Elena Owns a Canada Savings Bond with a A Price

question 72

Multiple Choice

Elena owns a Canada Savings Bond with a a price of $5,000, which pays $500 per year. The price of the bond rises in the bond market to $7,500. What is the new interest rate on the bond?

• A)5 percent
• B)6.67 percent
• C)10 percent
• D)20 percent
• E)500 percent

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Definitions:

Grinding Machine Time

The amount of time a grinding machine is used in the manufacturing process, often a basis for allocating production costs.

Intermediate Calculations

The steps or computations performed as part of a larger problem-solving process, often leading towards final results or conclusions.

Production Facility

A location equipped with machinery and tools used in the manufacturing or production of goods.

Variable Cost

Costs that change in proportion to the level of goods or services produced by a business, such as raw materials and direct labor.