1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Anettt [7]
2 years ago
6

when banker expects a rise in interest rates in the fututre then the best strategy for the present is

Business
1 answer:
oksano4ka [1.4K]2 years ago
7 0

Answer:

Increase duration of the bank assets

Explanation:

Because When the duration of assets is longer than the duration of liabilities, this allows for a the duration gap is positive. And so even if interest rates rise, assets will lose more value than liabilities, hence reducing the value of the firm's equity.

You might be interested in
Partial balance sheets and additional iformation are listed below for Sowell Company.
musickatia [10]

Answer and Explanation:

The preparation of the operating activities section is presented below

Cash Flows from operating activities

Net Income $88,000

Adjustment made for non cash items:                  

Depreciation Expense $19,000

Add: Decrease in Account Receivable $15000 ($70,000 - $85,000)

Less: Increase in Inventory   $(5000) ($40,000 - $35,000)

Less: Decrease in accounts payable   $(8000) ($54,000 - $62,000)

Net cash flows from operating activities        $109,000

3 0
2 years ago
Suppose a competitive market is comprised of firms that face identical cost curves. The firms experience an increase in demand t
Verdich [7]

Answer:

(i)New firms will enter the market.

(iii)In the long run, all firms will be producing at their efficient scale

Explanation:

A perfect competition is characterised by many buyers and sellers of homogenous goods and services. Market price is set by the forces of demand and supply.

If firms are earning positive profits, in the long run new firms would enter into the industry and this woold drive positive profits to zero. As a result , firms would be operating at the efficient scale.

I hope my answer helps you

7 0
3 years ago
Read 2 more answers
The data analysis process phases are ask, prepare, process, analyze, share, and act. What do data analysts do during the ask pha
salantis [7]

The thing which the data analysts do during the ask phase are:

  • Define the problem by looking at the current state
  • Identifying how it's different from the ideal state.

<h3>What is Data Analysis?</h3>

This refers to the use of data to find out the similarity and differences between the different data and how to use it to solve problems.

With this in mind, we can see that during the data analysis process phases, we can see that they include:

  1. Ask
  2. Prepare
  3. Process
  4. Analyze
  5. Share
  6. Act.

Then in the ask phase, the data analysts have to define the problem and then identify how to solve it.

Read more about data analysis here:

brainly.com/question/23810306

7 0
2 years ago
True or False: If people have rational expectations, the sacrifice ratio could be much smaller than suggested by the short-run P
Simora [160]

People often have different expectations. If people have rational expectations, the sacrifice ratio could be much smaller than suggested by the short-run Phillips curve is a false a statement.

  • The sacrifice ratio is said to be smaller than suggested by former estimates. The short-run phillips curve will ten to shift downward and the economy would reach low inflation very fast.

Rational expectations  is known to be an economic theory. It simply states that when making decisions, individual agents will capitalize their decisions on the information that is best and available and they also learn from past trends.

Learn more from

brainly.com/question/20345500

7 0
2 years ago
The capital-to-labor ratio is:Question 40 options:a) a key element in decreasing real wages.b) high in rich countries.c) the rat
andrezito [222]

Answer:

b) high in rich countries.

Explanation:

Capital-to- labour ratio measure the degree of capitalisation of an economy.

Labour is the service that is given by workers in exchange for salaries in the production process.

Capital is the long term input that is put into the manufacturing process, usually in the form of machinery or systems that automate production.

Capital-to-labour ratio= Total capital/ Total labour

Rich countries have a high level of capitalisation of their production process, where a lot of activity is automated. So capital is high and labour input is low. This results in a high capital-to-labour ratio.

On the other hand poor countries are more labour inensive, so their capital-to-labour ratio is low.

7 0
2 years ago
Read 2 more answers
Other questions:
  • A management consulting team needs a team of four to analyze the operations of a new client. The team should comprise an account
    11·1 answer
  • After feeding fish in a display tank, a food worker returns to the kitchen.
    6·2 answers
  • Real estate market research is an important process used by analysts to facilitate a better understanding of a property's future
    15·1 answer
  • Without the government or foreign sector in the income expenditure model consumption equals what?
    14·1 answer
  • Assume common stock is the only class of stock outstanding in the Manley Corporation. Total stockholders' equity divided by the
    12·1 answer
  • You own a bond that has an 8 percent coupon and matures 8 years from now. You purchased this bond at par value when it was origi
    13·1 answer
  • A customer buys 100 shares of XYZ stock at $43 per share. The customer then sells 1 XYZ $45 Call contract for a premium of $500.
    15·1 answer
  • Suppose that real GDP is currently ​$13.22 trillion and potential real GDP is​ $14.0 trillion, or a gap of ​$800800 billion. The
    11·1 answer
  • Two ways in which an insurance company can contribute to the economic development of a country.
    14·1 answer
  • Why do economists think in terms of costs and benefits
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!