Answer:
The correct answer is B) Your portfolio is now riskier and is therefore worth less than before
Explanation:
In the parlance of Investment, a portfolio simply refers to a collection of investments. They may include but are not limited to:
- Stocks
- Bonds
- Commodities
- Closed-end funds etc.
An investment with long positions is one that is purchased with an expectation that it will appreciate or rise in value. Call and Put options refer to the right (not a mandatory responsibility) for an investor to buy and sell an investment. Where Call is buying and Put is selling.
A volatile market is in most cases synonymous with a riskier market. In high-risk markets, the value of investments tends towards the negative. The opposite is true.
When there is a disequilibrium of trade orders (such as all Calls and no Puts), it can quickly lead to a volatile market. this condition can be triggered by
- economic information released from very credible sources
- news about a company whose stocks are highly traded
- a recommendation from a highly reputable investment analyst etc.
Cheers
Answer:
The correct answer is GDP
; Real GDP
; Avoids.
Explanation:
The main consequence of inflation is the loss of purchasing power, which means that less goods and services can be purchased with the same amount of money because their price has risen.
The main effects of inflation are as follows:
- Price increase that implies a loss of purchasing power.
- Great uncertainty is generated that causes a significant decrease in investment in the medium and long term.
- Speculative financial investments increase, which further destabilizes the situation.
- The population tends to hoard due to concerns that prices will continue to rise.
- Inflation is regressive, because its negative impact affects more those who have less economic resources because they do not have the elements that help to alleviate it.
- Those who have debts to pay benefit from those who have to collect them (which are logically damaged) because the amount to be repaid is the same while the money is worth less.
Answer:
1. increasing life insurance to cover mortgage, debts, healthcare, and education
4. saving for college for their children
Answer:
2 years
Explanation:
Payback can be calculated by identifying net savings of employing this new system.
Net savings = Savings from reduced labor costs - Annual license and maintenance fee
Net Savings = (35,000 * 3) - 25,000 = $80,000 saving / year
Initial outlay = $160,000
Payback = initial outlay / savings per year = 160000 / 80000 = 2 years
So it takes 2 years to recover the initial outlay.
Hope that helps.
Answer:
B. represents the sum of the quantities demanded by all the buyers at each price of the good
Explanation:
The market demand curve is found by horizontally adding the individual demand curves.
The market demand curve slopes downward.
I hope my answer helps you