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DerKrebs [107]
3 years ago
13

If Treasury bills are currently paying 6.5 percent and the inflation rate is 1.3 percent, what is the approximate and the exact

real rate of interest
Business
1 answer:
s2008m [1.1K]3 years ago
6 0

Answer:

the approximate real interest rate = nominal rate - inflation rate = 6.5% - 1.3% = 5.2%

the exact real interest rate is calculated using the following formula:

(1 + nominal interest rate) = (1 + real interest rate) (1 + expected rate of inflation)

(1 + 0.065) = (1 + real interest rate) x (1 + 0.013)

1 + real interest rate = (1 + 0.065) / (1 + 0.013) = 1.065 / 1.013 = 1.05133

real interest rate = 1.05133 - 1 = 0.05133 = 5.13%

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What is the difference between an affirmative action goal and a quota? Is there a difference
Margaret [11]

Answer:

Affirmative action is an effort by institutions to improve educational and economic opportunities for underrepresented groups and communities. Quotas force diversity without factoring in actual inclusion. The pathetic attempt to meet numerical goals to appear diverse.

3 0
2 years ago
The auditors of Steffey Ltd., decided to study the cash receipts and disbursements for the month of July of the current year und
creativ13 [48]

Answer:

                                     Bal. June 30   Receipts    Disbursements    Bal. July 31

Balance per Bank            355,001          835,846       684,747             506,100

Deposit in Transit

June 30                              86,899         -86,899

July 31                                                       51,240                                     51,240

Outstanding Checks

June 30                               42,690                               -42,690              

July 31                                                                               73,340             73,340

Unrecorded Receipts                              -150,000                                 -150,000  

Unrecorded Disbursement                                            -150,000          -150,000

Balance per Books          399,210         650,187          565,397           484,000

3 0
3 years ago
What is the purpose of jim lentz’s series of presentations to toyota employees in california?.
Serggg [28]
<h3>Answer</h3>

To address employees concerns and provide details about relocation.

<h3></h3>

Explanation

CEO Jim Lent addressed the employees at Toyota to their concerns and to inform them about the relocation that is planned at a board level and then it is to be implemented.

CEO of Toyota is therefore addressing the employees to provide them details about relocation and to address their concerns.

<h3>Conclusion</h3>

Jim Lent CEO of Toyota, addressed the employees to provide them details about relocation and to address their concerns.

Learn more about Business at brainly.com/question/26562433

6 0
2 years ago
A note payable was executed by Sterling Inc. to Miami Finance Company. Sterling Inc. used $768,000 of its accounts receivable as
denpristay [2]

Answer:

See all the entries below.

Explanation:

a. Record the entry for Sterling to record the secured borrowing.

The entries will look as follows:

<u>Account Name                                    Debit ($)           Credit ($)    </u>

Cash (768,000 * 85%)                       652,800

  Note Payable                                                              652,800

<em><u>(To record the secured borrowing.)                                                    </u></em>

b. Record the entries for Sterling to record (1) the collections and (2) the payment to Miami for the first month.

The entries will look as follows:

<u>Account Name                                    Debit ($)           Credit ($)      </u>

Cash                                                   504,320

Refund Liability                                    20,480

  Accounts Receivable                                                 524,800

<u><em>(To record collection on receivables for first month.)                         </em></u>

Interest Expense                                     4,480

Note Payable                                      499,840

  Cash                                                                             504,320

<u><em>(To record payment to Miami for the first month.)                               </em></u>

c. Record the entries for Sterling to record (1) the collections for the second month and (2) the final payment to Miami.

The entries will look as follows:

<u>Account Name                                    Debit ($)            Credit ($)     </u>

Cash                                                    238,080

Allowance for Doubtful Debt                  5,120

  Accounts Receivable (w.1)                                          243,200

<u><em>(To record collection on receivables for second month Interest.)     </em></u>

Expense                                                   1,920

Note Payable                                       151,040

  Cash (w.2)                                                                      152,960

<u><em>(To record final payment to Miami.)                                                      </em></u>

Workings:

w.1: Accounts Receivable = Amount of accounts receivable as collateral – Cash received from customer = $768,000 - $524,800 = $243,200

w.2: Cash = Loan - First payment for principal = $652,800 - $499,840 = $152,960

3 0
3 years ago
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