Answer:
a higher balance can increase interest rate
Answer:
option b is correct
Normal with a mean of $5.25 and a standard error of $0.28
Explanation:
Given data
mean = $5.25
standard deviation SD = $2.80
sample n = 100
to find out
sampling distribution
solution
we will find here first mean error that is
standard error = SD/ √n
put here value n and SD
standard error = 2.80 /√100
standard error = 0.28
and we know here that by central limit theorem that is state that sample distribution of sample mean is approximate normally distribute with Standard error and mean so
mean with normal is 5.25
Hence
option b is correct here
Normal with a mean of $5.25 and a standard error of $0.28
Answer:
A. $0
B. $112
C. Investor A 14.3% gain
Investor B 18.5%
Explanation:
a) Based on the information given interest cost for investor A will be Zero
b) Calculation for What is the interestcost for investor B
Cost of interest =(100 shares*$35)×(100*%-69%)×0.08
Cost of interest = 3,500 x 0.40 x 0.08
Cost of interest =$112
c) Calculation for what percentage returndoes each investor earn
Investor A: 4,000 - 3,500 = 500/3,500
= 0.1428 =14.3% gain
Investor B: $500 gain - $112 interest
= $388/2,100 = 0.1848 =18.5%
The correct answer is B- waste and rework
Answer:
a. Aggregate demand will shift to the left and unemployment rate will rise
Explanation:
Aggregate demand (AD) is the sum of consumer spending, government spending, investment, and net exports. The AD curve assumes that money supply is fixed. Increased money supply causes reduction in interest rates and further spending and therefore an increase in AD. <u>On the other hand, decreased money supply causes increase in interest rates and therefore a decrease in Aggregate Demand</u>
<u>Since the FED is buying Bonds it is reducing money supply and hence aggregate demand will fall causing the curve to shift to the left.</u>
Secondly inflation and unemployment has an inverse relationship. More money in the economy is inflation and unemployment level will be low because there will be an increase in wages <u>BUT when the FED reduces money supply by buying bonds, as a means of countering inflation, then unemployment will rise.</u>