All categories

3 years ago

Which of the following is an arbitrage opportunity?

Business

1 answer:

FromTheMoon [43]3 years ago

7 0

Answer:

D. The bank offers you a loan at 4% interest and a savings account that pays 5% interest.

Explanation:

<em>Arbitration</em> is a <em>financial strategy</em> that consists of the price difference between different markets on the same financial asset to obtain an economic benefit, usually without risk.

To perform arbitration, complementary operations (buy and sell) are carried out at the same time and wait for prices to adjust. The arbitration takes advantage of this divergence and obtains a risk-free gain. In other words, the arbitrajista is positioned short (sells) in the market with higher price and long (purchase) in the market with lower price. The benefit would come from the difference between the two markets.

You might be interested in

When the economy is producing the level of output equal to natural Real GDP, the unemployment rate is equal to :A. zero. B. the

VLD [36.1K]

Answer:

B. the natural unemployment rate.

Explanation:

When the level of output is equal to natural real GDP, it indicates that the country has reach a very optimal level of production has efficiently utilize all resources that it has in its disposal. These 'Resources' include both human , capital, and natural resources.

Natural employment rate is the amount of employment rate that occurs after a country has fully utilize its resources. Like mentioned above, This situation will arise when the level of of output equal to natural Real GDP

Since there is little to no human resources left unused which make natural unemployment rate basically equal to the total employment rate that exist in that country.

7 0

3 years ago

Suppose the government passes a law eliminating holidays and, as a result, the production of goods and services increases becaus

hjlf

Answer:

B) GDP would definitely increase because GDP excludes leisure.

Explanation:

The gross domestic product GDP includes the market value of all the final and legal goods and services produced within a country during one year.

Leisure time by itself is not included in the GDP, recreational and travel activities are, e.g. hotel services, restaurants, camping equipment, etc.

8 0

3 years ago

Grand Trunk Inc., a furniture manufacturing company, does not manufacture furniture until an order is received. It coordinates a

sleet_krkn [62]

Answer:

supply chain management

Explanation:

Supply chain management -

It refers to the management for the flow of services and goods along with the process that are responsible for the conversion of the raw products to final goods and services , is referred to as the supply chain management .

The process like supplying , designing , production , quality control etc. are all process in supply chain management .

Hence , from the given scenario of the question ,

The correct answer is supply chain management .

7 0

3 years ago

Which of the following is not a broad, cost classification category typically used in activity-based costing? Batch-level. Facil

crimeas [40]

Answer:

Management Level

Explanation:

A cost allocation method is not an activity based costing typically.

Interviews with management that have adequate knowledge and the cost classification are usually done at management level

4 0

3 years ago

Moses and the hebrews believed that the god given laws that defined a human relationship with other humans

Gnoma [55]

Answer:

true

Explanation:

What are the ancient Hebrews laws of God called?

The Law of Moses (Hebrew: תֹּורַת מֹשֶׁה Torat Moshe), also called the Mosaic Law, primarily refers to the Torah or the first five books of the Hebrew Bible. Traditionally believed to have been written by Moses

8 0

3 years ago