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3 years ago

The ______ rate of interest is the actual rate charged by the supplier and paid by the demander of fund

Business

1 answer:

Ghella [55]3 years ago

3 0

Answer:

nominal

Explanation:

There is a nominal rate that is the interest rate stated on a loan without taking into account the inflation or the compounding of interests and a real rate that is the one that is adjusted to reflect the real cost of the loan to the borrower. According to this, the answer is that the nominal rate of interest is the actual rate charged by the supplier and paid by the demander of fund because this is the rate that is stated when taking a loan.

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Joseph is reviewing secondary data his company collected about seasonal variations in consumer spending because he is thinking a

Yanka [14]

Answer:

The advantages of using secondary data are several, but its main advantage is that it is the cheapest way to gather large sets of information. A lot of secondary data is available on the internet, so it is time saving. Using secondary data saves work, efforts and money.

We can also use secondary data to determine more specifically which primary data we need to gather, again saving resources.

7 0

3 years ago

Westsyde Tool Company is expected to pay a dividend of $1.50 in the upcoming year. The risk-free rate of return is 6%, and the e

lawyer [7]

Answer:

Return on company's stock = 15.6%

Explanation:

The capital asset pricing model (CAPM) relates the price of a share to the market risk or systematic risk. The systematic risk is that which affects all the all the economic agents, e.g inflation, interest rate e.t.c

Using the CAPM , the expected return on a asset is given as follows:

E(r)= Rf +β(Rm-Rf)

E(r) =? , Rf- 6%, Rm- 14%, β- 1.2

E(r) = 6% + 1.2× (14- 6)%

= 6% + 9.6%

= 15.6%

Return on company's stock = 15.6%

7 0

3 years ago

Innovative Products reported net income of $219,000. Beginning and ending inventory balances were $44,500 and $46,500, respectiv

andrew11 [14]

Answer:

$213,500

Explanation:

Given the information above, first, we'll determine increase in inventory

Increase inventory = Ending inventory - Beginning inventory

Increase inventory = $46,500 - $44,500

Increase inventory = $2,000

We will also calculate decrease in account payable

Decrease in accounts payable = Beginning accounts payable - Ending accounts payable

Decrease in accounts payable = $40,500 - $37,000

Decrease in accounts payable = $3,500

Therefore,

Net operating cash flows = Net income - Increase inventory - Decrease in accounts payable

Net operating cash flows = $219,000 - $2,000 - $3,5000 = $213,500

3 0

3 years ago

When perfectly competitive firm X sells three units of product Z, its marginal revenue is $4.67. When it sells one hundred units

Sedaia [141]

Answer:

A) $4.67

Explanation:

In a perfectly competitive market, marginal revenue always is equal to price. Also, the price is not determined by the firms, it is given by the market because producers doesn´t have any power of decision in this matter.

Due to that, the price is constant, independent the quantity sold.

8 0

2 years ago

Consider the following events: a. A fruitworm infestation ruins a large number of apple orchards in the state of Washington. Thi

Vikentia [17]

Answer:

Both statements are true

Explanation:

Due to the worm infestation, there would be a fall in supply of apples, this would lead to a shift of the supply curve to the left

a fall in price in apples, would lead to a movement down along the supply curve.

Only a change in price of a good leads to a movement along the supply curve for the good, other factors lead to a shift of the supply curve

8 0

2 years ago