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Exhibit 18.2
USE THE INFORMATION BELOW FOR THE FOLLOWING PROBLEM(S)
Talmart Corporation bonds have a $1,000 face value and will mature in 4 years. The bonds have a 7% coupon rate. Interest is paid annually and the required rate of return is 6 percent for these bonds.
-Refer to Exhibit 18.2. If interest rates increase 50 basis points, what will be the approximate price change for the Talmart bond?
Neoliberalism
An economic and political ideology that emphasizes free-market capitalism, deregulation, and a reduction in government spending.
Empowerment Of Workers
The process of giving employees greater control, autonomy, and decision-making power within their workplace.
Functional Autonomy
A principle in psychology that pertains to how motives can become independent from their origins and demonstrate new patterns of behavior.
Functional Autonomy
A concept in psychology that refers to a behavior or motive that has become independent of its original cause or source, serving its own purpose.
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