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lisov135 [29]
3 years ago
8

What is the correlation between term length of a loan and interest paid?

Business
1 answer:
Nadusha1986 [10]3 years ago
7 0

Answer:

There is a positive relationship between the length of a loan and its interest paid

Explanation:

A positive relationship exist between the length of a loan and the interest paid. A higher interest will be paid for a longer time period. This is so because the lender is giving out a sum of money for more than the average time period, hence  the interest must be increased appropriately too.

Hence, the shorter the repayment time for a loan, the lowest the interest and vice versa.

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will lie above the marginal product curve for the firm with less capital. must equal the marginal product curve for the firm wit
Ipatiy [6.2K]

Answer:

busineess would have to chnage that

3 0
2 years ago
"Stock R has a beta of 1.5, Stock S has a beta of 0.75, the required return on an average stock is 10%, and the risk-free rate o
Kaylis [27]

Answer:

4.5%

Explanation:

Stock R (Beta) = 1.5

Stock S  (Beta) = 0.75

Expected rate of return on an average stock (Rm)= 10%

Risk free rate (Rf) = 4%

Required Return (Re) = Rf +(Rm-Rf) B

Required Return = 0.04 + (0.10-0.04) B

Required Return = 0.04 + 0.06B

Stock R = 0.04 + (0.06 * 1.50)

Stock R = 0.04 + 0.09

Stock R = 0.13

Stock R = 13%

Stock S = 0.04 + (0.06 * 0.75)

Stock S = 0.04 + 0.045

Stock S = 0.085

Stock S = 8.5%

Here, the more risky stock is R and less risky stock is S. Since, R has more beta than the Stock S.

= 13% - 8.5%

= 4.5%

7 0
3 years ago
Suppose you owned a portfolio consisting of $250,000 of long-term U.S. government bonds. Would your portfolio be riskless? Expla
hammer [34]

Answer and Explanation:

An investment when it would be risk free in that case both the principal and the interest amount are to be paid within the prescribed time. Also when the U.S government bonds i.e. long term would be issued by the government have a lesser interest rate as compared with the other riskier securities available at the market place this is because as the government would default next to zero in case of the short term it would make the default when there are extreme situations arise.

Therefore in the short term it would be risk free

But in the long run, the person is based on the treasury bills returns so that he or she could equate the similar standard of living also it would not suffice when the inflation rises

Therefore the less risky investment would be of Government bonds

6 0
3 years ago
What does this word Otorhinolaryngologist mean?
miv72 [106K]

Answer:

A medical specialty concerned especially with the ear, nose, and throat and related parts of the head and neck : otolaryngology All antihistamines have at least some drying effects, called anticholinergic properties.

Explanation:

8 0
2 years ago
Examine the equal opportunity laws of another country, not the United States. Are the laws in other countries as much a concern
ira [324]

Answer:

The equal opportunity laws of another country, not the United States is discussed below in details.

Explanation:

An equal opportunity system is a certificate that declares what measures a company takes to eliminate and stop discrimination in the workplace.

The United Kingdom employment equality law is an organization of law that legislates against prejudice-based activities in the workplace.

The prime legislation is the Equality Act 2010, which condemns discrimination in passage to education, government services, private services, and goods, or assumptions in addition to employment.

5 0
3 years ago
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