Answer: normal /upward sloping
Explanation:
The yield curve is a curve that shows the relationship that exist between interest rate and time to maturity. According to the expectation theory, it is stated that the yield curve will be upward sloping when there's increase in inflationary expectations.
The slope of the yield curve helps in giving a clue to know the direction of future interest rates. It should be noted that an upward sloping curve means that there is an expectation of higher interest rates in the future.
Therefore, when investors expect inflation to increase over the next 20 years and the maturity risk premium to increase over the next 5 years, the general yield curve will be upward sloping.
Answer:
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Answer:
b. Less than the effective interest rate
Explanation:
The stated discount rate on this loan is Less than the effective interest rate
As the note is noninterest-bearing note, the stated discount rate on this loan is less than the effective interest rate.
The process of planning the break schedules and the freight delivery schedules is known as an operational planning.
<h3>What is an
operational planning?</h3>
This refers to the outlining of key targets that a firm will undertake during a period of time that is usually one year.
Hence, the process of planning the break schedules and the freight delivery schedules is known as an operational planning.
Therefore, the Option A is correct.
Read more about operational planning
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Lets talk about all the terms. First of all, zero-sum game theory and rational choice theory are mathematical theories that are used to analyze financial phenomena. The first one is against this view and the second one is a general framework that does not say what its stance is; it is certainly not the basic message of rational choice theory. The mercantilist theory is a theory that favors trade restrictions, so this is not the right choice. THe theory of absolute and comparative advantage are related; the first one says that only a country can make a product in a good way, while the second theory claims that eeach country should specialize in what it is best at producing. The comparative advantage theory makes the case that if there are many goods, one should not need to bother to produce those which he is bad at producing; he should produce a surplus of his specialty and then trade with others (and their specialty products). Thus, comparative advantage is the correct choice.
