Recognizing the existence of asymmetric information
complete the following table by determining which economic problem is characterized in each of the scenarios provided.
scenario
adverse selection | moral hazard for each
(a) when ginny didn't have renter's insurance, she was very careful not to leave candles lit in her apartment and locked the door when she left. now that she has renter's insurance, she typically leaves candles burning all day and forgets to lock the door because she knows that, even if her apartment catches on fire or gets broken into, her insurance will cover it.
(b) kenji would like to buy a used plasma television, but he is not an electronics expert and, thus, cannot assess the quality of a tv directly before owning it. kenji believes that owners of the worst tvs are more willing to sell their tvs than owners of the best tvs. because of this, kenji believes that used tvs up for sale are probably of low quality.

Jamie lee is reviewing her finances one month later. she has provided the actual amounts paid below. use the cash budget table below to her identify the variances in her budget. each answer must have a value for the assignment to be complete. enter "0" for any unused categories. actual amounts income: monthly expenses: gross monthly salary $2,315 rent obligation $260 net monthly salary $1,740 utilities/electricity $130 savings allocation: utilities/water $10 regular savings $130 utilities/cable tv $155 rainy-day savings $20 food $160 entertainment: gas/maintenance $205 cake decorating class $90 credit card payment $25 movies with friends $50 car insurance $75 clothing $145 budgeted amounts assets: monthly expenses: checking account $1,850 rent obligation $225 emergency fund savings account $4,300 utilities/electricity $75 car $5,200 utilities/water $35 computer & ipad $1,100 utilities/cable tv $120 liabilities: food $115 student loan $6,600 gas/maintenance $95 credit card balance $1,000 credit card payment $45 income: car insurance $45 gross monthly salary $2,155 clothing $45 net monthly salary $1,580 entertainment: savings allocation: cake decorating class $90 regular savings $130 movies with friends $50 rainy day savings $20

Bdj co. wants to issue new 22-year bonds for some much-needed expansion projects. the company currently has 9.2 percent coupon bonds on the market that sell for $1,132, make semiannual payments, have a $1,000 par value, and mature in 22 years. what coupon rate should the company set on its new bonds if it wants them to sell at par?

Match each business function with its description. operations marketing finance strategy deals with the challenges that a company faces in the ever-changing business environment arrowright deals with debt, stock, and owner’s funds arrowright readies products and services for production and delivers them to the market arrowright deals with finding, targeting, attracting, and connecting with the right customers