An Advantage of Microsoft Windows Is Its Compatibility with the Widest

question 138

Multiple Choice

An advantage of Microsoft windows is its compatibility with the widest range of hardware and software. The dominance of Windows is self-reinforcing: hardware and software manufacturers ensure that their products are compatible with Windows in order to have access to the large number of Windows users. Which principle best describes this scenario?

• A) endowment effects
• B) endorsement effects
• C) economies of scale
• D) network externalities

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Definitions:

Duration

Duration is a measure of the sensitivity of the price of a bond or other debt instrument to changes in interest rates, typically expressed in years.

Interest Rate Risk

The potential for investment values to change due to variations in the prevailing interest rates.

Coupon Rate

The annual interest rate paid by a bond's issuer to its bondholders, typically expressed as a percentage of the bond's face value.

Coupon Rate

A yearly interest payment as a percentage of the bond's nominal value.