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lord [1]
3 years ago
13

Why would you want to limit your borrowing when making economic decisions ?

Business
1 answer:
Yanka [14]3 years ago
4 0

Answer:

so they can end up spending less on interest payments and credit card fees.

Explanation:

You might be interested in
A recession is a period of significant, widespread declines in:
Harrizon [31]

Answer:

Letter B. real income and employment.

Explanation:

Economic cycles describe the fluctuations that occur in income and employment in the economic system. This cycle may be one of expansion, a lasting movement of real income and employment growth, or it may be of recession, where the economic economy presents a significant and widespread decline in real income and employment. For example, the 2008 crisis has caused recession in many countries, leading to a fall in real income and employment.

6 0
3 years ago
Yoga Center Inc. is considering a project that has the following cash flow and cost of capital (r) data. What is the project's N
Natalija [7]

Answer:

The correct answer is E.

Explanation:

Giving the following information:

Yoga Center Inc. is considering a project that has the following cash flow.

Year 0= -1200

Year 1= 400

Year 2= 425

Year 3= 450

Year 4= 475

Cost of capital= 14%

To calculate the Net Present Value we need to use the following formula:

NPV= -Io + ∑[Cf/(1+i)^n]

Cf= cash flow

For example:

Year 3= 450/(1.14^3)

NPV= $62.88

7 0
3 years ago
The factors that affect the price elasticity of supply include: Instructions: You may select more than one answer.
bearhunter [10]

Answer:

The correct answer is letter "A", "B", and "D": the availability of inputs; the flexibility of the production process; time needed to adjust to changes in price.

Explanation:

Price elasticity of supply reflects the changes in supply after a change in prices. The price elasticity of supply is calculated dividing the percentage in the change of quantity supplied by the percentage in the change of price. If the result is equal or greater than one (1) the supply of that good is elastic. If the result is lower than one (1), then the supply is inelastic.

Three main factors determine the price elasticity of supply which are <em>the amount of inventory or raw material in the industry, the capacity to increase or decrease the production, </em>and <em>the time needed to produce the good to be offered based on the price fluctuations.</em>

8 0
3 years ago
May is a stockbroker. Due to May's statements, Nora believes that the price of OK Goods, Inc. (OKGI), a widely traded stock, is
Anna71 [15]

Answer:

$0

Explanation:

A client can only sue a stockbroker, a financial advisor, etc., only if they made them loss money through fraud or negligence. But in this case, May (stockbroker) apparently made a mistake of value, she did nothing illegal. She might be a terrible broker, but that doesn't make her a criminal. She also didn't breach any fiduciary duty, since investing always carries a risk. If Nora doesn't like to assume risks, then she should purchase government bonds.

4 0
3 years ago
Suppose that over the last twenty-five years a country's nominal GDP grew to three times its former size. In the meantime, popul
frez [133]

Answer:

B. It increased, but it less than doubled

Explanation:

Real GDP per person is defined as the total economic output divided by the total number of people. It is used in roughly indicating the standard of living.

An increased in the nominal GDP 3 times its formal will lead to a proportionate increase in the GDP per person statistics. But I was a noted that there was a 100% increase in population, meaning that population doubled. This indicates that the GDP per person increased but it less than double because of the population doubling in that period of time.

7 0
4 years ago
Read 2 more answers
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