The effective interest rate is greater by 0.72 percentage points as compared to the nominal interest rates.
Computation:
Given,
Nominal Interest rate =11.85%
compounding period = weekly, that is 52.
The formula of the effective interest rate will be used:
Now, the difference of the effective interest rate and nominal interest rate will be determined to know the exceeding percentage:
Therefore, option a. 0.72 percentage points is correct.
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Answer:
1 searching for information about de goods
2 realizing the need of something
3 evaluating different products
Answer:
Beta= 1.26
Explanation:
<u>First, we will calculate the proportion of the portfolio of each security:</u>
Security A= 600/1,000= 0.6
Security B= 400/1,000= 0.4
<u>Now, the beta of the portfolio:</u>
Beta= (proportion of investment A*beta A) + (proportion of investment B*beta B)
Beta= (0.6*1.5) + (0.4*0.9)
Beta= 1.26
Answer: False
Explanation:
It is not always more profitable to operate a full flight at a lower cost per ticket because this depends on the unique situation in question. If the tickets are so low that even with the amount of people in the airplane the company is unable to recuperate its cost, then the condition does not hold.
Meanwhile sometimes the partially full price might see the prices being paid would offset the costs of the flight which would bring profits to the company. It therefore depends on the unique situation.