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3 years ago

11

If the stock market was perfectly, efficient, which of the following would be true?

1 answer:

Allushta [10]3 years ago

4 0

Answer: C) Stock prices would only change on unexpected news

Explanation:

If the stock market was perfectly efficient, it would mean that all known information is already reflected in the stock price. This includes both historical and current data.

For the stock price to change therefore, there would have to be unexpected news that are not already accounted for in the price and so will force it to react positively or negatively.

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How many points do you want to have?//?.

ValentinkaMS [17]

Whatever you give me is fine

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3 years ago

Roderigo has just finished paying back his $8,575 unsubsidized Stafford loan, which he took out to fund his four-year degree. Th

Rudik [331]

Interest capitalization refers to the addition of interest earned to the principal amount, Roderigo will pay $7353.80 in interest to finish the amount of the loan.

<h3>What is interest capitalization?</h3>

Interest capitalization passes when owed interest is added to the principal amount of the loan. Interest is then charged on that advanced principal balance.

<u>Computation </u><u>of the amount of interest:</u>

Given,

Principal(P) = $8,575,

Rate(i) = 7.1%

Compounded Monthly:

$\dfrac{\frac{7.1}{12}}{1000} = 0.0059$

Time period (n):

$\text{12 Months} \times \text{4 Years} = 48 \text{Months}$

Now, apply the given values in the formula of compound interest(CI):

$\text{A} = \text{P}\times{(1+i)^n}-1\\\\\\\text{A} =\$8,575\times(1+7.1\%)^4^8-1\\\\\\ \text{A} = \$11,381.94$

Then apply the formula of EMI by taking $11,381.94 as a principal, we have,

Here,

$\text{n} = 12\text{Months}\times\text{10Years} = 120\text{Months}$

$\dfrac{\text{p}\times i \times(1+i)^n}{(1+i)^n-1}\\\\\\\\\dfrac{\$11,381.94\times 0.0059\times(1+0.0059)^1^2^0}{(1+0.0059)^1^2^0-1}\\\\\\=\$132.74$

Now, the total payment made in 120 months would be:

$\$132.74\times120=\$15,928.80$

Hence, Interest paid will be:

$\$15,928.80-\$8,575 = \$7,353.80$

Therefore, the total amount of interest that would be paid by Roderigo is $7,353.80.

Learn more about interest capitalization, refer to:

brainly.com/question/417585

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2 years ago

Aaron Corporation, which has only one product, has provided the following data concerning its most recent month of operations: S

Y_Kistochka [10]

Answer:

Product cost= $75

Explanation:

Giving the following information:

Variable costs per unit:

Direct materials $17

Direct labor $47

Variable manufacturing overhead $11

Under the variable costing method, the unitary product cost is calculated using the direct material, direct labor, and unitary variable overhead:

Product cost= 17 + 47 + 11= $75

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3 years ago

When economists say an activity is consistent with economic efficiency, they mean?

victus00 [196]

D. the benefits that result from the activity exceed the costs

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You have a credit card and the average balance on that card, year after year, is $4,000. The credit card company charges 21% ann

sergiy2304 [10]

The answer is b. 840$

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3 years ago