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4 years ago

In your own words, explain the difference between the nominal interest rate and real interest rate.

Business

1 answer:

puteri [66]4 years ago

5 0

Answer:

The nominal interest rate is the quoted interest rate, while the real interest rate is defined as the nominal interest rate minus the expected rate of inflation.

Another common definition is that a real interest rate is an interest rate that has been adjusted to remove the effects of inflation to reflect the real cost of funds to the borrower and the real yield to the lender or to an investor. A nominal interest rate refers to the interest rate before taking inflation into account. The real interest rate is approximately equal to the nominal interest rate minus the expected rate of inflation.

(please put in own words)

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Choose an advertisement that you found to be especially memorable. Describe the advertisement and explain how effective it is. D

vodka [1.7K]

Answer:

"Priceless" advertisings for Mastercard.

Explanation:

The advertising describes memorable situations that you find priceless like, the smile of a child, sports moments are also used like winning tennis titles celebrations for Roger Federer.

The message of this brand is strong already and well known for consumers the idea will be to enhance the channels in which the advertisements are displayed. Use the internet to promote the brand. Using the social media networks that are most popular.

6 0

3 years ago

In the long run, an increase in the money supply will affect the price level and real GDP of an economy in which of the followin

Mars2501 [29]

Answer:

1. Lower the interest rates in the economy.

2. Increase asset prices

Explanation:

Remember, increase in money supply looks at the total money made available in circulation in an economy. Alternatively it is called liquidation.

The real of an economy takes into consideration the impact of inflation on the value of goods and services produced in an economy.

Therefore lower interest rates as a result of increase in money supply would results in more consumption and borrowing.

While the price of houses, stocks would rise because of the increased money supply.

4 0

3 years ago

The franchisor generally does NOT provide the franchisee with:

Nonamiya [84]

Answer:

c. wholesale prices on supplies

Explanation:

The franchises provide the financial assistance and are limited to only some of the franchises and provide the location services as they have experiences of choosing a successful location.

<u>Also the training of the people for the manual operations and to carry out the operational services and also serves as the advertising and the efforts on a national regional and the local basis and the needed administrative support in terms of the human resource in the accounting etc.</u>

7 0

3 years ago

On October 15, 2020, the board of directors of Ensor Materials Corporation approved a stock option plan for key executives. On J

SashulF [63]

Answer:

1. The Ensor's stock measurement date is January 01, 2021

2. Compensation expense for the stock option is $50 million

3. Please see journal entry in the explanation below.

Explanation:

1. It was clearly indicated in the question that on January 1, 2021 , 32 million stock options were granted hence measurement date is ; 1st of January, 2021

2. The fair value per stock option is $6

Therefore, total compensation expenses = $6 × 25 million

= $150 million

Since the options are exerciseable between 01/01/2024 and 01/01/2026

The period for vesting will be 3 years from 01/01/2021 - 31/12/2023

Therefore, the compensation expense for the stock option in year 2021 = Total compensation expense/ Vesting period

= $150 million /3

= $50 million

3. Since 2.6 million(10%) were forfeited, 90% represent the remaining unforfeited. I. e (100%-10%)=90%

In 2022, which is the second year of the vesting period, compensation expense would be;

Compensation expense of 2022 = (Total compensation expense * 90% * the order of the period / Number of period - Compensation expense of

2021

= $150 million *90% *2/3 - $50 million

=$40 million.

In 2023,

Dr Cr

Compensation expense. $40 million

Paid in capital stock options. $40 million

4 0

3 years ago

You oversee the $250 petty cash for your company. When an employee needs a special item that is not in inventory, you take money

sergey [27]

Answer:

Since this is the first time you have ever done this, is this a problem?

Of course this is a problem, you stole money. Stealing money is not right and it is a problem. If someone finds out, you will lose your job. legally, you could also be prosecuted, but the amount is very little. Another problem is that if you are able to go unpunished and no one finds out, this behavior will continue until you cannot hide it anymore. By then , the amount might be larger, not just a few dollars, and you will be in deep trouble.

If so, what steps should be taken to fix this problem? If not, why not?

Pay back the money you took. Simple as that. Sometimes, doing the correct thing is not difficult. Do not spend money on unnecessary things and pay the $30. Do it before this becomes a bad habit and you get into serious trouble that seriously damage your career. No company will hire someone fired for stealing money form their previous employer.

8 0

3 years ago