Psychographic, <span>Segmentation is a method that delves into how consumers actually describe themselves, their attitudes, interests and activities.</span>
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.
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<u>Answer:</u>
Answer Choice: <em>A. Communication</em>
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<u>Explanation:</u>
Communication is the single most important factor in determining the success or failure of a project because the better you explain the project the higher your grade will be so, that will result in your grade being a A or a B so, that will cause you to pass, and the worst you explain the project the lower your grade will be so, that will result in your grade being a C or D or F (or an E depending on how your school grades) so, that will cause you to fail.
The reason that interest rate risk is greater for <u>long</u>-term bonds than for <u>short</u>-term bonds is that the change in rates has a greater effect on the present value of the <u>Par Value</u> than on the present value of the <u>Coupon</u>.
<h3>What is a Long-term Bond?</h3>
Long-term bonds are investments that span a maturity term of at least 10 years and up to 30 years.
They usually pay a higher interest rate than the short-term bonds which span between a year and three years.
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