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PIT_PIT [208]
3 years ago
8

Rob is a business analyst who argues that investing makes more profit when the inflation rate is high. He points to the high ret

urns in the 1980s when inflation was around 12% and returns were as high as 20% or higher. Evaluate Rob's claim.
Select the best answer from the choices provided.
A.
Rob is correct because stocks and other goods increase in value due to inflation.
B.
Rob is confusing the nominal rate of return with the real rate of return.
C.
Rob is forgetting that inflation causes most businesses to do poorly.
D.
Rob is correct because inflation enables dollar profits to buy more goods.
Business
1 answer:
kirill115 [55]3 years ago
4 0

B.  Rob is confusing the nominal rate of return with the real rate of return.

Nominal rate of return is the "face value" of returns, but the real rate of return factors in the negative effect that inflation has on buying power. Inflation takes away from any earnings because it reduces the value of money.

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As it turns out, Brian and Sondra's good fortune with the restaurant has caused their competitors to lose business. In fact, Caj
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Answer: Brian and Sondra have, done nothing illegal

Explanation:

Brian and Sondra company are totally in their right, they are not directly involved in the poor fortunes of their competitors.

A rise in sales at Brian and Sondra company led to drop in the sales of their competitors leading to closure of their competitors businesses.

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3 years ago
How does implementing change affect strategic relationship management?
HACTEHA [7]

Answer:

A it upsets the balance

Explanation:

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3 years ago
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What aspect of project management was omitted from the PMI definition that is included in the definition proposed by Meredith an
Illusion [34]

Answer:

Fulfilling client expectations

Explanation:

Fulfilling client's expectations is one of the potent ways an organization can achieve its long term corporate objective. If I were on the PMI decision making body, I would not have outrightly voted for its inclusion. What I will do, however, is to:

1. fully gain an understanding of best practices and procedures that could be applied to achieve the client's expectations.

2. Prototype such procedures, practices and processes and assess its impact on the long term corporate objective.

3. The results from the foregoing will inform my decision.

6 0
3 years ago
A firm is thinking about adding a product to its product line. What is the most likely outcome if the firm goes through with thi
Alinara [238K]

The <u>most likely outcome</u> when a firm is thinking about adding a product to its product line is D. The new product can be advertised alongside existing products

<h3>What is product advertising?</h3>

Product advertising:

  • Is a management effort geared towards creating a demand for a product.
  • Promotes consumer awareness.
  • Fosters consumer interest in the product.
  • Encourages consumers to make purchase decisions quickly as they see the product.

Thus, most likely, adding a product to the product line will help the new product to be advertised alongside existing ones.

Learn more about product advertising at brainly.com/question/1658517

#SPJ1

<h3>Question Completion with Answer Options:</h3>

A. It will be difficult to manufacture the product.

B. The company will have to work hard to build up the brand.

C. The new product is certain to be accepted by the market.

D. The new product can be advertised alongside existing products.

E. It will take a long time for customers to feel loyal to the product.

7 0
2 years ago
A customer sells short 100 shares of ABC stock at $74 per share. The stock falls to $66, at which point the customer writes 1 AB
Gekata [30.6K]

Answer: $62

Explanation:

The customer sold the stock short at $74 per share. Later on, the customer sold a Sept 65, Put at $3 on this stock. If the short put is exercised, the customer is obligated to buy the stock at $65 per share. Since the customer received $3 in premiums when the put was sold, the net cost to the customer is $62 per share for the stock (this is the cost basis in the stock for tax purposes). The stock that has been purchased is delivered to cover the short sale, closing the transaction. The customer's gain is: $74 sale proceeds - $62 cost basis = 12 point gain.

4 0
3 years ago
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