Answer: a. 0.042 b. 0.086 c. 0.00692
Explanation:
NOTE: Convert months to years. So 24 months = 2 years.
a. Six months
Months to year conversion gives: 6months/24months as 1/4 years
= (1 + 18%)^ 1/4 — 1 x 100%
= 1.042 — 1
= 0.042
Equivalent Discount Rate = 0.042
b. One year
12months/24months as 1/2 years
= (1 + 18%)^1/2 — 1 x 100%
= 0.086
Equivalent Discount Rate = 0.086
c. 1 month
1month/24months as 1/24 years
= (1 + 18%)^1/24 — 1 x 100%
= 0.00692
Answer:
True (Dead-weight loss )
Explanation:
When the market is not allowed to adjust towards the equilibrium the economics efficiency is lost. When the supply is excessive compared to demand some part of supply remains intact, which means that small of amount of supply does not contribute to economics and allocation efficiency and considered as a dead-weight loss. The supply is forgone because the market is not allowed to stabilise.
I think the answer must be True! Because the scientist are uncertain of how long the resources will be last. Hope it helped you! Have a great day! :)
Answer:
D) Sinking fund
Explanation:
A sinking fund is an account established to be used in the settling of debts. The corporate or institution that creates a sinking fund deposits money regularly as a way of saving it for future debt payments. A sinking fund, is in away a savings account that accumulates funds for repaying large and future debts.
Municipal authorities use sinking funds to pay their bond expenses when they mature. The municipal contributes funds in the years leading to the bond's maturity. Sinking funds gives confidence to investors that the municipal will not default on its payments.
Answer:
The correct answer is B. The monetary base.
Explanation:
The Monetary Base is made up of all legal money in circulation (that is, bills and coins), added to the reserves of commercial banks in the central bank. In other words, it is the legal money issued by the Central Bank of a country and can be in the hands of the public, or else in the cashier of the different commercial banks that the financial sector of the country. The monetary base is monitored by the central bank and constitutes its main way to control the money supply. Also another way to define the monetary base is that they constitute the monetary liabilities of the central bank.
