= 0.30
The saving rate that is consistent with the steady growth rate is 0.30
Answer: Option D
Explanation: The scope of providing better quality services in case of tax consultancy is quite difficult as the tax rates and rules are already set and there is little area for flexibility.
However, the manner of providing service could be changed maximizing the satisfaction of the customer or such areas of service could be covered which are not provided by the other firms.
Hence from the above we can conclude that the correct option is D.
Answer:
The correct answer to the following question is Trade fixtures.
Explanation:
The installations made by Michael ( who is the owner of restaurant in Buffalo, New York ) such as commercial ovens and dishwashers are example of trade fixtures. Trade fixtures are those type of property that a tenant (which Michael is in this case) attaches to the building or land that he or she has taken on lease, for purpose of conducting business on that property.
Answer:
Consider the following analysis
Explanation:
1. yes, it is wrong. it comes under insider trading only. using the confidential information for self benefit is comes under insider trading only. in this example, he heard something, he does not know it is right or a wrong. share the same with others is his wish, but selling the total stock, is going to interrogate later.
2. discovery in legal aspects is the proces of learn about the other side of the case, when there are two parties involves in a case, identifying the other aspects and view of other party in legal view is called discovery. there are different alternatives in this, they are: depositions, interrogatories, request for production, request for admission, physical examination or legal assistance.
