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givi [52]
3 years ago
6

What factors affect the time value of money and the cost of borrowing money?

Business
1 answer:
sergejj [24]3 years ago
5 0
1.Interest rates
The interest rate level is moved higher or lower by a country's central bank to either stimulate or slow down an economy. Higher interest rates impose a more costly fee to borrow money while lower interest rates lessen the fee and usually spur more borrowing 



2.Economic growth
The strength of an economy can go a long way to boosting the strength of the nation's currency. A strong growth rate in a country will see a growing demand for products and services with better job prospects for workers as well as being an attractive destination for capital and investments.



3.Inflation
When a product rises in price, it signals that there is an underlying demand for that product. Higher prices may not seem good to a consumer, but it is generally considered healthy for a country to have a moderate increase in inflation in a growing economy.
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Scarcity means that there are more wants than one can meet based on the limited amount of resources.
vova2212 [387]
I believe the answer is false
I hope this helps!
4 0
2 years ago
Gulph Company reported the following results for May: sales $200,000, variable costs $120,000 and fixed costs $60,000. What amou
jeka57 [31]

Answer:

Break-even point (dollars)= $275,000

Explanation:

Giving the following information:

sales $200,000

variable costs $120,000

fixed costs $60,000

desired profit= $50,000

<u>To calculate the sales required to achieve the desired profit, we need to use the break-even point in dollars formula:</u>

Break-even point (dollars)= (fixed costs + desired profit) / contribution margin ratio

Break-even point (dollars)= (60,000 + 50,000) / [(200,000 - 120,000)/200,000]

Break-even point (dollars)= 110,000 / 0.4

Break-even point (dollars)= $275,000

6 0
2 years ago
What type of witness is allowed to give opinions during testimony?
klio [65]
<span>An expert witness would be the answer you're looking for. </span>
8 0
3 years ago
Read 2 more answers
Identify which control activity is violated in each of the following situations, and explain how the situation creates an opport
lesantik [10]

Answer:

1. Once a month, the sales department sends sales invoices to the accounting department to be recorded.

⇒ documentation procedures

Unless all of the company's sales take place only once a month, sales should be recorded as soon as possible. Accounting records must be as precise and accurate as possible, and they must be processed on time. Stacking invoices makes no sense, since sales might be on cash or the collection period might be very short. Who holds the money until the sales records are made?

2. Leah Hutcherson orders merchandise for Rice Lake Company; she also receives merchandise and authorizes payment for merchandise.

⇒ segregation of duties

One single person cannot be responsible for the whole process, since this creates a huge opportunity for fraud. Imagine if the person in charge of the inventory is also in charge of making new purchases, paying for them and reporting ending inventory. No company would be able survive one year, while the person in charge would get rich.

3. Several clerks at Great Foods use the same cash register drawer

⇒ establishment of responsibility

If everyone is allowed to collect money, no one can be responsible for any loss.

8 0
2 years ago
When positive externalities are present in a market a. private benefits will be greater than social benefits. b. social benefits
Oxana [17]

Answer:

b. social benefits will be greater than private benefits

Explanation:

Positive externalities can be defined as those that produce positive effects for society in relation to the consumption of a good or service.

This is because the social benefit is the sum of the private benefit plus the sum of the external benefit.

An example of positive externality pertinent to the present is the fact that vaccinating people generates greater positive effects on society, because when vaccinating an individual there is less chance of having more people infected with some disease.

So it is correct to say that the social benefits will be greater than the private ones. Letter b.

5 0
3 years ago
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