Why is it important for investments to provide a greater return than the rate of inflation?
When inflation levels are stable and moderate, investors have lower expectations of high
market returns. Conversely, expectations rise when inflation is high. When inflation rises,
DO PRICES IN THE ECONOMY, leading investors to require a higher rate of return to maintain
their purchasing power.
Answer:
a. Two lollipops and two candy bars
Explanation:
The maximum amount Camille's Grandma Mary can spend is $6.
($1 × 2) + ($2 × 2) = $6
I hope my answer helps you
Answer: 3.73%
Explanation:
We are given an EAR so first we'd have to convert it to an APR.
We do so by the following formula,
APR = [(Ear + 1)^(1/n) - 1 ] x n
APR = ((3.87% + 1) ^ (1/365/98) - 1) x 365/98
APR = ((1.0387) ^ (98/365) - 1) x 365/98
APR = 3.816%
Now that we have the APR, we get the percentage discount yields by,
= ( [360(.03816)] / [365 + (98)(.03816))
= 3.73%
The percentage discount yields on this investment is 3.73%
Low gross domestic product