Most of us believe that there is heaven and hell but we don't really know if it is true. Most religions say if you are a good person on earth then you go to Heaven but if you are bad like you murder people then you go to hell. These days i think most people go to hell because everyone want money and don't care if they are ruining peoples lives.
Hope I helped!
:D
First we need to solve the finance charge without the changes.
B = A (1 + ti)
where
t is the number of years, 60 months or 5years
i is the interest rate per year, 18% or 0.18
A is the principal amount, %15,600
B is the amount after t years
so,
B =$15,600 ( 1 + 0.18 x 5 )
B = $15,600 ( 1 + 0.9 )
B= $15,600 (1.9)
B= $29,640.
The finance charge without the changes is $29,640(amount after 5 years) - $15,600(principal amount) = $14,040.
Applying the changes, the principal amount would be $15,600 - $8,500 = $7,100, the number of years will be 2 years (24 months)in equation
B = $7,100 (1 + 0.18 x 2)
B = $7,100 (1 + 0.36)
B = $7,100 (1.36)
B = $9,656, the finance charge with the changes is $9,656 - $7,100 = $2,556.
The changes Jerry made can save $14,040 - $2,556 = $11,484.
When the Federal Reserve increases the Federal funds rate both the supply of bank loans and the supply of loanable funds decrease, thereby increasing the real interest rate.
Answer: Option A
<u>Explanation:</u>
The interest rates and the available quantity of loanable funds are affected by monetary policy and they affect several points of total demand. The higher interest rates and deducted quantity of loanable funds result from a compact monetary policy which in return reduce the two components of total demand.
There will be a downfall in business investment because it is less pleasing for firms to borrow money and even firms fulfilled with money notice that with higher interest rates it is comparatively more comfortable to put those funds in a financial investment than to shape investment in the capital of physical category.
Although higher interest rates will prevent consumer borrowing for high-value materials like cars and houses. Therefore, low-interest-rate results from loose or expansionary monetary policy.
Yeah it would be surfing so yeah that is correct of what you just said
