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3 years ago

How do investment banks differ from commercial? banks? ?(mark all that? apply.)?

1 answer:

4 0

Investment banks help companies to purchase, sell and make investments using bonds while commercial banks are concerned on managing deposits on both savings and checking account.

Investment banks aid companies on bringing their investments on public offers; commercial banks are focused on providing security for the clienteles money.

Investment banks have some degree of freedom in choosing their own strategies while commercial banks have more risks because they are open to public transactions.

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Which of the following weakens the government control in the marketplace?

diamong [38]

The appropriate response is deregulation. Deregulation, the omission of some administration controls over a market, it permitted or constrained firms to contend by dispensing with many value controls and obstructions to section. The objective of deregulation is to promote competition.

5 0

3 years ago

Read 2 more answers

Her current campaign has a total investment of $25,500, generates 1,500 conversions, and has a CPA of $17. Which plan, built in

Butoxors [25]

Answer:

Explanation:

An investment of $40,000 to generate 2,000 conversions and a CPA of $20 will help Molly with her marketing goal to generate more sales than other investment plan

4 0

2 years ago

Currency held outside banks is $200 billion, money market mutual funds (retail) are $10 billion, small-denomination time deposit

ratelena [41]

Answer:

M2 = $470 billion.

Explanation:

M2 = Currency + Money market mutual fund + Time deposits + Saving deposits

M2 = 200 billion + 10 billion + 40 billion + 220 billion

M2 = $470 billion.

M2 is a calculation of the money supply that includes all elements of M1 as well as "near money"

3 0

2 years ago

At a growth (interest) rate of 8 percent annually, how long will it take for a sum to double? To triple? Use Appendix A for an a

Yanka [14]

Answer:

n = ㏒ P ÷ ㏒ (1.08)

Explanation:

Compound interest rate

A = P × $(1 + r)^{n}$

where

P = principal amount (the initial amount you borrow or deposit)

r = annual rate of interest (as a decimal)

A = amount of money accumulated after n years, including interest.

n = number of years

Since we want the principle amount to double i.e., A = 2P

put this in above equation

2P = P × $(1 + r)^{n}$

divide both sides by P, we get

P = $(1 + r)^{n}$

put r = 0.08

P = $(1 + 0.08)^{n}$

P = $(1 .08)^{n}$

Taking log on both sides

㏒ P =㏒ $(1 .08)^{n}$

㏒ P = n ㏒ (1.08)

n = ㏒ P ÷ ㏒ (1.08)

8 0

2 years ago

Great Lakes Steel Supply is losing significant market share and thus its managers have decided to decrease the firm's annual div

Colt1911 [192]

Answer:

There's an error in the numbers for this question; I found the correct one and pasted it below;

"Great Lakes Steel Supply is losing significant market share and thus its managers have decided to decrease the firm's annual dividend. The last annual dividend was $1.30 per share but all future dividends will be decreased by 2.75 percent annually. What is a share of this stock worth today at a required return of 15.5 percent? "

Explanation:

Use dividend discount model (DDM) to calculate the stock price

$P0 = \frac{D0(1+g)}{r-g}$

whereby,

P0 = Current price

D0 = Last dividend paid = 130

g = growth rate = -275% or -2.75 as a decimal

r = required return = 155% or 1.55 as a decimal

Next, plug in the numbers to the DDM formula above;

$P0 = \frac{1.30(1-0.0275)}{0.155 + 0.0275} \\ \\ = \frac{1.2643}{0.1825} \\ \\ =6.9277$

Therefore this stock is worth $6.93

6 0

2 years ago