Answer:
After tax real rate will be 2.2 %
So option (b) will be correct answer
Explanation:
We have given nominal interest rate = 8 %
Inflation rate = 5 %
And marginal tax = 10 %
We have to find the after tax real rate interest
After tax real rate of interest is given by
After tax real rate = nominal interest rate ( 1 - tax rate ) - inflation rate
= 8 ( 1 - 0.1 ) - 5 = 8×0.9 -5 = 7.2 - 5 = 2.2 %
So option (b) will be correct answer
The situation where the buying power of money in terms of goods and services increases is called <u>deflation</u>
In economics, deflation is a general decline in the price level of goods and services. Deflation occurs when inflation falls below 0% (negative inflation). Inflation depreciates a currency over time, while sudden deflation increases it. As a result, more goods and services can be purchased with the same currency than before. Deflation is different from disinflation, which is a slowdown in the rate of inflation. H. Inflation is declining but still positive.
Economists generally consider sudden deflationary shocks to be a problem in the modern economy. This is because the real value of debt increases, especially if deflation occurs unexpectedly. Deflation can also exacerbate the recession and lead to a deflationary spiral.
Learn more about deflation here: brainly.com/question/13562161
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Answer:
public service and utilities commissions
Explanation:
Have You Received Your W-2 Form In The Mail From Where You Work(ed)?
The correct answer to this open question is the following.
Yes, a business should value its human assets because it is the way to evaluate the productivity of the employee and if it is accomplishing its goals and working in the way the company is expecting it to perform. Should it be included in the company's balance sheet? Here is where the specialists' opinion is divided. Some Human Resources managers say that it is difficult to apply a financial value to people to be included as a component of the balance sheet. Others think that it could be possible but it is not the traditional way to do it and it exposes some risks. What indeed specialist agree on is in the fact that some way or the other, the human factor has to be considered in the evaluation process to make business decisions.
