All categories

3 years ago

a decision maker whose utility function graphs as a straight line is

1 answer:

mote1985 [20]3 years ago

4 0

<span>A decision maker whose utility function graphs as a straight line is risk neutral.

When you are describing someone who is risk neutral, all that is being stated is that they are not bothered by a risk or no risk. The investor/decision maker is fine with either option and are dead set in the middle of the risk spectrum. </span>

You might be interested in

Prepare journal entries to record each of the following transactions of a merchandising company. The company uses a perpetual in

k0ka [10]

Answer:

Nov 05

Dr Merchandise inventory 9,000

Cr Accounts payable 9,000

Nov 07

Dr Accounts payable 350

Cr Merchandise inventory 350

Nov 15

Dr Accounts payable 8,650

Cr Merchandise inventory 346

Cr Cash 8,304

Explanation:

Preparation of Journal entries

Based on the information given we were told that on Nov. 5 the company Purchased 900 units of product at the amount of $10 per unit which means that the Journal entry will be:

Nov 05

Dr Merchandise inventory 9,000

Cr Accounts payable 9,000

(900 units *$10 per units)

Based on the information given we were told that the company on Nov. 7 Returned 35 defective units from the the month of November 5 purchase in which they received full credit which means that the Journal entry will be:

Nov 07

Dr Accounts payable 350

Cr Merchandise inventory 350

(35*$10 per units)

Based on the information given we were told that the company on Nov. 15 Paid the amount of money due from the month of November 5 purchase in which they minus the return on November 7 which means that the Journal entry will be:

Nov 15

Dr Accounts payable 8,650

(9,000- 350)

Cr Merchandise inventory 346

(4%*8,650)

Cr Cash 8,304

(8,650-346)

8 0

3 years ago

Because human behavior is unreliable and influenced by factors uncontrolled by policy, which domain represents the greatest risk

Luba_88 [7]

Answer:

The correct answer is letter "A": User Domain.

Explanation:

User Domains are used in organizations with large amounts of servers connected to their network. As it is difficult to keep track of all the data being stored in every server, the domain controller regulates user domains by storing their login credentials but having to pass a privilege screening before accessing to the information of the server. However, that does not secure users will make optimal utilization of the firm's resources. Most parts of the data store will still be unchecked by controllers.

7 0

2 years ago

You invest $200 in stocks and sell them one year later for $230. Use the instructions in Lesson 3 to calculate the ROI dollar am

Kitty [74]

Answer: ROI = 30

Percentage: 15%

Explanation:

ROI means Return of Investment. Is the amount i get from my investment.

The percentage is the amount I get divided by the initial investment.

Multiplied by 100 indicates the percentage.

30 / 200 = 0.15

0.15 x 100 = 15%

4 0

2 years ago

Consider a family who borrows $250,000 to purchase a new home at a fixed interest rate of 8.5%. If inflation increases from 4% t

vitfil [10]

The home loan must be repaid at a real interest rate of 3%; (8.5%-5.5%=3%).

<h3>Real interest rate </h3>

A real interest rate is adjusted to remove the effects of inflation and gives the real rate of a bond or loan. A nominal interest rate refers to the interest rate before taking inflation into account.

Learn more about real interest rate here:

brainly.com/question/13324776

#SPJ4

3 0

2 years ago

What are some of the troubles that could occur in the economy if inflation rate got as high as 8% or 10% per year?

andrezito [222]

Answer:

Some of the troubles that could occur in the economy if inflation rate get as high as 8% or 10% per year are:

1) Foreign investors will avoid the country.

2) Money losses value very fast causing an increase in the prices of goods and services.

3) The economy becomes unstable making the the government leaders to loose credibility.

Explanation:

The type of inflation that gets as high as 8% or 10% is called Galloping inflation.

Some of the troubles that could occur in the economy if inflation rate get as high as 8% or 10% per year are:

1) Foreign investors will avoid the country.

2) Money losses value very fast causing an increase in the prices of goods and services.

3) The economy becomes unstable making the the government leaders to loose credibility.

4 0

3 years ago

​a decision maker whose utility function graphs as a straight line is

a decision maker whose utility function graphs as a straight line is