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3 years ago

A good investment should do one or both of which two things

Business

2 answers:

Morgarella [4.7K]3 years ago

6 0

Im going to say Grow in value or produce income

zvonat [6]3 years ago

3 0

Answer:

A, grow in value or produce income

Explanation:

ed2020

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Suppose the governments of two different economies, economy A and economy B, implement a permanent tax cut of the same size. Inv

timama [110]

Available Options Are:

a) higher sensitivity to changes in the interest rate, or

b) lower sensitivity to changes in the interest rate

Answer:

Option A. Higher sensitivity to changes in the interest rate

Explanation:

The reason is that the tax cut will encourage foreign investment and this increase in Foreign Investment will increase the GDP but by small amount. However, the higher interest rate in an economy always raises additional money in an economy which companies invest to purchase the new GDP. Thus the GDP growth is highly sensitive to changes in interest rate.

8 0

3 years ago

Suppose that a 5-year Treasury bond pays an annual rate of return of 2.9%, and a 5-year bond of the fictional company Risky Inve

solniwko [45]

Answer:

The risk premium is 4.4%

Explanation:

The risk premium on any given investment is the difference between the risky investment and the risk free investment and in this case we know treasury bonds are risk free and offer a certain return of coupons because they come from governments rather than the fictional ones like the one from risky investment inc so to find the risk premium we say :

Risk Premium = Risky investment rate - Risk free investment Rate

= 7.3% - 2.9%

= 4.4%

3 0

3 years ago

Read 2 more answers

Flint Inc. has decided to purchase equipment from Central Michigan Industries on January 2, 2017, to expand its production capac

ddd [48]

Answer:

Please see the answers below:

Explanation:

Debit: Equipment $912,000

Credit: Notes Payable $912,000

To record purchase of equipment at zero interest bearing note Central Michigan.

Debit: Notes Payable $182,400

Debit: Interest Payable $20,064

Credit: Cash $202,464

To record Cash Payment of 1st year Installment and Interest.

Debit: Notes Payable $182,400

Debit: Interest Payable $20,064

Credit: Cash $202,464

To record Cash Payment of 2nd year Installment and Interest.

Debit: Depreciation Expense $91,200

Credit: Accumulated Depreciation $91,200

To record Depreciation Expense on Equipment over the life of 10 years with no salvage value. (Straight Line Depreciation is employed).

6 0

2 years ago

LO 6.3A company calculated the predetermined overhead based on an estimated overhead of $70,000, and the activity for the cost d

olya-2409 [2.1K]

Answer:

$68,600

Explanation:

An predetermined overhead of $70,000 was estimated for an activity of 2,500 hours. The actual overhead assigned to the products is given by multiplying the fraction of the total 2,500 hours of activity utilized by the products by the predetermined overhead:

$A = \frac{1,350+1,100}{2,500}*\$70,000\\ A = \$68,600$

The total amount of overhead assigned to the products is $68,600.

8 0

3 years ago

What journal should a company uses to capture cash transactions?

alexira [117]

I think it is (The Cash<span> Payments </span><span>Journal)

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7 0

2 years ago