Answer:
2.87%.
Explanation:
The total return, also refer to as Nominal return or Money return, is based on the nominal interest rate. For example, let's say that you deposited $100 into a bank account and the bank offers you an annual return of 11%. This 11% is the stated interest rate, it is known as nominal interest rate, and it is rate before taking into account the effect of inflation. When we deduct the effect of inflation from nominal rate, it gives us the real rate. Real rate reflects the Purchasing Power. The Fisher equation will be used to determine the expected inflation rate. The Fisher equation is as follows:
(1 + i ) = (1 + r) * (1 + h)
where
i = Nominal (Money) rate
r = Real rate
h = Inflation rate
Simply adjust the equation to calculate the inflation rate;
⇒ h = [(1 + i) / (1 + r)] - 1
OR h = [(1 + .11) / (1 + .079)] - 1 = 2.87%.
Answer:
The correct answer are:
1. Daniel Shays; 2. George Washington; 3. Alexander Hamilton; 4. Thomas Jefferson; 5. Columbus; 6. Francis Scott Key; 7. Andrew Jackson; 8. Lewis and Clark.
Explanation:
The American Revolution shook the entire world. The thirteen British colonies that would become the United States of America, fought and won the battle against the most powerful imperial power on the planet. In the years that followed the American victory over the British, the hopes of the masses were betrayed. Consequently, there were many popular movements and uprisings. But none had such a great impact on the psychology of the ruling class and the future structure of the US government as the Shays Rebellion of 1786-87, which some have called "The Final Battle of the American Revolution."
Considered the "Father of the Fatherland," George Washington was a celebrated general, farmer, entrepreneur and the first president of the United States.
Alexander Hamilton was an American politician. He was a young lawyer from New York when the War of Independence broke out in the thirteen British colonies of North America (1775-83). In 1777 he became secretary of George Washington, commander in chief of the insurgent army.
Answer:
a. Consumption will increase as goods and services are now cheaper for people to buy.
b. Investment increases as people will have more money to invest due to having spent less on consumption.
c. Net exports increases as exports become cheaper due to lower prices in the country. More people outside will therefore demand exports leading to them increasing more than imports.
d. Money Demand - B. There is a movement along the Money Demand curve to the Left
As price has decreased, the amount of money needed to buy goods will decrease which would lead to less demand for money. Money demand curve will show this as a movement to the left of the Money demand curve.
e. The interest rate will decrease because there will be more money to invest as explained above. With more money to invest, loanable funds will b in high supply thereby dropping interest rates.
f. Aggregate expenditure shifts right to show that expenditure has increased from people buying cheaper goods.
g. Aggregate demand - B. AD shifts to the Right.
More people will demand goods and services because they are cheaper.
Answer: $235,844
Explanation:
Interest revenue = Total lease payments - Fair value of equipment
The lease payments are constant and so are an annuity and will be an annuity due because the first lease payment of such leases are made immediately.
Present value of lease payments = Annuity * Present value factor of Annuity due, 5 years, 12%
989,065 = Annuity * 4.0373
Annuity = 989,065 / 4.0373
= $244,981.79
Total lease payments = Lease payments * number of years
= 244,981.79 * 5
= $1,224,908.95
Interest revenue = 1,224,908.95 - 989,065
= $235,843.95
= $235,844
