1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Nesterboy [21]
3 years ago
11

Suppose you've just inherited $10,000 from a relative. You're trying to decide whether to put the $10,000 in a non-interest-bear

ing account so that you can use it whenever you want (that is, hold it as money) or to use it to buy a U.S. Treasury bond. The opportunity cost of holding the inheritance as money depends on the interest rate on the bond. For each of the interest rates in the following table, compute the opportunity cost of holding the $10,000 as money. What does the previous analysis suggest about the market for money? The quantity of money demanded increases as the interest rate rises. The supply of money is independent of the interest rate. The quantity of money demanded decreases as the interest rate rises.
Business
1 answer:
kompoz [17]3 years ago
7 0

<u>Solution and Explanation:</u>

  • When interest rate is 8%, opportunity cost is 800 dollar per year for 10000.
  • When interest rate is 10%, opportunity cost is 1000dollar per year for 10000.

McQ ans is C I.e. Qunatity demand decreases as interest rate rises because Md=KPY-hi

It is to kept in mind that with the change in the quantity that is being demanded may fluctuate with the change in the interest rate. The relationship between the price and demand goes hand in hand.  

You might be interested in
Sierra owns a small business and handles many responsibilities, from logistics to marketing. She's seen a lot of success with Go
LUCKY_DIMON [66]

Answer:

Smart display campaign

Explanation:

This is an automated program that is highly effective in locating old and new customers , create a capturing advertisement on its own and also provide the right bids.

In other words , it automates the process of bidding ,targeting and creating advert.

Even though the initial set up can be costly , but it reduces the effort of advertisers to the minimum as the whole process is programmed to self controlling.

As such , it is recommended for Sierra's business.

4 0
3 years ago
URGENT!! NEED ANSWER ASAP<br><br> The FBLA is only for students still in school.<br> True<br> False
AleksAgata [21]

Answer: False

Explanation: They have a division for college students , parents and educators.

5 0
3 years ago
What is a form in computer?​
sp2606 [1]

In a database context, a form is a window or screen that contains numerous fields, or spaces to enter data. Each field holds a field label so that any user who views the form gets an idea of its contents. A form is more user friendly than generating queries to create tables and insert data into fields.

7 0
3 years ago
One reason buy a home instead of rent a home is
xxTIMURxx [149]
<span>By renting a home instead of purchasing one, you are paying someone else's mortgage every month and getting nothing in return. While you are gaining a home to live in for the short term, in the long term you will gain nothing. When you purchase a home you will have a home that you own and that you cannot be evicted from as long as you pay your mortgage.</span>
4 0
3 years ago
Samuel assists his clients in investing in the stock market. He not only acts as an agent by buying and selling corporate stocks
givi [52]

Answer:

Samuel plays the role of a securities broker.

Explanation:

A securities broker has the function of being the link between the investor and the global financial markets. The broker helps guide the client to make the best investment decisions in the market.

In addition to advising its clients, the securities broker is responsible for buying and selling the shares of its client. To be a securities broker, you must have higher studies in administration, economics, or finance, also have completed the preparation to work as a broker.

<em>I hope this information can help you.</em>

8 0
3 years ago
Other questions:
  • When the local grocery store puts cereal on sale, reducing its price from $4.40 per item to $3.40 per item, the quantity sold in
    14·1 answer
  • Economics is the social science that tries to explain
    7·1 answer
  • Burt Inc. has a number of divisions, including the Indian Division, a producer of liquid pumps, and Maple Division, a manufactur
    8·1 answer
  • Economists sometimes give conflicting advice because
    9·1 answer
  • Dirty Don's Bicycle Shop is current financed with 100% equity. The firm currently has 100,000 shares of common stock outstanding
    12·1 answer
  • Melinda invests $200,000 in a City of Heflin bond that pays 6 percent interest. Alternatively, Melinda could have invested the $
    5·1 answer
  • A firm has $300 million of assets that includes $40 million of cash and 10 million shares outstanding. If the firm uses $30 mill
    6·1 answer
  • The following schedule shows the technology of production at Mahalo Macadamia Nut Farm for​ 2015: Workers Total Pounds of Macada
    15·1 answer
  • A firm's sustainable growth rate represents the:
    7·1 answer
  • Bobby decides to sell lemonade on a hot summer day. If Bobby sells 25 glasses of lemonade for $5.00 per cup, and his average tot
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!