Question

Macroeconomics help???

Answer 1

1.Margaret most likely invested in a D. BondA bond is a type of investment in which an investor will give a form of loan to another  entity and that entity has to give back a certain amount of return with a a variable or fixed interest rate for the Revenue of the investor.

2.I believe the answer is C. c. Blackshear Bank is a for-profit business and therefore must charge more interest on loans to be able to pay interest on desposits and still make money.The difference of 5% in interest rates would act as the profit for the BlackShear bank. By designing the interest rates this way, the Blackshear bank will sure to obtain the 5% profit as long as they managed to keep the amount of loan similar to the amount of saving in their bank.

3. Bully has most likely invested in a. stockA stock is considered as a high risk investment because the amount of profit that investor get will be heavily dependend on the company's performance. Since there is no guarantee that the company could win against the competitors, the investors could lose their investment any time.

4.  An advantage to investing in a mutual fund is C.  An advantage to investing in a mutual fund isa Mutual fund will collect sum amount of money from various investors then spread the money all round into various portofolios. Because of this portofolios, if one investment is loss, the investors will have other investment that could produce a profit.

5. Marsha's card most likely has B. compound interest.The percentage of a compound interest will stay the same throughout the agreement period. But,the accumulated interest from the previous period will be added up to the total interest calculation, which will make the total interest keep increasing over time.

6. The cost of an insurance policy is known as the A. PremiumBy buying the premium, the insured has transfer a certain risk to the insurer. Usually, The terms and condition of the insurance will be handed out by the insurer before the insured signed the contract.