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ASHA 777 [7]
3 years ago
11

If saving exceeds investment demand, and consumption is not a function of the interest rate: a. the demand for loans exceeds the

supply of loans. b. the interest rate will rise. c. saving will fall. d. the interest rate will fall.
Business
2 answers:
uysha [10]3 years ago
6 0

Answer:

d. the interest rate will fall.  

Explanation:  

If the number of people that save money is more than the number of people that demand for investment, then production rate will reduce, and if investment demand is more than  savings, production will increase. And if there is an increase in interest rate, consumption rate will fall because spending on consumption will be more expensive and consumer will prefer to save for higher interest rate.

Therefore in situations where there is an increase in saving and the interest rate does not affect the consumption rate, there will be a fall in the interest rate.

Nady [450]3 years ago
5 0

Answer:

The correct answer is letter "D": the interest rate will fall.

Explanation:

<em>If in a certain economy savings are greater than investments, the interest rate will fall.</em> This is the result of individuals' reduced needs to request loans whether for consumption or investment. The situation is reinforced if consumption is not a factor for changes in the interest rate. Banks will be pushed to lower the interest rate to promote borrowings, thus, reducing the savings gradually.

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The primary goal of financial management is to: a. maximize current dividends per share of the existing stock.b. maximize the cu
tangare [24]

Answer:

The correct answer is letter "B": maximize the current value per share of the existing stock.

Explanation:

Financial management collects several strategies to add value to the company in the long-term. This could be achieved by generating revenue sustainably and increasing the value per share of the firm's stock which boosts the value of the overall entity in the market.

<em>One of the most important goals financial management has is to maximize the stakeholders' wealth.</em>

6 0
3 years ago
Resources are adequate, but demand varies widely over the life of the project. Delaying noncritical activities to lower peak dem
-BARSIC- [3]

Answer:

resource smoothing

Explanation:

According to the definition provided in the question we can say that this is regarding resource smoothing. Like mentioned in the question this term refers to a management technique that adjusts the resources so that the requirements do not surpass the resource limits that the company has specified, by delaying the noncritical activities in order to allow for the important ones first.

If you have any more questions feel free to ask away at Brainly.

3 0
4 years ago
Why should you make sure that your cover letter has no spelling or grammar errors?
satela [25.4K]
<span>silly mistakes and minor oversights may be a reason your cover letter is thrown out. </span>
8 0
3 years ago
What is a catless for a car
solong [7]

an exhaust system

hope this helps :)

3 0
3 years ago
Read 2 more answers
If the demand for textbooks is inelastic, then a decrease in the price of textbooks will
Dmitrij [34]

Answer:

decrease total revenue of textbook sellers. 

Explanation:

Demand is inelastic if a change in price has a very little effect on the quantity demanded.

If price is reduced, the quantity demanded of textbooks would change by a little amount, so total revenue would fall due to a reduction in the price of textbooks.

Total revenue = price × quantity

5 0
4 years ago
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