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3 years ago

Which would you prefer?

Business

1 answer:

Pavel [41]3 years ago

7 0

Answer:

I would invest in 4% annual yield risk-free bonds from Utopia

Explanation:

I will assume that I am investing $1,000

if I invest in a, I will receive $1,000 x 1.04¹⁰ = $1,480.24 in 10 years
if I invest in b, I will receive $1,000 x 1.03¹⁰ = $1,343.92 in 10 years
if I invest in c, I will receive $1,000 x 1.02¹⁰ = $1,218.99 in 10 years
if I invest in d, I will receive $1,000 x 1.03¹⁰ = $1,343.92 in 10 years

Since the 4 bonds are theoretically risk-free, I must choose the one that yields the highest interest rates.

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A revolving credit agreement is a formal line of credit. The firm must generally pay a fee on the unused balance of the committe

Shalnov [3]

Answer:

a. True

Explanation:

A revolving credit agreement is a line of credit, that is, a default limit that a firm can use to borrow money as much as possible until this limit is reached. The firm will have to pay the bank for a commitment to lend or extend such funds. The bank will also put some factors about the firm's ability to pay into consideration before revolving credit can be used.

8 0

3 years ago

An investor contributes $10,000 to a limited partnership and signs a $40,000 recourse note. In the first year, the investor's di

kondaur [170]

Answer: The loss carried to the next year is $10,000

Explanation:

the initial investment = $10,000 contribution + $40,000 recourse note= $50,000 initial basis.

The income in the first year = $15,000

Therefore total sum basis = $50,000 initial investment + $15,000 income = $65,000

The cash distributed = $5,000

we deduct the cash distributed from the total sum basis

hence,

remaining basis = $65,000 - $5,000 = $60,000

since the loss = $70,000

therefore,

the remaining loss after the first year = $70,000 - $60,000 = $10,000

so $10,000 will be the unused loss carried to the next year.

4 0

3 years ago

Vonda and Aleiyah are shopping together at the mall for new jeans. Vonda is willing to pay $90 and Aleiyah is willing to pay $50

Gala2k [10]

Answer:

A. $60

Explanation:

Recall that, consumer's surplus refers to the price that a consumer is willing to pay less the amount he or she actually pays.

Thus

Consumer surplus = maximum price willing to pay - actual market price.

Given that

Market price = $40

Vonda is willing to pay = $90

Aleiyah is willing to pay = $50

Hence.

Vonda consumer surplus = 90 - 40

= $50

Aleiyah consumer surplus = 50 - 40

= $10.

Total consumer surplus = 50 + 10

= $60.

8 0

3 years ago

What does the investment component of GDP measure? a. spending on domestically produced goods by foreign buyers b. spending by h

viktelen [127]

Answer:

1) The correct answer is letter "C": spending on goods to be used in future production.

2) The correct answer is letter "B": is considered unsold inventory and counted as a part of investment in current GDP.

Explanation:

1) The Gross Domestic Product (GDP) considers four (4) components: <em>Consumption, Investment, Government, </em>and <em>Net Exports</em> (exports-imports). Investments refer to all goods that are purchased to produce other goods in the future. Final goods to be used or to replace others do not fall into this category.

2) The output of a company is computed within the GDP. Even if the output is not sold after production but it is recorded as part of an organization's inventory, it will be considered in the calculation of the GDP of the year when the production of the good took place.

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3 years ago

School-aged children are regularly asked to fundraise for their school. Typically, they are required to sell a minimum amount. T

ella [17]

Answer:

This question is incomplete, the options are missing. The options are the following:

a) Ceiling effect.

b) Floor Effect.

And the correct answer is B: Floor effect.

Explanation:

To begin with, in the field of statistics the term known as "Floor Effect" refers to the situation in where the gathering of data regarding an statistic instrument about a subject turns out to have a lower limit to the data values it can reliably specify. And the floor is understood to be as that lower limit in the chart or graphic created in the study of the subject. Moreover, this term is also used in the field of psychology when test are done to subjects in study as well.

5 0

3 years ago