Interest rate risk is associated with the bonds price variability given a change in the interest rates.

Suppose you have BOND A, which is a 30 year zero coupon bond and BOND B, which is a 5 year 10% coupon bond. If interest rates (YTM) change from 8% to 7% the bonds will increase in value. Suppose BOND A's price changes from $99.38 to 121.71 and the 5 year 10% coupon bond price changes from $1079.85 to $1123.01. Which bond has the greatest percentage increase in value? Record the percentage increase in value of the bond with the highest percentage change below. Write the increase as a decimal, so a 5% increase would be written as 0.0500.

Accrual accounting matches revenue with expenses, however accruals can be used to manipulate income and expenses. In the Forbes Magazine article, “Cash Doesn’t Lie,” written by Daniel Fisher, the author discusses the use of negative accruals, changes to estimates and recognizing income before it is earned. Read the article and then:

a. Discuss the use of each of these three techniques and their effect on current and future earnings reporting.
b. How should changes of accounting estimates that significantly affect income be reported? Should they be regarded as a change in accounting principle?
c. Research revenue recognition and discuss the accounting rules violated that brought down the company Sunbeam.

PLEASE PROVIDE NEW DETAIL ANSWERS TO EACH QUESTION AND PLEASE NO HAND WRITTEN ANSWERS.

FASB has develop new accounting standards for accounting for leases. These new standards are not covered in your text book. Research the new FASB Lease Accounting Standards and answer the following questions:

1. Why did FASB develop new lease accounting standards?

2. How will accounting for leases change under these new standards?

3. When will the new standards take effect?

4. How will the changes effect companies who lease assets/

5. Based on your reading and research do you think companies are prepared for these changes?

Submit a paper containing your answers and observations concerning these questions and suggestions you would make to companies who are preparing to implement the new standards.

Using the following information to answer the following questions?

Both Bond A and Bond B have 8 percent coupons, make semiannual payments, and are priced at par value. Bond A has 3 years to maturity, whereas Bond B has 20 years to maturity.

a. If interest rates suddenly rise by 2 percent annually (to 10% annually right now), what would be the percentage changes in the prices of Bond A and Bond B?

b. If rates were to suddenly drop by 2 percent instead (to 6% right now), what would be the percentage changes in the prices of Bond A and Bond B?

c. What does this problem tell you about the interest rate risk of long-term bonds?

Using the following information to answer the following questions?

Both Bond A and Bond B have 8 percent coupons, make semiannual payments, and are priced at par value. Bond A has 3 years to maturity, whereas Bond B has 20 years to maturity.

a. If interest rates suddenly rise by 2 percent annually (to 10% annually right now), what would be the percentage changes in the prices of Bond A and Bond B?

b. If rates were to suddenly drop by 2 percent instead (to 6% right now), what would be the percentage changes in the prices of Bond A and Bond B?

c. What does this problem tell you about the interest rate risk of long-term bonds?

Using the following information to answer the following questions?

Both Bond A and Bond B have 8 percent coupons, make semiannual payments, and are priced at par value. Bond A has 3 years to maturity, whereas Bond B has 20 years to maturity.

a. If interest rates suddenly rise by 2 percent annually (to 10% annually right now), what would be the percentage changes in the prices of Bond A and Bond B?

b. If rates were to suddenly drop by 2 percent instead (to 6% right now), what would be the percentage changes in the prices of Bond A and Bond B?

c. What does this problem tell you about the interest rate risk of long-term bonds?

An extruded, rectangular polypropylene strut of width 9 mm, depth 3 mm and length 80 mm is to be loaded from the ends in compression along its length with a creep load of 40 N for one year. [Creep curves for polypropylene are shown below. The buckling load is given by F = (2 p/ L)2 E I. For a rectangular beam the second moment of area is given by I = (w d3) /12.].

In order to improve buckling resistance, explain with reference to the buckling equation, what changes are possible in either material or beam design, indicating any likely constraints on such changes.

Discuss the manufacturing problems (in terms of extruder system design) which must be considered in producing such a beam.

Suppose you are the governor of the Bank of Canada. The economy is experiencing a sharp rise in the inflation rate. What changes would you consider in:

a) Open-market operations

b) The bank rate

c) Explain in each case how the change you advocate would affect chartered bank cash reserves and influence the money supply? Elaborate your ideas with hypothetical examples related to any Canadian charted bank?   

d) Distinguish between the overnight lending rate and the prime interest rate. Why is one higher than the other? Why do changes in the two rates closely track each other? Can we categorize the current monetary policy as an Expansionary Monetary Policy? Why or why not?              

The idea that the proper functioning of a democratic society required citizens to be educated was a key idea behind the creation of free public education in the U.S. Why do you think leaders believed democracy required education? What do you think is the relationship between democracy and education? Do you think education is important for the economic development of poorer countries? Why or why not? What about gender equality in education? What kinds of changes would need to be made if the mainstream U.S. education system were to embrace the ideas of multiple intelligences? What would be some advantages and disadvantages to these changes? In what ways is inequality perpetuated through higher education? What could be done to change this?

please answer no plagirism

1. Fat-soluble vitamins require dietary fat to be optimally absorbed. If you ate a tossed salad, what could you include in the salad to help you absorb the fat-soluble vitamins?

2. Would you prefer to meet your nutrient needs with foods or supplements? What are the benefits of whole foods vs supplements?  

3. Do you think you could change your diet enough to meet the recommendations identified in the report? If not, explain why diet changes would not work for you. If so, what types of changes could you implement now to achieve 100% of your DRIs? Are there fortified or functional foods that could help you meet your needs?