When an economy has an increase in autonomous expenditure will results in a inflationary output gap.
<h3>What is Autonomous expenditure?</h3>
Autonomous expenditure refers to expenses that is incurred by a country.
It consist countries economy expenditure without the income.
Therefore, an economy starting at full employment real GDP, with an increase in autonomous expenditure results in decrease in autonomous expenditure results in a inflationary output gap.
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Answer:
an Adjustable-rate Loan (sometimes called an ARM).
Explanation:
A variable-rate mortgage, adjustable-rate mortgage (ARM), or tracker mortgage is a home mortgage with the rate of interest on the bond changed regularly depending on a measure that represents the financing expense to the applicant on the financial markets.
The loan can be given at the regular variable rate / base rate of the lender. There may be a direct and legally defined link to the underlying index, but where the lender does not provide any specific link to the underlying market or index the rate may be changed at the discretion of the lender.
Call up the credit card company and have them look into it
Answer:
C. $12,000
Explanation:
additional earnigns for active management:
800,000 x 0.02% = 16,000
<em><u>expected </u></em>active management cost:
800,000 x 0.5% = 4,000
net gain: 12,000
At most, we can spend 12,000 dollars.
Up to this point, the expense are cover by the additional return. bove this threshold the fund will incur in losses from the active management
Answer:
11.61%
Explanation:
First, find the annual percentage return (APR) of this annuity. Using a financial calculator, input the following;
Recurring payment; PMT = -450
Future value ; FV = 27,000
Duration of investment ; N = 4*12 = 48 months
One -time present value; PV = 0
then compute interest rate; CPT I /Y= 0.92% (this is monthly rate)
APR = 0.92*12 = 11.035%
Effective Annual Rate (EAR) formula is as follows;
EAR = (1+
) ^m -1
EAR = 1+
)^12 -1
EAR = 1.1161 -1
EAR = 0.1161 or 11.61%
