All categories

3 years ago

What is more volatile over time non-monetary real interest rate or risk-free rate of interest?

1 answer:

8 0

Between the two interest rates, the more volatile over time non monetary is the real interest rate. It is because in terms of risk - free rate of interest, it does acquire a return of investment that involves no risk and this is not volatile compared to the real interest rate which is a real risk.

You might be interested in

You are comparing two annuities with equal present values. The applicable discount rate is 6.5 percent. One annuity will pay $2,

MAVERICK [17]

Answer:

the annual payment for the second annuity is $2,130 paid at end of every year

Explanation:

We have following information for 1st annuity:

Rate: 6.5%

Payment (PMT): -$2,000, paid at beginning of every year

Tenor (Nper): 20 years

We use excel to calculate the present value of annuity = PV(rate,Nper,PMT,,1)

=PV(6.5%,20,-2000,,1) = $23,469

Then we calculate the payment for 2nd annuity = PMT(rate,Nper,PV,,0)

=PMT(6.5%,20,23469,,0) = -$2,130

Download xlsx

4 0

4 years ago

Which stage of economic development is a time of change from the traditional way of doings things in a society to moving toward

lesantik [10]

Answer:

takeoff

Explanation:

Takeoff is a stage marked by rapid economic growth based upon a few key economic industries or sectors, such as steel, railroads, textiles, and food production. Drive to maturity is a stage where the economy continues to grow and to diversify from the handful of industries that drove growth in the previous stage.

6 0

3 years ago

Which of the following is an example of an annuity? A lump-sum payment made to a life insurance company that promises to make a

yarga [219]

Answer:

A lump-sum payment made to a life insurance company that promises to make a series of equal payments later for some period of time.

Explanation:

4 0

3 years ago

Read 2 more answers

What is a contingency plan?

fenix001 [56]

Answer:

Um plano de contingência é um tipo de plano preventivo, preditivo e reactivo.

Apresenta uma estrutura estratégica e operativa que ajudeá a controlar uma situação de emergência e a minimizar as suas consequências negativas.

O plano de contingência propõe uma série de procedimentos alternativos ao funcionamento normal de uma organização, sempre que alguma das suas funções usuais se vê prejudicada por uma contingência interna ou externa.

5 0

3 years ago

With respect to the six stages of a quality life cycle, the implementation stage of a new quality initiative is called:_____.

Georgia [21]

With respect to the six stages of a quality life cycle, the implementation stage of a new quality initiative is called adoption.

What is life cycle?

The term life cycle refers to the life are the passes on the different stages such as baby, kids, children, teenager, adult, young, and the last is the old there are the different phases of the life.

There are the six stages of the quality life cycle are the adoption, regeneration, energizing, maturation, limitation, or stagnation and decline. The adoption is the implementation stage of a new quality initiative.

As a result, the quality life cycle is the adoption.

Learn more about on life cycle, here:

brainly.com/question/12600270

#SPJ4

5 0

1 year ago