Answer: $240
Explanation:
Easy multiplication just multiply the rate of income with how much your receiving in total per month. So 20 dollars times 12 months
Answer:
Interest per year = $600
Explanation:
Given:
Amount invested = $7,500
rate of interest = 8%
Find:
Interest per year
Computation:
Interest per year = Amount invested x rate of interest
Interest per year = $7,500 x 8 %
Interest per year = $600
Answer: b. For a bond of any maturity, a 1.0 percentage point increase in the market interest rate (rd) causes a larger dollar capital loss than the capital gain stemming from a 1.0 percentage point decrease in the interest rate
Explanation:
This is very true. If market rates reduce by 1.0%, there is a larger drop in the price of a bond than the amount a bond gains in price if interest rates increase by that same 1.0%.
This is why the graph that relates bond prices to yield is concave and I attached a graph as proof.
Notice how the fall in price is greater when interest rate increases.
<span>A)10 year bonds
Rosa should invest her money in 10 year bonds to become economically stable from the decrease of interest rates in the next 10 years.
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demand deposits - a deposit of money that can be withdrawn without prior notice
near money - assets that can readily be converted into cash, such as government bonds
just google the definitions and read about it