1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
posledela
3 years ago
7

You deposit $509 in a savings account and one year later you have $562. At the same time, the CPI increases from 126 to 143. Wha

t was your real interest rate, in percentage terms?
Business
1 answer:
GaryK [48]3 years ago
6 0

Answer:

real interest rate = -3.08%

Explanation:

real interest rate = nominal rate - inflation rate

  • nominal interest rate = [($562/$509) - 1] x 100 = 10.41%
  • inflation rate = [(143/126) - 1] x 100 = 13.49%

real interest rate = 10.41% - 13.49% = -3.08%

since the real interest rate is negative, the investor actually lost money in real dollars. This means that the amount of goods that the investor could purchase before making the investment is higher than the amount of goods he/she will be able to buy after the investment.

You might be interested in
An oligopolistic market structure is distinguished by several characteristics, one of which is either similar or identical produ
Diano4ka-milaya [45]

Answer:

Difficult entry, Mutual interdependence, Market is control by a few large firms.

Explanation:

An Oligopolistic market very few organisations control a particular market share. Likewise, when another organisation attempts to enter the market, there are obstructions set up by the current organisations. Similarly, if one organisation changes or alter a commodity, it affects all other firms and organisations. So there is mutual interdependence in the oligopolistic market. There is high mutual interdependence because firms produce identical or the same goods and services.

6 0
3 years ago
FDIC is:
seropon [69]

Answer:

c) A government insurance program that will pay back account holders if the bank or lending institution fails

Explanation:

The FDIC is an acronym for Federal Deposit Insurance Corporation. It was founded by Franklin Roosevelt on the 16th of June, 1933.

FDIC is a government insurance program that will pay back account holders if the bank or lending institution fails.

The income generated from the premium payments of insured banks is used to fund or finance the FDIC.

5 0
3 years ago
Read 2 more answers
The following data were reported by a corporation: 20,000 15,000 3,000the number of outstanding shares is:
7nadin3 [17]

Outstanding shares will be 12,000 shares.

These are calculated as follows:

Here the number of shares are as follows;

Authorized shares are 20,000, Issued shares are 15,000, Treasury shares are 3,000

Therefore, the number of outstanding shares can be calculated as follows

Number of outstanding shares = Issued stock- Treasury stock

= 15,000-3,000

= 12,000

Hence the number of outstanding shares is 12,000

To know more about outstanding shares here:

brainly.com/question/17167434

#SPJ4

8 0
1 year ago
Riva crafts and sells hard cider as a part-time job. She can bottle and sell four cases in a week. She is considering hiring her
suter [353]

Answer:

7 cases

Explanation:

Based on the information provided in regards to the situation at hand it can be said that the maximum total output possible if Riva hires Atul would be 7 cases. This is because Riva can already package 4 cases per week by herself, and Atul can package 3 cases by herself per week, therefore working together they would be able to package a total of (3+4) 7 cases per week.

If you have any more questions feel free to ask away at Brainly.

4 0
3 years ago
The best capital budgeting method for ranking investment projects of different dollar amounts is the
Kay [80]
<span>It is the project profitability index. This is a ratio of payoff to investment o a proposed project. This helps with the ranking of projects as it allows you to quantify the amount of the value created per unit of investment.</span>
3 0
3 years ago
Other questions:
  • Once a company has diversified into a collection of related or unrelated businesses and concludes that some strategy adjustments
    10·1 answer
  • The primary goal of financial management is to: a. maximize current dividends per share of the existing stock.b. maximize the cu
    11·1 answer
  • Bonita Corporation’s December 31, 2018 balance sheet showed the following:
    12·1 answer
  • On May 7, Keenan Company purchased on account 620 units of raw materials at $21 per unit. During May, raw materials were requisi
    10·1 answer
  • 4. AirCar LLC, a producer of consumer electronics, had provided its employees an annual bonus. After a change in management, the
    5·1 answer
  • Who should you' alert that you are interviewing for jobs? A.Your references B.Other possible employers C.Your classmates D.Your
    5·2 answers
  • The residential division of Prism's high-speed Internet service uses one advertising agency, while its commercial division uses
    11·1 answer
  • Elijah, who is single, is employed as a full-time high school teacher. The school district where he works recently instituted a
    10·1 answer
  • Lindsey Company uses activity-based costing. The company has two products: A and B. The annual production and sales of Product A
    9·1 answer
  • an example of an explicit cost of production would be the group of answer choices lost opportunity to invest in capital markets
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!