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Elan Coil [88]
3 years ago
5

How are banks able to attract small savers if small savers can usually receive a higher interest rate from money market mutual f

unds than from bank savings accounts?
Business
1 answer:
oee [108]3 years ago
4 0

Answer: Federal deposit insurance covers deposit in bank savings while money market mutual fund shares are not covered

Explanation:

There is what is called Federal deposit insurance, it covers deposit in bank savings while money market mutual fund shares are not covered. Money market mutual funds restrict savers savers to writing checks only above a specified amount such as $500, this shows that money market savings aren't as liquid as bank deposits

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The profit motive

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Dyer Furniture is expected to pay a dividend of D1 = $1.25 per share at the end of the year, and that dividend is expected to gr
zmey [24]

Answer:

Market price: 28.90

Explanation:

We will calculate the stock price using the gordon dividend grow model:

\frac{divends}{return-growth} = Intrinsic \: Value

D1 = 1.25

grow = g = 6% = 6/100 = 0.06

return= for the return, based on the information give, we will calculate it using the CAPM model:

Ke= r_f + \beta (r_m-r_f)  

risk free = 0.04

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beta(non diversifiable risk)= 1.15    

Ke= 0.04 + 1.15 (0.055)  

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Now, we calculate the stock price:

\frac{1.25}{0.10325-0.04} = Intrinsic \: Value

Stock: 28.9017341

Market price: 28.90

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3 years ago
Alexa has a commercial laundry service that has been growing rapidly. She wants to continue to grow the business, but she needs
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Answer:

Incorporating

Explanation:

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3 years ago
Ramon did not have health insurance in 2019, how does that affect his return? A. He must pay a $695 shared responsibility paymen
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Answer:

<em><u>The answer is</u></em>: <u>B. It has no effect on his Form 1040. The "Full-year health care coverage or exempt" box is eliminated from Form 1040 because the shared responsibility payment is reduced to zero for tax year 2019.</u>

Explanation:

<u>Health insurance coverage is no longer mandatory at the federal level, as of January 1, 2019,</u> so the shared responsibility payment is reduced to zero for the 2019 fiscal year.

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What position is typically responsible for general financial​ accounting, managerial​ accounting, and tax​ reporting?
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