Hello there!
Your answer would be C). Bank B for the car loan and Bank A for the savings account.
The reason why this would be your answer is because when you are opening a savings account, you want to make sure that the interest is high. However, when you get a new car, you want to make sure that the interest is low. Bank B provides a low interest rate, while Bank A provides a high interest rate.
Why are the two the opposite? Here's the answer:
Why you should get a high interest rate for a savings account:
You should get a high interest rate for the savings account because the interest you have for the savings account is the money that the bank will give you, so it's pretty much free money that the bank is giving you for having your money saved in their bank. If you want to get more money from the bank because of your savings account, then you should find one with a high interest rate.
Why you should get a low interest rate for a car (loan):
You should get a low interest rate for a car (loan) because the bank or people that you're loaning the money from is using interest to get your money. To make it easier, the people are using interests rates to make money, or profit, off of you. This is very important, interest rates DO NOT count towards the payment of the principal (amount to pay) for the car. In order for you to not help others make profit from you, you should get a car (loan) with a low interest rate, so you would be saving money and not help anyone use you as profit, and probably use that money for the car payments or other payments.
Answer: (A) True
Explanation:
Yes, the given statement is true that the risk pooling is one of the type of strategy which basically helps in explaining about the demand variability and also decrease the aggregate demand variance in the market.
The main objective of the risk pooling is to maintain the inventory stock level and also avoiding the out of stock situation in the management.
By using the risk pooling strategy the various types of warehouse and companies are reduce the level of safety stock in the supply chain management and also transferring their risk to another organization such as insurance company.
Therefore, the given statement is true.
Answer:
7.32
Explanation:
Swap rate is fixed rate that swap receiver requires for the paying the uncertain rate. SWAP rate is fixed interest rate that is required by Swap receiver in exchange of floating rate of LIBOR. Swap rate can be calculated by multiple formula using the spreadsheet. The formula listed below is the simplest version;
r = 
= 1-d (0, 4) /4 T=1 d(0,t) = 0.0732
= 7.32
Answer: 25%
Explanation:
Level of trade is simply calculated as the percentage of export of a particular country to its share of the gross domestic product.
Based on the scenario given in the question, the level of trade will be:
= (Exports / GDP) × 100
= 50/200 × 100.
= 1/4 × 100
= 25%
