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torisob [31]
3 years ago
9

If the expected inflation rate is 4 percent and the nominal interest rate is 9 percent, the expected real interest rate is _____

.?
Business
1 answer:
goldenfox [79]3 years ago
7 0

The real interest rate is simply nominal interest rate less the inflation rate. In equation form this is equivalent to:

Real interest rate = Nominal rate – Inflation Rate

Real interest rate = 9% - 4%

Real interest rate = 5%

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For a recent 2-year period, the balance sheet of Blue Company showed the following stockholders’ equity data at December 31 (in
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The par value of common stock can determined by dividing the common stock total amount in each of the two years by the shares issued and outstanding in each year as demonstrated below:

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