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Lelechka [254]
3 years ago
9

A friend asks you to invest $500 at 5 percent interest in her business. you want to invest but are concerned because your friend

has not had any business experience. how can you offset your risk?
Business
2 answers:
Sloan [31]3 years ago
8 0
You can counterbalance or offset your risk by requesting for a higher interest rate. By having a higher interest rate can give you more profit and with this, it can also pay more to the family income by accumulating the amount you receive when you invest in interest each year.
Korolek [52]3 years ago
6 0

by asking for a higher interest rate is correct on gradpoint

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The current price of a 10 year $1000 par value bond is $1158.91. Interest on this bond is paid every 6 months, and the nominal a
tatuchka [14]

Answer:

16.22%

Explanation:

To calculate the annual coupon rate, you can use the following formula:

Coupon Rate= (Annual coupon payment/Par value of the bond)* 100%

Annual coupon payment= $1158.91*14%= 162.2

Par value of the bond= $1000

Coupon Rate= (162.2/1000)*100%

Coupon Rate=0.1622*100%

Coupon Rate= 16.22%

The annual coupon rate on this bond is 16.22%

4 0
3 years ago
Abbe Corporation uses activity-based costing. The company makes two products: Product A and Product B. The annual production and
zepelin [54]

Answer:

Activity Rates are:

1 = $14.55 per activity

2 = $8.69 per activity

3 = $57.47 per activity

Cost per product

A = $32.2525

B= $34.7333

Explanation:

As for the provided information,

There are three activities.

Activity 1 = $17,460 and total = 1,200

Rate of activity = $17,460/1,200 = $14.55 per activity

Activity 2 = $19,987 and total activity = 2,300

Rate of activity = $19,987/2,300 = $8.69 per activity

Activity 3 = $29,884 and total activity = 520

Rate of activity = $29,884/520 = $57.47 per activity.

Costs of each product

Product A = ($14.55 \times 600) + ($8.69 \times 1,700) + ($57.47 \times 40)

= $8,730 + $14,773 + $2,298

= $25,801

Cost per unit = $25,802/800 = $32.2525

Product B = ($14.55 \times 600) + ($8.69 \times 600) + ($57.47 \times 120)

= $8,730 + $5,214 + $6,896

= $20,840

Cost per unit = $20,840/600 = $34.73

7 0
3 years ago
________ is seen as a way to stimulate gains in economic efficiency by giving owners a powerful incentive—the reward of greater
Mama L [17]

Answer:

Group of choices:

A.  Globalization

B.  Economic transformation

C.  Deregulation

D.  Privatization

The correct answer is  D.  Privatization.

Explanation:

Privatization is an existing mechanism in the economy through which the government makes an industry or an activity no longer part of the public sphere, being transferred or transferred from the State to private companies or organizations.

The concept of privatization is often related to tools to improve competition, which help companies to improve their cost structure, allowing products to be of higher quality and at lower prices, favoring the consumer.

Since privatization reduces state participation in the economy, it is identified with capitalist policies. This tool is opposed to nationalization.

3 0
3 years ago
if there is a major problem in a country that leads to the rapid withdrawal of foreign investment, this is known as​
sukhopar [10]

<u>Answer:</u>

<em>If there is a major problem in a country that leads to the rapid withdrawal of foreign investment, this is known as​ International financial crisis </em>

<em></em>

<u>Explanation:</u>

The financial crisis was mainly brought about by deregulation in the budgetary business. That allowed banks to participate in support investments exchanging with subordinates. Banks, at that point, requested more home loans to help the productive clearance of these subordinates. They made intrigue credits that got moderate to subprime borrowers.

Big banks had the assets to become modern at the utilization of these convoluted subordinates. The money with the most muddled monetary items got the most cash flow.

5 0
3 years ago
Monica Smith was unemployed because the steel company, where she worked, closed and moved overseas to a foreign country. Other s
Alenkinab [10]

Answer:

structurally unemployed.

Explanation:

Unemployment rate refers to the percentage of the total labor force in an economy, who are unemployed but seeking to be gainfully employed. The unemployment rate is divided into various types, these include;

1. Cyclical unemployment rate (CU).

2. Frictional unemployment rate (FU).

3. Structural unemployment rate (SU).

Structural unemployment can be defined as an involuntary unemployment that arises as a result of the incompatibility between a worker's skills set and requisite skills an employer seeks from the workers or due to technological changes.

This ultimately implies that, it describes a situation where an individual isn't able to secure a job as a result of insufficient number of jobs matching their qualifications, thus limiting their opportunities.

In this scenario, Monica Smith was unemployed because the steel company, where she worked, closed and moved overseas to a foreign country. Other steel companies have also closed. Her skills are not transferable to another industry and she is unable to get a job.

Hence, she would be classified as structurally unemployed.

6 0
3 years ago
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