1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
docker41 [41]
2 years ago
9

Which type of interest can earn more money over the long term?

Business
1 answer:
guajiro [1.7K]2 years ago
4 0
Compound interest would be the correct answer.
You might be interested in
Who in t.f would let biden win
harkovskaia [24]

Answer:

people who are stupid lol

Explanation:

7 0
2 years ago
Read 2 more answers
​a(n) __________ is used to determine the benefits that target customers value and how customers rate the relative value of vari
deff fn [24]

The answer is customer value analysis. This is responsible for providing information in regards with the organization’s way of how they are able to maintain or work well with their competitions and to their customers. This is considered to be important because it provided a basis and comparison with the rivals existing in the organizations.

6 0
3 years ago
The time value of money refers to the fact that a dollar received today is worth less than a dollar promised at some time in the
NikAS [45]

Answer:

false money and time are worth different amounts. our time on earth is more valuable then money itself.  

8 0
3 years ago
Acme Home Lending offers home equity loans up to 80% of the home value for its customers. If Sally Johnson has a home valued at
EastWind [94]

Answer:

She can borrow $110,000 in a home equity loan from Acme

Explanation:

Home equity loan is available to the 80% of the Home value. sally has already a mortgage of $50,000 so she can only borrow the differential amount of Allowable loan and existing loan.

As per given data

Home value = $200,000

Allowable Loan limit = $200,000 x 80% = $160,000

Existing Loan = $50,000

Available limit of Loan = Allowable Loan limit - Existing Loan = $160,000 - $50,000 = $110,000

She can borrow $110,000 in a home equity loan from Acme

7 0
3 years ago
The S&P 500 Index is one of the most commonly used benchmark indices for the U.S. equity markets. Consisting of 500 companie
seropon [69]

Answer:

1. Based on my understanding of P/E ratios, in which of the following situations would the average trailing P/E ratio (current price divided by earnings per share over the previous 12 months) of the S&P 500 Index be higher?

Th e correct option is (<em>b). The outlook for the economy and the markets is for improvement. </em>

2. You invest $100,000 in 40 stocks, 20 bonds, and a certificate of deposit (CD). What kind of risk will you primarily be exposed to?  

Th e correct option is <em>(b). Portfolio risk   </em>

3. Generally, investors would prefer to invest in assets that have:  

a. A higher-than-average expected rate of return given the perceived risk

Explanation:

1. Based on my understanding of P/E ratios, in which of the following situations would the average trailing P/E ratio (current price divided by earnings per share over the previous 12 months) of the S&P 500 Index be higher?

Th e correct option is (<em>b). The outlook for the economy and the markets is for improvement. If the outlook of the economy and the market prospects of the stocks are for improvements, it then means that the Price Per Earning of the stock will be increasing, which is a positive economic trend.</em>

<em>Moreover, since we are talking about the average P/E it can be inferred that in the very long run, average of the S&P 500 Price to Earnings (PE) ratio (since 1900) is approximately 15.8, and the ratio since 1946 (the post-World War II period) is 17.3, so, it is fair to call a "normal" PE ratio about 16.5, which is relatively stable over the years. </em>

 2. You invest $100,000 in 40 stocks, 20 bonds, and a certificate of deposit (CD). What kind of risk will you primarily be exposed to?  

Th e correct option is <em>(b). Portfolio risk  is the chance that the combination of assets or units, within the investments that you own, fail to meet financial objectives. Each investment within a portfolio carries its own risk, with higher potential return typically meaning higher risk. It can be computed as  the risk of the  two-securities portfolio, first take the square of the weight of  40 Stocks ($100,000.00)  and multiply it by square of standard deviation of  the 40 stocks. Repeat the calculation for 20 Bonds and a Certificate of Deposit.</em>

<em></em>

3. Generally, investors would prefer to invest in assets that have:  

a. A higher-than-average expected rate of return given the perceived risk <em>Yes they will because a higher -than average expected rate of return will inform the investor the type of strategies to adopt to guarantee the expected earnings containing the risk. </em>

<em></em>

5 0
3 years ago
Other questions:
  • What is the main job of the president of the us?
    15·2 answers
  • what happens to aggregate output if both taxes and government spending are lowered by $300 billion and mpc
    14·1 answer
  • __________ and ________ are stimulus preference assessment methods, while ________ and __________ are reinforcer assessment meth
    11·1 answer
  • Todd has made total contributions of $75,000 to his traditional IRA of which $15,000 were nondeductible contributions. Todd is 6
    12·1 answer
  • Creative locations, such as kiosks at the baggage claim in airports or small booths in grocery stores, represent Starbucks' effo
    15·1 answer
  • Warren opened a new computer store in town. When customers purchase a computer from his store, they automatically receive an ext
    14·1 answer
  • Jeffrey Inc., an animation company, asks job applicants to fill out a form requesting information about any hereditary illness o
    8·1 answer
  • Which of the following statements about theoretical capacity is BEST? A. Theoretical capacity allows adjustments for preventive
    6·1 answer
  • Imagine that you work for a life insurance company. You are setting premiums for insurance based on life expectancy. Assuming yo
    13·1 answer
  • A firm has an inventory period of 94.2 days, an accounts payable period of 40.4 days, and an accounts receivable turnover rate o
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!