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geniusboy [140]
2 years ago
5

Lydia receives a $2,000 gift and wants to open a savings account. Which bank interest would be the best for her if the current i

nflation rate is
3.5%?
O4% interest
O3% interest
O3.9% interest
O4.1% interest
Business
1 answer:
scoray [572]2 years ago
7 0

Answer:

O4.1% interest

Explanation:

Inflation erodes the strength of a currency. If the interest rate on offer is below the inflation rate, saving money in a bank will result in a loss.

To gains from a savings account, the real rate of interest must be positive. The real rate will the nominal interest rate( the quoted rate) - the inflation rate. The higher the nominal rate, the better for the customer.

In this case, 4.1 % will be best for the customer. If the inflation rate is 3.5%, an interest rate of 4.1% will give a real interest rate of 0.6%.

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Bud’s Bucket ice cream company produces a chemically enriched ice cream and decides to penetrate the gourmet market by offering
ipn [44]

Answer:

It may turn off it's current customer base and cause them to purchase a competitors ice cream.

Explanation:

Market penetration strategy is the process of selling current products to an already existing market so as to obtain a higher market share by taking the market shares from the other competing companies.

Market penetration strategy uses low prices to generate demand for a product and increase market share. Bud's bucket ice cream decides to penetrate the gourmet market by offering its same ice cream at high prices instead of reducing the price, this might lead to a reduction in their current customer base.

6 0
2 years ago
Ted dies with assets consisting only of long-term investments. He leaves $5,000,000 to his children and the remainder to his wif
WITCHER [35]

Answer:

B) $9,500, 000

Explanation:

The tax basis for Ted's estate is $9,500,000, ans since it falls under the current federal estate tax exemption($11,400,000), his wife and children do not have to pay any estate taxes.  If Ted's family sells the assets before the six month alternate valuation is effective, then their tax basis will be the same as Ted's estate ($9,500,000).

3 0
3 years ago
A winning strategy is one that results in a company becoming the dominant industry leader. fits the company's internal and exter
Anastasy [175]

Answer:

The options are not properly aligned.Find the same question with proper alignment in the attached.

A winning strategy fits the company's internal and external situation, builds sustainable competitive advantage, and improves company performance.

Explanation:

For a strategy to be tagged a winning one,it must carefully take into the consideration the internal and external environments that the business operates in,such that internal strengths and weaknesses can be discovered as well as external opportunities and threats.

In addition, it must also consider the capabilities ans skills peculiar to the business that are difficult to imitate by others, in essence competitive advantage.

Above all, the strategy must positively impact the bottom-line,in that the business records positive strong performances period after period.

Download xlsx
4 0
2 years ago
All the different management fees and fund's operating costs are often referred to as a(n):
neonofarm [45]
The answer to this question is letter B. expense ratio.
All the different management fees and fund's operating costs are often referred to as <span>expense ratio.</span>
 >The expense ratio is the annual fee that all funds  charge their shareholders. It expresses the percentage of assets deduced each fiscal year for fund expenses, including 12b-1 fees, management fees, administrative fees, operating costs, and all other asset-based costs incurred by the fund.
4 0
3 years ago
Which statement best describes the performance of mutual funds over the last 4 or 5 decades? A. While some mutual fund managers
madam [21]

The correct option is (d).

  • Choosing the best mutual funds by comparing performance of mutual funds against a benchmark index.
  • Money market funds, bond funds, stock funds, and target date funds are the four primary categories into which most mutual funds fit.
  • Each variety has unique characteristics, dangers, and benefits.
  • The rate of return is subtracted from the risk-free rate of return for the investment, and the result is divided by the return on investment's standard deviation.
  • The Sharpe ratio tells investors if an investment's results are the result of prudent investing decisions or an outcome with excessive risk.

Learn more about mutual funds performance brainly.com/question/9000802

#SPJ4

7 0
2 years ago
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