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Lemur [1.5K]
3 years ago
14

Suppose you will receive a payment of $300 one year from now. True or False: If during the year the interest rate rises, this in

creases the present value of your future payment. True False
Business
1 answer:
stepladder [879]3 years ago
5 0

Answer:

False

Explanation:

When value of money is evaluated over time, the interest rate is put into consideration.

Present value of future cash flows of a loan is an estimate of how much will be paid on a certain amount given a specific interest rate over a period of time.

So if there is a fall in interest rate it means that less of the original amount is being discounted, so present value increases.

On the other hand when interest rate increases more of original amount is discounted. So the present value reduces.

In the given scenario when you receive a payment of $300 one year from now and during the year the interest rate rises, this reduces the present value of your future payment

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Determine the amount of consumer surplus generated in the following situation. After soccer practice, Stacey is willing to pay $
Oliga [24]

Answer:

The answer is: There was no consumer surplus in this situation.

Explanation:

consumer surplus refers to the difference between the maximum amount a consumer is willing to pay for a good or service and the actual price of the good or service.

In this case there was no consumer surplus, since Stacey was willing to pay only $2 for a bottle of mineral water and its price was $2.25, so she didn't buy it.

6 0
3 years ago
Darren is eligible to contribute to a traditional 401(k) in 2019. He forgot to contribute before year-end. If he contributes bef
Irina18 [472]

Answer:

True

Explanation:

Base on the scenario been described in the question which, Darren was eligible to assist to a traditional of 401,000 in 2019, but we were told he forgot and later he paid in 15, June 2020, he is look as though he paid in 2019 because and it is true.

The reason why the answer is true is that Darren is that the time he paid the money in July 15, 2020, it was still within the time he allowed to still pay for the year 2019, that's why he considered as though he paid in 2019.

5 0
3 years ago
What kind of risk is associated with product innovations in the early stage that design thinking helps to mitigate?.
Sergio039 [100]

Financial risk is the kind of risk connected to early-stage product developments that design thinking helps to reduce.

<h3>What is meant by risk?</h3>

Risk is the possibility of anything going wrong. It concerns the ambiguity surrounding the actions' consequences. Risk is the price a businessman pays to make money.

The risk connected to the organization's financial resources is known as financial risk. It appears during the product development process.

Therefore, it can be stated that financial risk is a type of risk that can be reduced by creative thinking when it comes to early-stage novel concepts.

Thus, Financial risk is the kind of risk connected to early-stage product development.

For more details about Risk, click here:

brainly.com/question/25404945

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7 0
2 years ago
Kasapreko Company Limited is a wholly Ghanaian-owned company with branches in Nigeria, South Africa and Germany. With relevant e
SSSSS [86.1K]

Answer:

The definition of the problem is listed in the explanation segment below.

Explanation:

The diverse worldview is referred to as one of the OLI systems, in which OLI refers to possession, place, and internalization.

  • Organizations such as Kasapreko have been looking for potential customers and have used distant markets such as Nigeria, Africa as well as Germany as either a path to expanding industry with a large portfolio and selling more revenue-generating products. However, companies see strategies to increase expertise by allowing efficiencies of scale. Concurrently, the statistics that suggest that the company is searching for options to achieve scale economies as well as minimize costs per unit by that competence by entering various markets.
  • Shareholding benefit talks for focus points which represent the unique upper hand of the firm's ideas by engaging in FDI. The Kasapreko company has planned R&D to produce experimental data informative, natural-based blended beverages in Ghana and seems to be unprecedented.

<u>Advantage of Location:</u>

The corporation has its leading headquarters throughout Ghana which is suitable for trading platforms such as South Africa and Nigeria as well as, in addition to using the development of digital technology/data innovation, such as the internet stock management framework, provides the organization an odd phenomenon through which to come to terms with coordination employment.

<u>Advantage of Internationalization:</u>

It has been allowed the company to create an integrated quality assurance system and an object development facility in there and, in turn, to carry out its special bespoke bottles and caps.

8 0
3 years ago
Changes in taxes first cause changes in _____, and thus the government tax multiplier is _____ than the government spending mult
antoniya [11.8K]
<span>Changes in taxes first cause changes in disposable income, and thus the government tax multiplier is smaller than the government spending multiplier.
Spending multiplier, which is also called fiscal multiplier shows or represent the multiple by which GDP increments or declines because of an expansion and reduction in government uses and venture. 
</span>

Tax multiplier<span> refers to the multiple by which GDP increments or declines because of an expansion and reduction in taxes that are charged by governments.The two types of tax multiplier are, simple tax multiplier and complex type multiplier.</span>

8 0
4 years ago
Read 2 more answers
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