Answer:
d
Explanation:
Nominal interest rate = real interest rate + inflation rate
6 - 2 = 4%
Inflation is a persistent rise in the general price levels
Types of inflation
1. demand pull inflation – this occurs when demand exceeds supply. When demand exceeds supply, prices rise
2. cost push inflation – this occurs when the cost of production increases. This leads to a reduction in supply. Higher prices are the resultant effect
if inflation declined by 2 percent, it means purchasing power increased by 2%.
Total increase in purchasing power = 6 + 2 = 8
A or D
process of elimination..
B. (it’s verbal communication, not written)
C. (i highly doubt this is a possible answer.....but you are always willing to test that out for yourself)
E. (interpersonal is a conversation with oneself or “within a person”)
so now you’re left with A or D
Answer:
Sunk cost
Explanation:
The sunken cost is the expense previously incurred that will not be compensated in future. Plus, it's also called past expense.
The cost at the time of decision-making is not significant and it should be ignored.
In the given question, the $3,500 spent which is not now recovered and hence represents the sunk cost
Answer:
Ethnocentrism
Explanation:
Ethnocentrism occurs when someone judges the culture of others by their own perspective and values, judging in a derogatory way the cultural identity of other peoples. When an international manager takes an ethnocentric stance, he is reaffirming stereotypes about some culture that are often loaded with prejudice to mark people or places based on some trait. In this matter, the manager adopted a negative and problematic posture, because in addition to advanced technology, each culture has a particular way of expressing, consuming, acting and understanding. Therefore, disregarding the characteristics and perspectives of a different culture, the insertion and development of some business strategy will not be effectively directed.
