Suppose the Federal Reserve auctions $100 million of 10-year notes. The competitive bids are A: $40 million at 4.6%; B: $20 million at 4.7%; C: $40 million at 4.8%, where the yields above are quoted on a bond equivalent basis (BEY). Noncompetitive offers total $2 million. Calculate coupon rate, sale price (for $100,000 of maturity value), and total revenue for the Treasury. (The coupon rate is set by approximating the stop-out yield to the lower 8th of a percentage point)
In: Finance
Suppose the Federal Reserve auctions $100 million of 10-year notes. The competitive bids are A: $40 million at 4.6%, B: $20 million at 4.7%; C: $40 million at 4.8%, where the yields above are quoted on a bond equivalent basis (BEY). Noncompetitive offer total $2 million. Calculate coupon rate, sale price (for $100,000 of maturity value), and total revenue for the Treasury. (The coupon rate is set by approximating the stop-out yield to the lower 8th of a percentage point.)
In: Finance
Scenario A: A monopolist faces the following demand curve, marginal revenue curve, total cost curve for its product:
Q=3500-5p
MR= 250-Q
TC=15Q
MC=100
What level of output maximizes total revenue?
What is the profit maximizing level of output?
What is profit maximizing price?
How much profit does the monopolist earn?
Suppose that a tax of $10 for each unit produced is imposed by state government. What is the profit maximizing level of output.
In: Economics
Consider a market where the inverse demand function is p =100 – Q, Q = q1+q2. Both firms in the market have a constant marginal cost of $10 and no fixed costs. Suppose these two firms are engaged in Cournot competition. Now answer the following questions:
a) Define best response function. Find the best response function for each firm.
b) Find Cournot-Nash equilibrium quantities and price.
c) Compare Cournot solution with monopoly and perfect competitive solutions.
In: Economics
The cost function C and the price-demand function p are given. Assume that the value of C(x) and p(x) are in dollars. Complete the following. C(x) = x2 100 + 7x + 2000; p(x) = − x 40 + 5 (a) Determine the revenue function R and the profit function P. R(x) = P(x) = (b) Determine the marginal cost function MC and the marginal profit function MP. MC(x) = MP(x) =
Here is a picture of the problem: https://gyazo.com/6ce694b737f7dd4cfb20fbb9d1917420
In: Math
A company buys a 100 par value bond with 5% annual coupons. The company pays a price that will give it a yield rate of 4% effective if the bond matures at par at the end of 7 years. The company receives all coupons when due. However, at the end of 7 years, the company receives a maturity value of only 90, due to the bankruptcy of the issuer of the bond. The company's effective annual yield rate over the 7- year period is i. Determine i.
Pls. Show formula used
In: Finance
Presented below is information related to Metlock
Company.
|
Date |
Ending Inventory |
Price |
||||
| December 31, 2014 | $ 83,800 | 100 | ||||
| December 31, 2015 | 176,802 | 158 | ||||
| December 31, 2016 | 175,320 | 180 | ||||
| December 31, 2017 | 197,535 | 195 | ||||
| December 31, 2018 | 238,140 | 210 | ||||
| December 31, 2019 | 286,452 | 218 | ||||
Compute the ending inventory for Metlock Company for 2014 through
2019 using the dollar-value LIFO method.
In: Accounting
Peter and Mark are considering buying a Treasury Bill that promises to pay $100 000 in 91 days. Peter has a time value of money of 8% per annum and Mark has a time value of money of 6% per annum.
a) Identify, with reason(s) which one of the two will be willing to pay more for the Treasury Bill.
b) Suppose the Treasury Bill was for 182 days, what would this change in maturity do to the price that either Peter or Mark would be wiling to pay
In: Finance
3. Easton Company uses the periodic inventory system and had the following inventory & sales activity for the month of May 2019: Date Activity Quantity Unit Price 5/1 Beginning Inventory 100 $10 5/5 Purchase 240 $12 5/15 Purchase 270 $14 5/25 Purchase 320 $16 Sales were 430 units at $20. Using the FIFO method, determine the dollar value of Cost of Goods Sold for the month of May.
In: Accounting
The following information relates to the Shamrock Company.
|
Date |
Ending Inventory |
Price |
||||
|
December 31, 2013 |
$ 69,400 |
100 |
||||
|
December 31, 2014 |
102,080 |
116 |
||||
|
December 31, 2015 |
110,208 |
128 |
||||
|
December 31, 2016 |
123,816 |
132 |
||||
|
December 31, 2017 |
116,058 |
138 |
||||
Use the dollar-value LIFO method to compute the ending inventory
for Shamrock Company for 2013 through 2017.
|
Ending Inventory |
|||
|
2013 |
$ |
||
|
2014 |
$ |
||
|
2015 |
$ |
||
|
2016 |
$ |
||
|
2017 |
$ |
In: Accounting