Robert Louis Stevenson's Imp in the Bottle features a fabulous bottle whose owner will be granted any wish. The snag is that someone who buys the bottle must then sell it to someone else at a lower price or else suffer all the pains of hell. Assuming the smallest possible unit of currency is one cent, would you buy the bottle if it were offered to you for $1,000?

Biochemical corp. requires $600,000 in financing over the next three years. the firm can borrow the funds for three years at 10.80 percent interest per year. the ceo decides to do a forecast and predicts that if she utilizes short-term financing instead, she will pay 7.50 percent interest in the first year, 12.15 percent interest in the second year, and 8.25 percent interest in the third year. assume interest is paid in full at the end of each year. a)determine the total interest cost under each plan. a) long term fixed rate: b) short term fixed rate: b) which plan is less costly? a) long term fixed rate plan b) short term variable rate plan