Answer:
Inflation in 2012:
= 10%
Inflation in 2013:
= 9.09%
Inflation in 2014:
= 5%
Real rate of interest = Nominal - inflation
Given that,
Nominal rate = 8%
Therefore,
Real interest rate is as follows:
2012:
= 8% - 10%
= -2%
2013:
= 8% - 9.09%
= -1.09%
2014:
= 8% - 5%
= 3%
$6000 at 8% grows to:
= 1000 × 1.08
= $6,480 in one year
which is invested again to grow to $6,998.4 in two years
which is invested again to grow to $7,558.272 in three years
so,
Total gain:
= 25.9712%
The price level increases in three years by:
= 26%
So,
Total real rate of return:
= Total gain - Percentage increase in prices
= 25.9712 - 26
= -0.0288%
Answer:
interest rate r = 6.78 %
Explanation:
given data
investment = $12,000
interest rate = 3.5 percent = 0.035
time = 5 year
interest rate = 7.9 percent = 0.079
time = next 15 year
to find out
What was your annual rate of return over the entire 20 years
solution
we get here interest rate as
interest rate r = ...................1
here t1 is time period for first 5 year and t2 is time i.e next 15 year and r1 and r2 is rate
now put here value we get
interest rate r =
interest rate r =
interest rate r = 1.0678 - 1
interest rate r = 0.0678
interest rate r = 6.78 %
Different locations contain different resources, countries trade to exchange their resources with other countries. Countries also trade to gain profit. Some goods are in demand and by trading, they can make a flourishing economy.
If scientists discover that steamed milk, which is used to make lattés, prevents heart attacks, then the equilibrium price and quantity would both rise.
<h3>
What do we mean by equilibrium price?</h3>
- An equilibrium price, also recognized as a market-clearing price, is the customer cost assigned to a product or service at a point where supply and demand are equal or nearly equal.
- The price at which the demand curve equals the quantity supplied is known as the equilibrium price.
- The intersection of the demand and supply curves determines it.
- A surplus exists when the quantity supplied of a good or service exceeds the quantity demanded at the current price, putting downward pressure on prices.
- For example, if scientists discover that steamed milk, which is used to make lattés, reduces the risk of heart attack, the equilibrium price and quantity will both rise.
Therefore, if scientists discover that steamed milk, which is used to make lattés, prevents heart attacks, then the equilibrium price and quantity would both rise.
Know more about equilibrium price here:
brainly.com/question/22569960
#SPJ4
Answer: (D) Procedure
Explanation:
The procedure is defined as the step by step sequence method or activity in which the action are executed for maintaining the various types of operations in the system.
If we follow some procedure then we must follow the similar order of the procedure for performing the given task. When the procedure is repetitive then is known as routine.
According to the given information, the team leaders are follow the standing plans for exporting the order and this scenario is basically refers as procedure.
Therefore, Option (D) is correct.