<h2>Plus changes in business inventories, plus purchases of new residential housing</h2>
Explanation:
Let us understand the term deeply what an "investment" is about.
- It is the amount of money spent on something which would yield a better returns"
- These are purchase of goods which may not be essential or not going to be used immediately but it is bought keeping future in mind
- Those are also called an "asset" which can be sold in future "for higher profit returns"
- This is action is done to "financially" be safe or protected
- There are different types of investment and should be carefully chosen based on the returns and risks associated with that.
Answer: True
Explanation:
As of February 2020, Target Corp's total liabilities were listed to be $30,946,000,000 while its shareholder equity was significantly lower at $11,833,000,000.
Target Corp therefore does indeed have liabilities that exceed owners equity and by a substantial amount. This has also been the trend since at least 2015.
Answer:
raise the value of foreign‑currency put options and lower the value of foreign‑currency call options
Explanation:
Options are the ability of an investor to buy or sell an asset. A call option is the choice to buy an asset at a particular price on or before a particular date.
A put option is the choice to sell an asset on or before a particular date.
As foreign interest rate increases and exchange rate is constant, the value of the foreign currency decreases therefore resulting in a decrease in value of call options.
This also results in an increase in value of put options
Answer:
$62,267.91
Explanation:
first we must calculate the interest rate = 10% + 6% + (10% x 6%) = 16.6%
now we can use the present value formula:
present value = future value / (1 + rate)ⁿ
present values for:
- cash flow year 0 = $17,100
- cash flow year 3 = $46,500/1.166³ = $29,333.06
- cash flow year 4 = $12,300/1.166⁴ = $6,654.43
- cash flow year 7 = $26,900/1.166⁷ = $9,180.42
total present value = $62,267.91