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aleksandr82 [10.1K]
3 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]3 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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statuscvo [17]

Answer:

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b. Prepare a bank transfer schedule.

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i. Inspect the payroll endorsements for similar handwriting.

Explanation:

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Suppose an increase in demand in the market for mutual funds (a financial capital market) causes the interest rate to increase f
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He should consider where he is going to get the money from, how soon he will be able to pay it back if he borrowed it, and if he needs anymore emplyees for the expansion. 
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