Archive for May, 2008
Corporate Bonds And Notes
May 29th, 2008
Question: How do you Translating Words into Equations?
6. An automobile dealer has $750,000 worth of inventory in luxury cars and midsize cars. The profit
on a luxury car is 32% and the profit on a midsize car is 22%. The profit for the entire stock is
$195,000. How much inventory (in dollars) does the dealer have in each type of car? (Note: You are
not asked how many of each type of car he has.)
7. A total of $20,000 is invested in two Corporate Bonds, Bond A and Bond B. Bond A earns 5.5%
simple interest while Bond B earns 7.5% simple interest. The investor wants an annual interest income
of $1250 from these investments. How much should she invest in each bond?
When I multiply my first lucky number by 5 and my second lucky number by 7, the results produce a
sum of 123. When I add twice my first lucky number to my second lucky number, the sum is 21.
What are my lucky numbers?
Answer: Hi,
6. An automobile dealer has $750,000 worth of inventory in luxury cars and midsize cars. The profit on a luxury car is 32% and the profit on a midsize car is 22%. The profit for the entire stock is $195,000. How much inventory (in dollars) does the dealer have in each type of car? (Note: You are not asked how many of each type of car he has.)
L + M = 750000
.32L + .22M = 195000
-.22(L + M = 750000)
.32L + .22M = 195000
-.22L - .22M = -165000
.32L + .22M = 195000
---------------------------------
.1L = 30000
L = 300,000 <=luxury cars are worth $300,000
M = 450,000 <=midsize cars are worth $450,000
7. A total of $20,000 is invested in two Corporate Bonds, Bond A and Bond B. Bond A earns 5.5% simple interest while Bond B earns 7.5% simple interest. The investor wants an annual interest income of $1250 from these investments. How much should she invest in each bond?
A + B = 20,000
.055A + .075B = 1,250
-.055(A + B = 20,000)
.055A + .075B = 1,250
-.055A - .055B = -1100
.055A + .075B = 1,250
----------------------------------
.02B = 150
B = 7,500
She needs to invest at least $7,500 in Bond B in order to earn a minimum of $1250 interest. This means that $12,500 can be invested in Bond A.
When I multiply my first lucky number by 5 and my second lucky number by 7, the results produce a sum of 123. When I add twice my first lucky number to my second lucky number, the sum is 21.
What are my lucky numbers?
5x + 7y = 123
2x + y = 21
5x + 7y = 123
-7(2x + y = 21)
5x + 7y = 123
-14x - 7y = -147
------------------------
-9x = -24
x = 8/3
If x = 8/3 and 2x + y = 21, then:
2(8/3) + y = 21
16/3 + y = 21
16 + 3y = 63
3y = 47
y = 47/3
Your lucky numbers are 8/3 and 47/3, which are an unusual choice.
That shows your true individuality.
I hope that helps!! 
Dow Jones LATixx English language video
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Corporate Bonds For Sale
May 18th, 2008
Question: Economics 2 multiple choice questions help!!!!?
1. The sale of a used automobile would not be included in the gross domestic product for the current year because it is a:
A. Nonmarket transaction
B. Nonproduction transaction
C. Noninvestment transaction
D. Public transfer payment
2. The value of corporate stocks and bonds traded in a givin year is:
A. Included in the calculation of GDP because they make a contribution to the current production of goods and services
B. Excluded from the calculation of GDP because they make no contribution to current production of goods and services
C. Included in the calculation of net private domestic investment
D. Included in the calculation of gross private domestic investment
Answer: 1 - A
2 - B
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