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Shkiper50 [21]
3 years ago
7

Suppose you purchase a $5,000 bond that pays 7% interest annually and matures in five years. If the inflation rate during the ne

xt five years is 4%, the estimated real rate of return is
Business
1 answer:
galina1969 [7]3 years ago
8 0

Answer:

2.88%

Explanation:

Use the following formula to calculate the real rate of return

Real rate of return = \frac{( 1 + Nominal interest rate )}{( 1 + inflation rate)} -1

Where

Nominal Interest rate = 7% = 0.07

Inflation rate = 4% = 0.04

Placing values in the formula

Real rate of return = \frac{( 1 + 0.07 )}{( 1 + 0.04)} -1

Real rate of return = \frac{1.07}{1.04} -1

Real rate of return = 1.0288 - 1

Real rate of return = 0.0288

Real rate of return = 2.88%

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Explanation:

A. Environmental Sources of Stress:

It is the stressors arising from environmental factors that can threaten the employee's work in some way.

2- Economic uncertalinty

5- Technological change

B. Organizational Sources of Stress:

This stress derives from internal or external conflicts that can occur at work, such as personal charges and poor relationships with other employees.

1. Task demands

4. Interpersonal demands

C. Personal Sources of Stress:

These are the stressors arising from the employee's personal life, which can directly impact the quality with which the employee performs his work.

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6. Family problems

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3 years ago
National defense is a good that is nonexcludable and nonrival in consumption. Suppose that instead of national defense being pai
ElenaW [278]

Answer:

Explanation:

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3 years ago
TB MC Qu. 9-371 Irving Corporation makes a product with ... Irving Corporation makes a product with the following standards for
lisov135 [29]

Answer:

Variable manufacturing overhead rate variance= $664 favorable

Explanation:

Giving the following information:

Variable overhead 0.2 hours $ 5.10 per hour

The company used 1,660 direct labor-hours to produce this output. The actual variable overhead cost was $7,802.

<u>To calculate the variable overhead rate variance, we need to use the following formula:</u>

Variable manufacturing overhead rate variance= (standard rate - actual rate)* actual quantity

Actual rate= 7,802/1,660= $4.7

Variable manufacturing overhead rate variance= (5.1 - 4.7)*1,660

Variable manufacturing overhead rate variance= $664 favorable

6 0
3 years ago
Explain how the government is both a consumer and a producer and give one example of th
natita [175]
The government is an consumer because they trade with other countries to get goods that their country need and they are also a producer because they produce strategies for their government to make our communities around the world more better and advanced.
3 0
3 years ago
According to behavioral​ economics, consumers A. always behave rationally because they take into account monetary costs and nonm
FromTheMoon [43]

Answer:

E. do not always behave rationally because they are overly optimistic about their future behavior.

Explanation:

Behavioral economics is the study of irrational economic decisions from people's behavior.

Behavioral economics includes the people's emotional framework to make choices beyond the rational choice theory, which states that a rational person is not moved by emotions and social factors to choose the option that maximizes their satisfaction.

To be overly optimistic about your future behavior is biased from social factors and it is a behavior that could be understood from the human emotional framework.

7 0
3 years ago
Read 2 more answers
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