Answer: Puffery
Explanation:
Adam's statement is puffery which is a form of exaggerated praise of his mp3 product he sells.
Puffery is a form exaggerated praise of a person or an item, which most individuals won't take serious.
By definition we have that the capital is equal to the Assets minus the liabilities.
In other words, we have:
C = A-P
Where,
A = Assets
P = Liabilities
C = Capital
Clearing assets:
A = C + P
A = 368000 + 186000
A = 554000
answer:
The assets are $ 554,000
Answer:
a. decreases, so the quantity of money demanded increases
Explanation:
When the value of money decreases there will naturally be high demand for money because the opportunity cost of holding cash is very low.
The opportunity cost of holding money is the interest that is forgone, when price level increases, the value of money falls and the demand for money increases.
When the value of money increases as a result of high interest rate, it reduces our liquidity preference and the demand for money will decrease.
Answer:
c. Travis earns a higher rate of return than Alicia.
Explanation:
Both investments are worth $2,400.
Alicia's rate of of return is given by:
Travis' rate of return is given by:
Alicia's investment had a rate of return of roughly 10.3% while Travis' investment had a rate of return of about 13.0%.
Therefore, the we can conclude that c. Travis earns a higher rate of return than Alicia.