Devin Ray Professor Song Economics 1A 7 December 2017 Essay Number Two (2) Question 1: What is money? What are the differences between M1 & M2? And how do money-market mutual funds differ from M1? Money, as defined by the textbook, “is the set of assets in the economy that people regularly use to buy goods and services from each other.” (text, Ch. 11-1) This definition of money shows the traditional usage of money as exchanged by individuals and firms, however, there is much more to…
Chapter 3 RESULT AND DISCUSSION 1. Growth Responds of String Beans and Bell pepper 1.1 Height Increment of String Beans at Every Two Weeks Interval. Figure 1 shows the height of string beans from 2nd week to 10th week. Data gathered for the height were taken every 2 weeks. Result show that plant inoculated with rhizobial culture from makahiya (MR) were the tallest 67.93 cm after 10th week, followed by plants inoculated with rhizobial culture from lalaking aratilis (PR) 63.96, then PD 59.52.…
Bond Valuation Bond is one of the long term-liability. It is a type of debt or promissory note issued by the borrower that promising to pay its holder a predetermined and fixed amount of interest at fixed interval (6 months, 1 year) and pay the par value at maturity. Bond also is referred to as public debt because they can be traded in the public financial markets. Bonds can be classified in a variety of ways. There are unsecured and secured bonds. The unsecured bonds include debentures,…
Question 1 The banks function as an intermediary between depositors and investors. It is depositor’s main aim to safeguard their saving while investors in the other hand need some financial assistance in order to fulfil their economic and financial objectives. Thus, it is a crucial responsible for them to fulfil the commitment towards few important goals to both clientele. Besides maximizing the profit to fulfil their obligation to the shareholder, banks also responsible to ensure soundness of…
invest their money. Privatization is investing money into personal accounts, stocks or bonds. Privatization is a costly, complicated, and undependable system that won’t be efficient. The fluctuating stock market, significant cost of preserving personal accounts, and reductions in social security benefits make privatization problematical.…
Convertible bond is a bond that gives investors an option to convert their bond into a stated number of shares of a firm’s common share in later date. (Madura, 2016) Convertible bond also known as a hybrid security because it has some characteristic of fixes income securities and some features of stock due to the conversion feature. Convertible bond is a regular interest paying bond and some convertible bond are combined with a call option. Calling the bond is usually a method of compel it…
A Liberty Bond was a bond sold to support the allied cause in World War 1. Contributing to the bonds became a patriotic duty in the United States. This introduced the act of financial securities to citizens for the first time ever. War is expensive and financed through borrowing, taxation, and expedition of printing money. Barely any money was created. Liberty bonds are still used today in which U.S. treasury bonds are issued. A treasury bond is a fixed interest government debt security with a…
The Indianapolis Local Improvement Bond Bank was formed in 1985 as a corporation specializing in the distribution of municipal bonds. As the largest municipal bond bank in the country, the Bond Bank buys, repackages, sells, and manages debt for the City and fourteen other municipal agencies, called Qualifies Entities (QEs). This process grants better access to capital markets and helps lower the cost of borrowing for QEs. The Bond Bank tailors the debt process to meet the QE’s needs and produce…
equity financing and third party financing. The sources of finance are defined as the venues for obtaining funds that come from outside an organization. External sources of finance might include taking on new business partners or issuing equity or bonds to create long term obligation, or commercial paper to take on shorter term debt. (Businessdictionary.com, 2015). Scribd, (2015). Stated that depending on the amount of capital required and the term for which it is needed. Without cash, the…
Adulthood. A point in which everyone's lives will reach. Everyone dreams of that point in their lives where everything is supposed to fall exactly into place. That it would set them up for whatever they want to do. However, it is not always the same way for some. For example, for others, one may have reach adulthood when one's financial status is acceptable. When it comes to one's financial status, there are a few general standards that people would need to follow. For example, handling one's…