Consider two bonds, a 3-year bond paying an annual coupon of 5%, and a 20-year bond, also with an annual coupon of 5% Both bonds currently sell at par value. Now suppose that interest rates rise and the yield to maturity of the two bonds increases to 8% a. What is the new price of the 3-year bond? (Round your answer to 2 decimal places.)
Price of the 3-year bond
b. What is the new price of the 20-year bond? (Round your answer to 2 decimal places.)
Price of the 20-year bond
c. Do longer or shorter maturity bonds appear to be more sensitive to changes in interest rates?
Longer
Shorter

You are president of a large corporation. at a typical monthly meeting, each of your vice presidents gives standard area reports. in the past, these reports have been good, and the vps seem satisfied about their work. based on situational approach to leadership, which leadership style should you exhibit at the next meeting?

When paul o’neill joined alcoa as ceo, he set a , that there would be zero workplace accidents. a lot of people in the organization thought this was impossible given how dangerous some aluminum-manufacturing jobs are, but alcoa’s safety record improved tremendously. as the board of governors of the american red cross considers planning, one option is to make strategic plans and then direct managers to align tactical and operational plans accordingly. another option is to have planning specialists managers across the organization make their own plans. why might this organization’s executives opt for the latter approach? check all that apply. (a) the environment is a dynamic one, and department and frontline managers can come up with more responsive plans than can central leadership. (b)resources will be better coordinated across the organization in support of the overall strategy.(c) senior leadership will have more control over the organization’s direction. (d)when managers come up with their own plans, they are likely to be more committed to following through on them.

Adecision is made at the margin when each alternative considers