You can earn up to fifteen points extra credit by playing Chair the Fed: A Monetary Policy Game (Links to an external site.)Links to an external site. which is described below and submitting a screen shot of your results indicating that you have been reappointed as Chair. You will likely have to play Chair the Fed (Links to an external site.)Links to an external site. several times in order to be reappointed. You should also provide short answers to the nine questions (below) to be eligible to earn the full fifteen points. Here is a link (Links to an external site.)Links to an external site. to the “Chair the Fed” Game. Read the instructions carefully:https://sffed-education.org/chairthefed/WebGameYourJob.html?head2=0 (Links to an external site.)Links to an external site.I also suggest reviewing these FAQs (Links to an external site.)Links to an external site. concerning the game:https://sffed-education.org/chairthefed/WebGameFAQs.html (Links to an external site.)Links to an external site.The Chair the Fed Game is brought to you buy the San Francisco Federal Reserve (Links to an external site.)Links to an external site.. You can receive up to 15 points extra credit if your game results indicate that you can be reappointed as Chair. Attach and submit a screen shot of your results in your discussion post and number your answers to the questions below. Please make sure that your answers are visible within the thread so that the reader does not have to click an attachment.Explain how the most common monetary policy tool: open market operations (Links to an external site.)Links to an external site. are implemented.Why does the Fed watch both inflation and unemployment?Is the Fed’s goal to reach an unemployment rate of zero? ExplainIs the Fed’s goal to reach zero inflation? ExplainHow do changes in the fed funds rate affect the economy? How long before changes in the fed funds rate affect the economy? How much does the Fed change the fed funds rate normally?Does the Fed Chair set monetary policy?Why isn’t the money supply in the game?What is the discount rate? Why is the discount rate not included in the game?Does this game match how monetary policy is set in the real world? How does the Chair the Fed Game simplify the real world? You can find an example of the screen shot that I would like to submit at the bottom of the attached PDF file.

Maple Aircraft has issued a 4¾% convertible subordinated debenture due 3 years from now. The conversion price is $47.00 and the debenture is callable at 102.75% of face value. The market price of the convertible is 91% of face value, and the price of the common is $41.50. Assume that the value of the bond in the absence of a conversion feature is about 65% of face value.  In the absence of the conversion feature, what is the current yield and yield to maturity?  What is the conversion ratio of the debenture?  If the conversion ratio were 50, what would be the conversion price?  What is the conversion value?  At what stock price is the conversion value equal to the bond value?  Can the market price be less than the conversion value?  How much is the convertible holder paying for the option to buy one share of common stock?  By how much does the common have to rise after 3 years to justify conversion?