Answer:
Unlike the spot market, the forward market permits receiving foreign exchange payments in the weeks or months ahead.
Explanation:
Spot market for currencies is defined as one in which parties that's re involves in currency trade recieve delivery of the currency immediately.
On the other hand forward market allows parties involved to make foreign exchange payments in the future. This form of foreign exchange market allows a company to hedge the value of a currency over time.
For example of a company that imports goods does not want foreign exchange fluctuations to affect their future business, they can purchase a future option to buy the currency at a particular price in the future.
The formula that can be used to find interest rate is Interest rate = (In 2) / 6.
<h3>What is the formula that can be used to determine the interest rate?</h3>
When a bank account is growing with continuous compounding, it means that both the interest accrued and the amount deposited increases continually over a specified period of time.
When the investment doubles, it means that if the future value of the investment is divided by the present value of the investment, the value would be two.
Interest rate = (In FV / PV) / number of years it would take the investment to double
Where:
- FV = future value
- PV = present value
- FV / PV = 2
Interest rate = (In 2) / 6
To learn more about continuous compounding, please check: brainly.com/question/26476328
#SPJ1
The rate you expect to see on a treasury bill is 5.31%.
Short-term government securities and Treasury Bills have maturities ranging from a few days to 52 weeks. The face value of bills is discounted when they are sold. Since the U.S. government backs Treasury Bills, they are regarded as a secure and conservative investment. T-Bills are typically kept until they reach maturity. However, some holders could prefer to cash out before maturity and take advantage of the benefits from the investment's short-term interest by reselling it on the secondary market.
The real rate is 3. 75%
= 3. 75/100
= 0.0375
The inflation rate is 1.5%
= 1. 5 /100
= 0.015
Therefore the rate on the treasury bill can be calculated as follows
= (1+0.015)(1+0.0375)-1
= (1.015×1.0375)-1
= 1.0531-1
= 0.0531×100
= 5.31%
Hence the rate that is expected to be seen on the treasury bill is 5.31%.
To know more about Treasury Bills refer to: brainly.com/question/7278415
#SPJ4
#TEAM BOB
░░░░░▐▀█▀▌░░░░▀█▄░░░
░░░░░▐█▄█▌░░░░░░▀█▄░░
░░░░░░▀▄▀░░░▄▄▄▄▄▀▀░░
░░░░▄▄▄██▀▀▀▀░░░░░░░
░░░█▀▄▄▄█░▀▀░░
░░░▌░▄▄▄▐▌▀▀▀░░ Dis is Bob
▄░▐░░░▄▄░█░▀▀ ░░
▀█▌░░░▄░▀█▀░▀ ░░
░░░░░░░▄▄▐▌▄▄░░░
░░░░░░░▀███▀█░▄░░ Help Bob
░░░░░░▐▌▀▄▀▄▀▐▄░░ take over
░░░░░░▐▀░░░░░░▐▌░░ brainly.
░░░░░░█░░░░░░░░█░
Copy and paste to help Bob.
We can do it together! ░░░░░▐▀█▀▌░░░░▀█▄░░░
░░░░░▐█▄█▌░░░░░░▀█▄░░
░░░░░░▀▄▀░░░▄▄▄▄▄▀▀░░
░░░░▄▄▄██▀▀▀▀░░░░░░░
░░░█▀▄▄▄█░▀▀░░
░░░▌░▄▄▄▐▌▀▀▀░░ Dis is Bob
▄░▐░░░▄▄░█░▀▀ ░░
▀█▌░░░▄░▀█▀░▀ ░░
░░░░░░░▄▄▐▌▄▄░░░
░░░░░░░▀███▀█░▄░░ Help Bob
░░░░░░▐▌▀▄▀▄▀▐▄░░ take over
░░░░░░▐▀░░░░░░▐▌░░ brainly.
░░░░░░█░░░░░░░░█░
Copy and paste to help Bob.
We can do it together! ░░░░░▐▀█▀▌░░░░▀█▄░░░
░░░░░▐█▄█▌░░░░░░▀█▄░░
░░░░░░▀▄▀░░░▄▄▄▄▄▀▀░░
░░░░▄▄▄██▀▀▀▀░░░░░░░
░░░█▀▄▄▄█░▀▀░░
░░░▌░▄▄▄▐▌▀▀▀░░ Dis is Bob
▄░▐░░░▄▄░█░▀▀ ░░
▀█▌░░░▄░▀█▀░▀ ░░
░░░░░░░▄▄▐▌▄▄░░░
░░░░░░░▀███▀█░▄░░ Help Bob
░░░░░░▐▌▀▄▀▄▀▐▄░░ take over
░░░░░░▐▀░░░░░░▐▌░░ brainly.
░░░░░░█░░░░░░░░█░
Copy and paste to help Bob.
We can do it together! ░░░░░▐▀█▀▌░░░░▀█▄░░░
░░░░░▐█▄█▌░░░░░░▀█▄░░
░░░░░░▀▄▀░░░▄▄▄▄▄▀▀░░
░░░░▄▄▄██▀▀▀▀░░░░░░░
░░░█▀▄▄▄█░▀▀░░
░░░▌░▄▄▄▐▌▀▀▀░░ Dis is Bob
▄░▐░░░▄▄░█░▀▀ ░░
▀█▌░░░▄░▀█▀░▀ ░░
░░░░░░░▄▄▐▌▄▄░░░
░░░░░░░▀███▀█░▄░░ Help Bob
░░░░░░▐▌▀▄▀▄▀▐▄░░ take over
░░░░░░▐▀░░░░░░▐▌░░ brainly.
░░░░░░█░░░░░░░░█░
Copy and paste to help Bob.
We can do it together! ░░░░░▐▀█▀▌░░░░▀█▄░░░
░░░░░▐█▄█▌░░░░░░▀█▄░░
░░░░░░▀▄▀░░░▄▄▄▄▄▀▀░░
░░░░▄▄▄██▀▀▀▀░░░░░░░
░░░█▀▄▄▄█░▀▀░░
░░░▌░▄▄▄▐▌▀▀▀░░ Dis is Bob
▄░▐░░░▄▄░█░▀▀ ░░
▀█▌░░░▄░▀█▀░▀ ░░
░░░░░░░▄▄▐▌▄▄░░░
░░░░░░░▀███▀█░▄░░ Help Bob
░░░░░░▐▌▀▄▀▄▀▐▄░░ take over
░░░░░░▐▀░░░░░░▐▌░░ brainly.
░░░░░░█░░░░░░░░█░
Copy and paste to help Bob.
We can do it together!
<span>I believe the answer is D. Falls/decrease
Increase in aggregate price tend to discourage consumers to go out and make a purchase, which will lead to the fall of aggregate demand.
This will create an abundance of that product in the market, and the market will decrease the total output as a response.</span>