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IgorLugansk [536]
3 years ago
7

You can buy a $50savings bond today for $25 and redeem the bond in 10 years for its full facevalue of $50. You could also put yo

ur money in a money market account that pays7% interest per year. Which option is better assuming they are of equal risk?a. The money market accounnt is better because it pays more interest.b.. The money market account is better because it requires a smaller investment.c. The savings bond is better because it earns a higher interest rate.d. The money marketand savings bond both earn 7% interest, so they are equal in value.
Business
1 answer:
Alexxx [7]3 years ago
7 0

Answer:

The correct option is D,the money market and savings bond both earn 7% interest so they are equal.

Explanation:

In deciding the option that is preferable ,we need to need the rate of interest offered by the savings bond with which we can compare to the return offered by the money market account.

Using financial calculator, rate=rate(nper,,-pv,fv,1)

Please take close look at the usage of double commas and 1 in the formula.

nper= number of years=10 years

pv=$25

fv=$50

rate=rate(10,,-25,50,1)

rate=7%

The money market and savings bond both earn 7% interest so they are equal in value

To understand how this is done in excel ,find attached.

Download xlsx
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Setting goals and objectives is a part of planning.

Planning includes both the process of developing a plan and its accurate and timely execution.

Planning may be extremely helpful in avoiding mistakes and seeing possibilities. Good planning demonstrates management's familiarity with the company and their consideration of changes in "products," management, finance, and—perhaps most importantly—the external environment, which includes markets, competitors, users, and regulations. Planning aids in future prediction, future visibility, and the construction of a link between the present and this future.

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3 0
2 years ago
A manager doing performance appraisals gives more weight to recent employee behaviors than to behaviors of 6 or 9 months earlier
stiv31 [10]

Answer:

The correct answer is letter "B": availability.

Explanation:

Availability bias or availability heuristic refers to individuals tending to relate the easiest judgment they can recall about a certain matter as its most suitable metric and even a metric that could predict future behavior on that topic. This happens because those people make assumptions based on what they can remember of that matter which might not be necessarily the most accurate input about it.

Therefore,<em> if a manager is measuring performance only placing focus on employees' recent and not past behavior, the manager is implementing availability bias.</em>

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3 years ago
In many developing countries, the amount paid in ___________________ was as much as the combined amount for water, health, agric
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In many developing countries, the share paid in a deficit budget was as much as the united amount for water, health, agriculture, roads, transport and finance.

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Anyone having borrowed funds or interests from another owes a debt and is beneath obligation to return the goods or repay the funds, usually with interest. For governments, the demand to borrow to finance a deficit budget has led to the growth of various states of national debt.

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6 0
1 year ago
A Broker Price Opinion (BOP) and Competitive Market Analysis (CMA) are estimates of value created by real estate licensees for m
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This evaluation was prepared by a licensed real estate broker and is not an appraisal. This evaluation cannot be used for the purposes of obtaining financing.

Explanation:

4 0
3 years ago
On January 1, 2017, Grand Haven, Inc., reports net assets of $945,300 although equipment (with a four-year remaining life) havin
borishaifa [10]

Answer:

patent on the consolidated estament: 32,000

Explanation:

45,000 x 80% = 36,000

36,000 / 9 = 4,000 amortization per year

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<u>      debit           credit        </u>

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5 0
4 years ago
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