All categories

3 years ago

What is the typical relationship between time and interest rate?

Business

2 answers:

klasskru [66]3 years ago

5 0

I believe the answer is: Longer time period usually equals higher interest rates.

Longer time period usually equal more risk for the creditor to get all of the money that they land back. Because of this, when a borrower opt to choose longer time period, creditors would impose a higher interest rates to protect their investment.

melamori03 [73]3 years ago

3 0

<span>Time and interest rates are directly related to one another. When paying a loan that accures interest, the longer it takes for you to pay the loan back, the more interest you are going to pay on that loan. Over time, the interest adds up and can be a large sum of money, if you want to pay a lower amount of interest, it is often beneficial to pay off the loan in a quicker amount of time. </span>

You might be interested in

Managers satisfied with their current market share and profits sometimes adopt what can be termed as "don't-rock-the-pricing-boa

qwelly [4]

Answer:

Status quo objective

Explanation:

A status quo objective simply put is an objective is which a situation is maintained as it were as a result of satisfaction derived from the situation and its thought to be the ideal situation.

For a manager satisfied with the current market share and profits, he/she maintains a status quo postion which means that market share and profits neither increase or dcrease thus becoming a constant.

I hope this helps.

5 0

3 years ago

Why do so many people borrow money for large purchases instead of using sinking fund?

yawa3891 [41]

I think that most of the people borrow money for large purchases instead of using a sinking fund because if you need money immediately borrowing money is a simple and easy thing, it takes less time whereas if you use sinking fund, it will take more time because for this you have to make plans earlier but it is a safe and protected method for clearing the debts.

4 0

4 years ago

After identifying the purpose of your message, you should select the most appropriate communication channel. When determining th

tia_tia [17]

Answer: Receiver's preference and level of technical expertise

4 0

3 years ago

Nobel laureate Milton Friedman and his followers belong to a school of thought known as monetarism. What do the monetarists argu

krek1111 [17]

Answer:

C. The Fed should target the money supply, not the interest rate, and that it should adopt the monetary growth rule.

6 0

4 years ago

Use the following to answer questions 8-10: Dudley, Inc. makes a single product which has the following standards: · Direct mate

jeka94

Answer:

The correct answer is B.

Explanation:

Giving the following information:

Standards:

Direct materials: 2 kilograms at $4.30 per kilogram.

The following data pertain to June's operations:

Direct material purchases were 110,000 kilograms for $485,000. 92,000 kilograms of direct materials were used.

Standard= 92,000/2= 46,000 units

Direct material quantity variance= (standard quantity - actual quantity)*standard price

Direct material quantity variance= (46,000 - 46,000)*4.30=0

5 0

4 years ago