The nominal interest rate will rise by 3%.
Nominal interest rate is the sum of real interest rate and inflation rate. Real interest rate is interest rate that has been adjusted for inflation. Inflation is the persistent rise in general price levels.
Nominal interest rate in year 2 = real interest rate + inflation rate
6% + 3% = 9%
Nominal interest rate in year 1 = 6%
Change in nominal interest rate = 9% - 6% = 3%
To learn more, please check: brainly.com/question/21323568
The answer to this question is: <span>additional costs and benefits.
</span><span> is an examination of the additional benefits that received from doing an activity compared to the cost that must be incurred in order to do that activity.
</span>This analysis will help companies to determine what operations that they should maintain in the future in order to keep the profit margin of the company.
government i think correct me if im rwong l
Answer:
The pension benefit obligation will be $331500
Explanation:
We have given PBO = $265000
Less pension benefits paid = $40000
Discount rate = 10% = 0.01
Service cost = $80000
Interest cost = $265000×0.01= $26500
We have to find the amount of PBO
So the pension benefit obligation PBO will be = $265000+$80000+$26500-$40000 = $331500
So the pension benefit obligation will be $331500
Answer: 100%
Explanation:
The Weighted Average Cost of Capital calculates the required return needed to fund any of the company's projects because it shows the cost of capital of raising funds for that project.
The cost does not increase or decrease based on the proportion of a business that a department is as any department/ project will incur that cost. The cost of the new project will therefore be the same as the company WACC.