A BobCo bond with a face value of $100 matures in one year. There is a 50% chance that BobCo will go bankrupt in the next year, in which case the holder of the bond receives $88. If the current market price of the BobCo bond is $88, what is the (risk-free) market interest rate in percent?

answer; the correct answer should be (demonstrations); good luck

i guess you could put raise the economic balance

whole quiz

1. the sum of all activities involved in getting high-quality products into the marketplace

2.operations

3. the principle of looking at the supply chain as a whole in order to improve the overall flow through the system.

4. produced; performed

5. activities producing tangible products, such as radios, newspapers, buses, and textbooks.

6. activities producing intangible and tangible products, such as entertainment, transportation, and education.

7.   customer focus

8. analyzing a competitor's products to identify desirable improvements

9. the systematic direction and control of the processes that transform resources into finished projects that create value for and provide benefits to consumers.

10. operation management.

your welcome leave a rate and a < 3

answer/// real gdp decreases to y3 and the price level falls to p3;