A coupon bond has an annual coupon of $75, a par value of $1000, and a market price of $900. Its current yield equals
A) 7.50%.
B) 8.33%.
C) its yield to maturity.
D) Not enough information has been provided to calculate the current yield for this bond.
B
Economics
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Which of the following statements regarding patents is false?
A) Patents can help firms gain market power through innovation and then act as a barrier to entry. B) A firm that has market power as a result of a patent may be more likely to innovate than a perfectly competitive firm. C) Patents encourage the production of information, which might otherwise be under supplied. D) Patents can last for an indefinite time period.
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Given the data in the above table, what is the marginal revenue when the 12th unit is sold?
A) $7.00 B) $5.00 C) $3.00 D) $1.00
Economics