Question

I have a few questions about finance. PLease answer correctly and completely! thx

Answer 1

Answer 1:

B is the answer.

Computers where there are many competitors with slightly differentiated products.

Explanation:

A market is characterized as a Perfect Competition where there are many buyers, many sellers and the products are either homogenous or slightly differentiated. There is also perfect knowledge about all the products and the nonexistence of monopoly. That is, no player in the market has leverage over which they can manipulate prices in their favor.

Answer 2:

A is the correct answer.

Operational Risk.

Explanation:

When there is the possibility for a loss arising from a dysfunctional internal process(es), inefficient employee(s), or even from external events, with a link to the internal dynamics of a company, the business is said to be exposed to Operational Risks.

Answer 3:

When there is an increase in interest rate, the following takes place:

1. Businesses shy way from borrowing from the bank
2. (due to the loss of leverage or increased cost of borrowing when they do) Production Cost increases
3. When production costs increase prices of finished goods increases
4. the above leads to a decrease in demand for finished goods
5. and ultimately Consumer spending goes down

Cheers