Refer to the Accompanying Table to Answer the Questions -Assume That Strawberries Cost $1 and Apples Cost $2

question 33

Multiple Choice

Refer to the accompanying table to answer the questions. $\begin{array}{cccc}\text { Stranberries } \\\text { Consunned } & \text { Total Utility } & \begin{array}{l}\text { Apples } \\\text { Consumed }\end{array} & \text { Total Utility } \\0&0 & 0 & 0 \\1&7 & 1 & 14 \\2&13 & 2 & 26 \\3&18 & 3 & 36 \\4&22 & 4 & 44 \\5&25 & 5 & 50 \\6&27 & 6 & 54 \\7&28 & 7 & 56\end{array}$
-Assume that strawberries cost $1 and apples cost $2. Which of the following combinations of strawberries and apples satisfies the following rule? $$\frac { M U _ { x } } { P _ { x } } = \frac { M U _ { y } } { P _ { y } }$$

• A) 2 strawberries and 4 apples
• B) 6 strawberries and 5 apples
• C) 5 strawberries and 5 apples
• D) 3 strawberries and 2 apples
• E) 6 strawberries and 7 apples

Comprehend the structure and components of a bond, including the difference between the face value, market price, clean price, and dirty price.

Understand the reasons behind issuing bonds for financing projects and the implications for a company's financial management.

Differentiate between premium and discount bonds based on market price relative to face value.

Analyze the term structure of interest rates and its impact on bond pricing and investment decisions.

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Definitions:

Cash

Money in the form of bills or coins; physical currency that is used as a medium of exchange.

Assignment

A process by which one party transfers rights, duties, or property to another.

Promissory Note

A financial instrument in which one party promises in writing to pay a determinate sum of money to another, either at a fixed or determinable future time or on demand of the payee.

Payee

A person to whom an instrument is made payable.