Question Completion Status:Use the information below to answer the remainder of the quiz.Consider the market for a 3-year discount bond with face value $3,000. The demand and supply of the discount bond can be represented by thefollowing equations:B = 1100+ P.Bd = 5000 – 0.5P,where B is the quantity supplied of the bond, B" is the quantity demanded of the bond, and P is the price of the bond in dollars.What is the equilibrium price (in $) of the 3-year discount bond? Round your answer to at least 2 decimal places.2600QUESTION 4What is the equilibrium quantity of bond being traded? Round your answer to at least 2 decimal places.Click Save and Submit to save and submit. Click Save All Answers to save all answers.Save All Answersch05 (2).docch05 (1).docch05.doc * Question Completion Status:QUESTION 5What is the equilibrium interest rate (in 96) of the 3-year discount bond? Round your answer to at least 2 decimal places.QUESTION 6Suppose there is an increase in the overall wealth of the economy. The demand equation for the 3-year discount bond with face value $3,000 becomesB" = 5500 -0.5P. What is the new equilibrium interest rate (in 96) for the discount bond? Round your answer to at least 2 decimal places.Click Save and Submit to save and submit. Click Save All Answers to save all answers.Save All AnswersCiose Wch05 (2).docch05 (1).docch05.doc

Use the information below to answer the remainder of the quiz. Consider the market for a 3-year discount bond with face value $3,000. The demand and supply of the discount bond can be represented by the following equations: B = 1100+ P, B° = 5000- 0.5P, where B° is the quantity supplied of the bond, Bº is the quantity demanded of the bond, and P is the price of the bond in dollars. What is the equilibrium price (in $) of the 3-year discount bond? Round your answer to at least 2 decimal places.

Use the information below to answer the remainder of the quiz. Consider the market for a 3-year discount bond with face value $3,000. The demand and supply of the discount bond can be represented by the following equations: B = 1100+ P, B° = 5000- 0.5P, where B° is the quantity supplied of the bond, Bº is the quantity demanded of the bond, and P is the price of the bond in dollars. What is the equilibrium price (in $) of the 3-year discount bond? Round your answer to at least 2 decimal places.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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