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svlad2
2 months ago
13

On March 11, 20XX, the existing or current (spot) one-year, two-year, three-year, and four-year zero-coupon Treasury security ra

tes were as follows:
1R1 = 4.75%, 1R2 = 4.95%, 1R3 = 5.25%, 1R4 = 5.65%

Using the unbiased expectations theory, calculate the one-year forward rates on zero-coupon Treasury bonds for years two, three, and four as of March 11, 20XX.
Business
1 answer:
soldi70 [3.6K]2 months ago
4 0

Answer:

Explanation:

The one-year forward rate for year 2 is as follows:

(1+4.75%)(1+f)=(1+4.95%)^2    

(1+4.75%)(1+f)=1.10145025

(1+F)=1.10145025/1.0475

(1+f)=1.0515

f= 5.15%

The one-year forward rate for year 3 is calculated as:

(1+4.95%)^2 (1+f)=(1+5.25%)^3    

(1+4.95%)^2 (1+f)=1.16591345312

(1+f)=1.16591345312 /1.10145025

(1+f)=1.0585

f=5.85%

For the one-year forward rate for year 4:

(1+5.25%)^3 (1+f)=(1+5.65%)^4

(1+f)=1.0685

f= 6.85%

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The management of ABTronics firm seeks to convince its employees of their stake in the prosperity of the firm. How can they best
soldi70 [3635]

Answer:

There are multiple ways the management can achieve this.

Explanation:

Having a stake in something grants one benefits should it succeed.

If ABTronics’ management aims to persuade its staff regarding their investment in the firm's success, they could consider the following approaches:

1. Raise their salaries

2. Provide bonuses for extra hours worked.

3. Offer festival bonuses as well.

4. Reduce the workload by hiring additional employees.

5. Expand by opening more branches.

5 0
2 months ago
Kreter, Inc. earned net income of $300,000 last year. This year it wants to earn net income of $450,000. The company's fixed cos
stepan [3596]

Answer:

The sales amount is $2,500,000

Explanation:

To achieve a net income of $450,000 this year, the company needs to total its net income with variable and fixed costs.

To clarify, we apply the net income formula:

net income=sales-variable costs-fixed costs

By reworking the formula, sales can be calculated as:

sales=net income+variable costs+fixed costs

variable costs equal to 70% of sales,, rendering sales to be 0.7 times sales

sales=$450,000+$300,000+0.7 sales

This leads to sales - 0.7 sales = $750,000

Thus, 0.3 sales equals $750,000

As a result, sales equals $750,000/0.3 which is $2,500,000

8 0
1 month ago
1. Estratégia é o caminho para ir de um ponto a outro, obedecendo a restrições e respeitando determinado prazo. Para se definir
harina [3808]

Answer:

Olá, fiz algumas pesquisas e encontrei a resposta que você solicitou.

d. Excluir a análise de forças, oportunidades, fraquezas e ameaças em que a empresa está inserida.

Explanation:

A estratégia organizacional é elaborada conforme as metas e objetivos que a empresa deseja alcançar tanto a curto quanto a longo prazo.

Dessa forma, é essencial implementar planos que ajudem a empresa a obter os resultados esperados.

A análise SWOT é uma estratégia de gestão que possibilita que uma organização compreenda as variáveis internas (forças e fraquezas) e externas (oportunidades e ameaças) que influenciam seu desempenho, afetando os resultados.

Portanto a alternativa D é falsa, pois a análise das forças, oportunidades, fraquezas e ameaças organizacionais ajuda a identificar os pontos fortes e fracos da empresa, facilitando a coordenação, correção e controle do ambiente para obter uma eficácia organizacional maior.

5 0
2 months ago
When toyota announces a product recall on its camry model due to a faulty igniter, they are using ________ to coordinate with de
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When Toyota issues a recall on its Camry model due to a defective igniter, they implement reverse logistics to work with dealers and vehicle owners. Reverse logistics involves the strategy of organizing and managing the flow of raw materials from the consumption point, aiming for either value recovery or proper disposal.
3 0
1 month ago
​DeShawn's Detailing is a service that details cars at the​ customers' homes or places of work.​ DeShawn's cost for a basic deta
Katen [3525]

Answer:

DeShawn should not continue offering the engine detailing service

Explanation:

Given data

Cost = $40

Charge = $75

Total price = $90

Additional charges amount to $20

To determine

Whether DeShawn should proceed with the offer

Solution

Here, we know DeShawn's marginal benefit is Marginal benefit = total price - charge

Marginal benefit = 90 - 75

Marginal benefit = $15

Given that the additional charge is $20

Thus,

the marginal cost exceeds the marginal revenue

Hence, DeShawn should not continue the engine detailing service

8 0
2 months ago
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