Large-denomination CDs are negotiable so that like a bond they can be resold in a secondary market before they mature.
- A lender is more likely to make long-term loans as opposed to short-term loans when interest rates are anticipated to rise in the future.
- Noninterest revenue, or off-balance sheet activity, can help banks raise their earnings. What impact do off-balance sheet activities like securities guarantees and backup credit lines have on the risk that the bank faces?
- Banks profit more when interest rates are higher by capitalizing on the discrepancy between the interest they pay to customers and the interest they may gain on investments.
Learn more about Large-denomination here brainly.com/question/14603014
#SPJ4
Compound interest is what you're looking for.
Answer:
NPV= -$1,172.57
Explanation:
Giving the following information:
Initial investment= $2,500
Cash flow= $1,500
Discount rate= 13%
To calculate the net present value (NPV), we need to use the following formula:
NPV= -Io + ∑[Cf/(1+i)^n]
NPV= -2,500 + (1,500/1.13)
NPV= -1,172.57
Answer:
Financial advantage of further processing =$23,700
Explanation:
A company should process a product further if the additional revenue from the split-off point is greater than than the further processing cost.
Also note that all cost incurred up to the split-off point are irrelevant to the decision to process further .
$
Additional sales revenue from further processing
($22-$17)× 6,500 32,500
Less further processing cost <u> (8,800)</u>
Financial advantage <u> 23,700</u>
Financial advantage of further processing =$23,700
Answer:
The correct answer is letter "A": true.
Explanation:
Companies using the process costing approach accumulate and assign costs to mass production of a good. Instead, job order costing assigns costs of manufacturing to individual units of production. In process costing, the costs are reported from one department involved in manufacturing to another following the production process. On the other hand, in job order costing, the costs are reported in job cost cards as they are being used.