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ololo11 [35]
3 years ago
11

Statement 1: The onset of 5% inflation means that your receipt of a $100 interest payment allows you to purchase only $95 worth

of goods and services. Statement 2: For the average rational investor or saver, there is an indirect, or inverse, relationship between the amount of risk exhibited by a security and the risk premium that would be required by the investor or saver. Statement 3: It is a mathematical impossibility for the expected future inflation rate to be greater than the real risk-free rate of return on an investment. Statement 4: All things being equal, savers and investors expect to receive some amount of maturity premium as compensation for their deferred consumption. The true statements are_______________.a. 1 and 4b. 1 and 3c. 2 and 3d. 2 and 4
Business
1 answer:
Nimfa-mama [501]3 years ago
6 0

Answer:

A. 1 and 4 are true

Explanation:

Statement 1: When inflation goes up the market prices of goods increase and reduces buying power of customer. So, if you get $100 even after 5% inflation, you would get $95 worth good.

Statement 2: It is commonly known as, the higher the risk the higher the gain. So, risk premium and risk exhibited by security is directly related with each other.

Statement 3: Since, risk free rate is the compensation for time value of money, that is why it can’t make real risk-free rate negative because real risk rate is there, but inflation can go higher than risk free rate.

Statement 4: Maturity payment is paid to investors or savers after certain period of time along with principal amount.

Hence, A. 1 and 4 are true

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free pdf community revival in the wake of disaster: lessons in local entrepreneurship (perspectives from social economics)
Bogdan [553]

According to Community Revival in the Wake of Disaster, entrepreneurs, broadly considered as those who spot and seize opportunities to foster social change, fulfill this crucial function.

    It can be challenging to recover after natural disasters like tsunamis, hurricanes, earthquakes, and floods. Residents of communities must be able to both obtain the resources they need for reconstruction and get around the issue of collective action that plagues post-disaster relief efforts.

    The community revival in the wake of disaster illustrate how entrepreneurs support community recovery by providing necessary goods and services, restoring and replacing disrupted social networks, and signaling that community rebound is likely and, in fact, underway. The recovery efforts following Hurricanes Katrina and Sandy in New Orleans, Louisiana, and Rockaway, New York, are used as examples. They contend that encouraging businesses to take action after natural disasters is crucial for establishing recovery and resilient communities.

To learn more about natural disaster click here:

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3 0
2 years ago
Josh is convinced that subgroups exist within his company's current customer base. Further, he believes that these different gro
kaheart [24]

Answer: Clustering

Explanation: In simple words, clustering refers to a form of communication in which a single person transmits the message to the sub groups and this cycle follows on. The individuals to which message is transmitted are not randomly selected.

In the given case, John wants to know the factors for which the potential customer wants to purchase his brand products. However due to higher population on target individual analysis is not feasible.

Thus, John should opt for Cluster by making subgroups for the flow of information.

3 0
3 years ago
Can robbery include fake money
olasank [31]

Yes. Roberey can include fake money.

5 0
3 years ago
Ring Me Up Inc. has net income of $143,100 for the year ended December 31, 2019. At the beginning of the year, 36,000 shares of
Vera_Pavlovna [14]

Answer:

$2.13

Explanation:

Computation what the basic earnings per share of common stock for the year ended December 31, 2019 be

Using this formula

Basic earnings per share = Net income - preferred dividends / Weighted average no of shares outstanding

Let plug in the formula

Basic earnings per share = $143,100 - (9,000*4.65%*100) / (36,000*12/12)+(18,000*8/12) - (4,300*1/12)

Basic earnings per share = $143,100 - 41,850 / 36,000+12,000 - 358

Basic earnings per share = 101,250 / 47,642

Basic earnings per share =$2.13

Therefore the basic earnings per share of common stock for the year ended December 31, 2019 be $2.13

3 0
3 years ago
In the national income accounts, government transfer payments such as old age pensions and unemployment benefits are:
tangare [24]
Transfer payments are not included in the government term in the national income identity. Imports are subtracted in the national income identity because imported items are already measured as a part of consumption, investment and government expenditures, and as a component of exports.
5 0
3 years ago
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