The interest-rate risk of a bond is

A) the risk related to the possibility of bankruptcy of the bond's issuer.
B) the risk that arises from the uncertainty of the bond's return caused by changes in interest rates.
C) the unsystematic risk caused by factors unique in the bond.
D) the risk related to the possibility of bankruptcy of the bond's issuer, and the risk that arises from the uncertainty of the bond's return caused by changes in interest rates.
E) All of the options are correct.

In central Florida,the demand for real estate has been increasing rapidly for years.Therefore,the _____ cost of capital is _____ in central Florida's orange groves.

A) explicit;decreasing
B) implicit;increasing
C) implicit;decreasing
D) explicit;increasing

This method is based on the theory that older accounts are less likely to be collected.

A) Direct write-off method
B) Aging of receivables method
C) Percent of sales method
D) Allowance method

Carver Corporation produces a product which sells for $40.Variable manufacturing costs are $18 per unit.Fixed manufacturing costs are $5 per unit based on the current level of activity, and fixed selling and administrative costs are $4 per unit.A selling commission of 15% of the selling price is paid on each unit sold.The contribution margin per unit is:

A) $7
B) $17
C) $22
D) $16

A shortage occurs when there is an excess supply in a market.

Meglino's value schema includes theoretical, economic, aesthetic, social, political, and religious values.

Suppose you pay $9,700 for a $10,000 par Treasury bill maturing in 3 months. What is the holding-period return for this investment?

A) 3.01%
B) 3.09%
C) 12.42%
D) 16.71%

As new firms enter a monopolistically competitive industry, the ________ curve facing each existing firm will shift to the left and become more elastic because there are now ________ substitutes for its product.

A) demand; more
B) demand; less
C) supply; more
D) supply; less