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3 years ago

What does a decrease in supply result in?

Business

1 answer:

strojnjashka [21]3 years ago

7 0

Answer:

The correct answer is option c.

Explanation:

A decrease in the supply will cause the supply curve to shift to the left. This leftward shift in the supply curve will further cause the demand and supply curve to intersect at a higher point.

As a result, there will be an increase in the equilibrium price and a decrease in the equilibrium quantity.

This also represented in the figure given below.

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John is planning to take out a personal loan for $4,500 to buy a car. He would like to keep his monthly payments at or below $15

klemol [59]

The greatest interest rate that John can accept and meet the criteria is 12.25% compounded monthly

The monthly payment formula for a loan:

$p= (\frac{pv \times r}{1-(1+r} )^{nt}$

Where PV is the principal value of the loan,

r is the rate per month,

n is the number of months,

Here, PV = $ 4,500, n = 36,

Let r be the annual rate of interest,

P ≤ 150

$p= (\frac{4500 \times \frac{r}{12} }{1-(1+\frac{r}{12}} )^{36}\leq 150$

$375\times r \leq 150-150\times (1+\frac{r}{12})^{36}$

$r\leq 0.1225$

Thus, the greatest annual interest rate = 0.1225 = 12.25 %

Therefore, Option C is correct.

To know more about the monthly payments and interest rate, refer to the link below:

brainly.com/question/2557439

3 0

2 years ago

Read 2 more answers

The green giant has a 5% profit margin and a 40% dividend payout ratio. the total asset turnover is 1.40 and the equity multipli

Eduardwww [97]

<span>Sustainable Growth Rate is = ( 1- Dividend Payout Ratio ) X RoE Now, We have to find out the RoE of the given problem. Return on Equity (RoE) = (Net Profit Margin) X (Asset Turnover) X(Equity Multiplier). = (0.05) X (1.40) X (1.50) =0.105 or 10.5% Now Sustainable Growth Rate(SGR) = (1- .40) X 0.105 = .063 or 6.3% So, According to the question SGR of Green Giant is = 6.3%</span>

6 0

4 years ago

Find the amount to which $550 will grow under each of the following conditions. Do not round intermediate calculations. Round yo

Cloud [144]

Answer:

(A)Fv= $864.2

(B) Fv= $1302.05

(D) Fv= $96817.21

Explanation:

Giving the following information:

Initial investment= $550

We will use the final value formula:

FV=Present value*(1+i)^n

(A) 9% compounded annually for 5 years.

Fv= 550*(1.09)^5=$864.2

(B) 9% compounded semiannually for 5 years.

Fv= 550*(1.09)^10= $1302.05

Fv= 550*(1.09)^15= $2003.4

(D) 9% compounded monthly for 5 years.

Fv= 550*(1.09)^60=$96817.21

6 0

4 years ago

Kim Thorsten uses rationale to make decisions for project implementation. She believes that the right decisions can be made only

vivado [14]

Answer: b. thinking

Explanation:

Kim Thorsten has the personality type known as thinking. People like her are logical when they make decisions which means that they rely less on emotion and use rationale and evidence to make decisions.

These people are pragmatists and will only make a decision that they believe is objectively the best one after considering other options. This is what Kin does and why she is under thinking.

3 0

3 years ago

You buy an 8-year $1,000 par value bond today that has a 6% yield and a 6% annual payment coupon. In 1 year promised yields have

jolli1 [7]

Answer:

A. 0.61%

Explanation:

Calculation for what your 1-year holding-period return

Based on the information given the $1,000 par value bond will be the price for the year and we should also take note that YTM also equals the coupon rate.

We are going to use calculator to find what the following year's price will be

N = 7

I/Y = 7

PMT = 60 (60%×$1,000)

FV = 1,000

CPT PV -946.11

Now let calculate how much we would have at the end of 1 year

$946.11 + $60

= $1,006.11

Last step is to calculate for what your 1-year holding-period return

Holding-period return = $1,006.11/$1,000 - 1

Holding-period return= 0.61%

Therefore your 1-year holding-period return was 0.61%

4 0

4 years ago