Describe the duty of bondholders in a bond
Describe the duty of bondholders in a bond?
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1. Bondholder is only a lender not an owner.
2. Because of certain factors usually Bonds are less risky.
a. Before stockholder dividends are intended bondholders can take interest payments.
b. Dividends depend on profits whereby interest is definite as long as company is vigorous.
Briefly describe Financial Leverage? In what manner it is calculated? What does low or high financial leverage signify?
Productive (technical) efficiency needs maximization of the: (i) opportunity cost of a specified value of output. (ii) resources used to produce a specified value of output. (iii) value of output produced for a given total cost. (iv) satisfaction atta
Give a brief introduction of the term Operating Leverage?
According to Adam Smith nation's wealth is, not the gold this possesses, but somewhat it’s: (1) number of people. (2) capability to give goods for its people. (3) foreign investments. (4) domestic financial capital. (5) militar
Writ short note on the income of functional distribution?
Transaction costs tend to be decreased, prices to consumers are classically stabilized and lowered, and economy-wide efficiency is generally improved through: (1) rigid wage and price controls. (2) central planning that fosters monopo
Explain the law of supply. Why does the supply curve slope upward?
An increase within demand for "green-certified" products will ________ a firm's economic profit, and the raise within costs to have a product certified like "green" will ________ a firm's economic profit: w) increase; increase x) increase; decrease y)
Question: a. In the short-run, it is easier for a country to maintain a peg that undervalues a currency (relative to the equilibrium market rate) than it is to maintain a peg that overvalues the currency (relative
The market-based economic system: (1) Appears to be ‘natural’ as it has existed in all societies. (2) Has dominated the economic relationships in United States since from the year1492. (3) Guided resource allocation in middle ages. (4) Is
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