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aleksandr82 [10.1K]
2 years ago
13

Q4) An investment offers a total return of 12.8 percent over the coming year. Janice thinks the total real return on this invest

ment will be only 7 percent. What does Janice believe the approximate inflation rate will be over the next year
Business
1 answer:
Blizzard [7]2 years ago
7 0

Answer:

inflation rate= 5.8%

Explanation:

Giving the following information:

An investment offers a total return of 12.8 percent over the coming year. Janice thinks the total real return on this investment will be only 7 percent.

<u>The real return on investment includes the effect on inflation. </u>

Real rate of return= total return - inflation rate

0.07=0.128 -  inflation rate

inflation rate= 0.058= 5.8%

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anzhelika [568]

Answer: C) noncompensatory rule

Explanation:

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For Elton, the good trait is well known brand names and the bad trait is brand names that are not well known. Even if for the brand that is not well known, the price is lower, the discount is higher or the store is well known, these still will not be enough to compensate for the bad trait of not being well known.  

3 0
2 years ago
Assume an analyst has been hired to estimate the price elasticity of demand for hamburger (which sells for about $2.30 per pound
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Answer:

The correct answer is B

Explanation:

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So, Filet mignon(F) sells for $20 per pound when compared to that of hamburger (H) which sells the product for $2.30 per pound. F have the higher price as compare to the H, therefore, the coefficient of the price elasticity of demand in absolute value will be high or larger for F than that of H.

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3 years ago
TB MC Qu. 9-371 Irving Corporation makes a product with ... Irving Corporation makes a product with the following standards for
lisov135 [29]

Answer:

Variable manufacturing overhead rate variance= $664 favorable

Explanation:

Giving the following information:

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mylen [45]

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4 0
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The assets of a company total $738,000; the liabilities, $219,000. what are the net assets?
ziro4ka [17]
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