Answer:
"$ 15,000" is the correct solution.
Explanation:
The given values are:
Agreed fixed rate,
= 0.04
LIBOR rate,
= 0.01
No. of borrowing months,
= 6
National amount,
= 1000000
Now,
The net payment will be:
= ![National \ principal*(Floating \ rate - Fixed \ rate)\times \frac{No. \ of \ months}{12}](https://tex.z-dn.net/?f=National%20%5C%20principal%2A%28Floating%20%5C%20rate%20-%20Fixed%20%5C%20rate%29%5Ctimes%20%5Cfrac%7BNo.%20%5C%20of%20%5C%20months%7D%7B12%7D)
On substituting the above values, we get
= ![1000000\times (0.01-0.4)\times \frac{6}{12}](https://tex.z-dn.net/?f=1000000%5Ctimes%20%280.01-0.4%29%5Ctimes%20%5Cfrac%7B6%7D%7B12%7D)
= ![1000000\times (-0.03)\times 0.5](https://tex.z-dn.net/?f=1000000%5Ctimes%20%28-0.03%29%5Ctimes%200.5)
=
($)
Answer: B. Fundamental weighting.
Explanation:
A fundamentally weighted index refers to a type of equity index whereby the components that are chosen based on the fundamental criteria like the dividend rates, book value, revenue, dividend rates, etc.
Fundamental weighting is the index weighting which results in portfolio weights shifting away from securities that have increased in relative value toward securities that have fallen in relative value whenever the portfolio is rebalanced.
An unexpected result is examined a lot more closely, since it must disagree with some currently accepted theory to be accepted as unexpected. If something is expected, we generally don't question it, although this is sometimes a tragic mistake and may cost a lot more for a person.
Answer:
False
Explanation:
Whenever, there will be reduced production costs, due to any reason in the economy, then the goods will be cheaper and accordingly the sale will be in abundance assuming other factors remain constant.
Thus, due to subsidies the cost to producers will be less and then exporters will not be able to get more share as domestic goods will cost cheaper.
Thus, there will not be any gain to foreign competitors in our domestic markets, as they will not get any share extra rather they will loose as a foreign competitor. In fact goods which are exported will also cost low, and therefore, will gain new customers.
Therefore, above stated statement is false.
Answer:
Perfect competition is an ideal type of market structure where all producers and consumers have full and symmetric information, no transaction costs, where there are a large number of producers and consumers competing with one another. Perfect competition is theoretically the opposite of a monopolistic market.
Explanation:
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