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3 years ago

An in the interest rate (r), ceteris paribus, will cause planned investment to .

Business

1 answer:

faltersainse [42]3 years ago

7 0

Answer:

An increase in the interest rate (r), ceteris paribus, will cause planned investment to decrease.

Explanation:

An increase in the interest rates determined by the Federal Reserve would imply that the American financial system would pay larger sums of money for direct investments in banks or bonds, which would stop capital investment outside the public financial system, that is, in stocks. private, real estate investments, etc., since money would be invested at a higher profit in safer sectors of the market.

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Twenty-two-year-old Chad has just graduated from college. He wants to buy a new car to celebrate. He expects to be able to make

Nady [450]

Answer:

A. The dealer cannot legally require the parents to make the payment.

Explanation:

According to the law the dealer cannot legally require the parents to make the payment because the merchandise is not legal, therefore there is no legal contract.

4 0

3 years ago

Bank A has an increase in deposits of $20 million dollars and all bank reserve requirements are 10%. Bank A loans out the full a

dexar [7]

Answer:

Total increase in deposit = $54,200,000

Explanation:

given data

deposits = $20 million dollars

bank reserve = 10%

solution

we know that Deposit in bank A is = $20,000,000

and Reserve @ 10% = $2,000,000

Bank A loans or bank B deposit will be = $20,000,000 - $2,000,000

Bank A loans or bank B deposit = $18,000,000

here Reserve @ 10% = $1,800,000

Bank B loans or Bank C deposit will be here = $18,000,000 - $1,800,000

Bank B loans or Bank C deposit = $16,200,000

so that

Total increase in deposit will be = Bank A + Bank B + Bank C ...............1

put here value we get

Total increase in deposit = $20,000,000 + $18,000,000 + $16,200,000

Total increase in deposit = $54,200,000

3 0

3 years ago

You have just applied for a 30year 100000 mortgage at a rate of 10%.what must be annual payment be?

Fittoniya [83]

Answer:

The correct answer is "$10,607.92".

Explanation:

Given:

Amount borrowed,

P = 100000

Interest rate,

r = 10%

or,

= 0.1

Time,

= 30 years

Now,

The annual payment will be:

⇒ $A=P\times \frac{r(1+r)^n}{(1+r)^n-1}$

$=100000\times \frac{0.1(1+0.1)^{30}}{(1+0.1)^{30}-1}$

$=10,607.92$ ($)

7 0

3 years ago

Hancock Inc. retains most of its earnings. The company currently has earnings per share of $11. Hancock expects its earnings to

monitta

Answer:

D1 = $3.50

D2 = $3.50

D3 = $3.50

Ke = 10% = 0.1

Po = D1 + D2 + D3 

(1+ke) (1+ke)2 (1+ke)3

Po = $3.50 + $3.50 + $3.50 

(1+0.1) (1+0.1)2 (1+0.1)3

Po = $3.18 + $2.89 + $2.63

Po = $8.70

None of the above

Explanation:

In this scenario, we need to discount the dividend in each year by the required at rate of return of 10%. The aggregate of the price obtained as a result of discounting in year 1 to year 3 gives the current market price.

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4 years ago

Health Works is a company that offers services related to health promotion and lifestyle. They not only send their clients remin

kondor19780726 [428]

Answer: d. structural

Explanation: The offering of Health Works would fall in the structural level of relationship marketing. Firms offering structural level of relationship marketing not only uses financial and social bonds but adds structural bonds to the mix thus, they offer value-added services not readily available from other firms in the industry. Such structural bonds employed by Health Works company include the reminders sent to clients, house visits for free consultations and free workshops.

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3 years ago

An ______ in the interest rate (r), ceteris paribus, will cause planned investment to ______.

An in the interest rate (r), ceteris paribus, will cause planned investment to .