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Firdavs [7]
3 years ago
14

Last year, Myron purchased a $10,000 certificate of deposit with a 3% rate of interest from his bank. The government reported th

at prices, on average, have fallen by 5% during the current year. Which of the following can be concluded as a result of this transaction?A. Myron loses, while the bank gains.
B. Myron gains, while the bank remains unaffected.
C. Myron gains, while the bank loses.
Business
1 answer:
Reil [10]3 years ago
6 0

Answer:

Option C is the right answer

Explanation:

In this question, we are asked to state what happens in a transaction given some level of information.

Firstly, we need to understand what a certificate of deposit is. A certificate of deposit referred to as CD is a kind of bank product that stipulates that a customer has agreed to leave a certain amount of money in the bank for a particular period of time untouched at an interest rate higher than normal and otherwise tagged as premium.

Now, it must be stated that it was after he was issued that there was a drop in prices. Whatever happens during the drop will not affect him and would be the bank’s concerns simply because his own rate had been predetermined and nothing could change this as he had been issued a contract to that affect.

A drop in price will thus make his initial deposits higher now since there is a drop in price will generally, the bank will bear the brunt of the drop in price hence, losing

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Gilberto manages a grocery store in a country experiencing a high rate of inflation. To keep up with inflation, he spends a lot
Stells [14]

Answer:

Menu Costs

Explanation:

From the question we are informed about Gilberto who manages a grocery store in a country experiencing a high rate of inflation. To keep up with inflation, he spends a lot of time every day updating the prices, printing new price tags, and sending out newspaper inserts advertising the new prices. His employees regularly deal with customer annoyance over the frequent price changes. This case is an example of the of Menu Costs inflation.

In domain of economics, menu cost can be regarded as the cost to a firm that results due to changing its prices. When there is high inflation, firms needs to often make a change to their prices ,so they can keep up with economy-wide changes. The name arised out of the cost of a printing new menus of a restaurants , but it is used by economists when they are generally referring to the costs of changing nominal prices

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3 0
3 years ago
The country of Baurisia has, until now, been self-sufficient in both grain and meat. However, with growing prosperity in Baurisi
meriva

Answer:

D) It is more economical for Baurisians to import meat than grain.

Explanation:

The argument states that meat consumption in Baurisia is steadily increasing while domestic production is not.

There are two alternatives:

  1. import more grains to feed more animals and produce more meat (the argument favors this option),
  2. or simply import more meat.

But if importing meat is cheaper than importing grains, then there is no need to import more grains in order to feed animals and later get meat from them, you just simply and directly import meat.

4 0
3 years ago
PlastiPharm produces a foundational product that sits on a shelf until it is needed and added to another product. In reviewing t
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PlastiPharm would want to perform the additional testing because:

  • The additional testing helps the company as it strives for perfection in its products and helps avoid future problems by reducing waste (defective parts). (Option C)
  • Testing all the parts addresses any questions that customers might have about quality or performance of materials. (Option D)

<h3>Why do manufacturers carry out testing?</h3>

Rigorous testing is usually carried out by companies to ensure that defects and hazards are detected before the products are sent out into the market.

This way, their liability from product defects is reduced or eliminated completely.

Learn more about testing at;
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8 0
2 years ago
How do you get a Monthly budget spend down
Pie
You can also save $3 a day. At the end of a 30 day month, you’ll have $60.
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3 years ago
Even though Carol shows sociability aggression apathy , she lacks responsibility self-esteem honesty
Blizzard [7]
Sounds like she needs a meeting with her supervisor and hr director. Any privilege of being paid comes with responsibility to the job role and team members, where she'll be held accountable for her deliverables by her boss.
8 0
3 years ago
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