1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
UkoKoshka [18]
2 years ago
13

If Treasury bills are currently paying 5.2 percent and the inflation rate is 2.7 percent, what is the approximate real rate of i

nterest?
Business
1 answer:
Alexxandr [17]2 years ago
3 0

Answer:

2.43 %

Explanation :

Real Interest rate =  (1 + nominal rate) / (1 + inflation rate) - 1

therefore,

Real Interest rate =  1.052 / 1.027 - 1

                              = 2.43 %

the approximate real rate of interest is 2.43 %

You might be interested in
A consumer products company produces inexpensive goods in underdeveloped markets, then repackages them as cost-effective innovat
Sholpan [36]

Answer:

FALSE.

Explanation:

When a consumer products company produces inexpensive goods in underdeveloped markets, then repackages them as cost-effective innovations for Western buyers. This is not an example of glocalization because glocalization is the term which is the combination of two terms; localization and globalization. In glocalization, global products are offered to the customers with the local modifications. For example, Pizza Hut has launched Tikka Pizza, Behari Pizza and Achari Pizza in India and Pakistan, which is the perfect example of glocalization. Putting it simply we can say that "thinking globally and acting locally."

3 0
3 years ago
Ram Company's after-tax net income was $120. Their interest paid was $50. Assuming the corporate tax is 40%, what is Ram Company
Nataliya [291]

Answer:

5

Explanation:

The formula to compute the interest coverage ratio is shown below:

= (Earning before tax + interest expense) ÷ (interest expense)

where,

Earning before tax equal to

= Net income ÷ (1 - tax rate)

= $120 ÷ (1 - 0.40)

= $200

And interest expense is $50

So, the interest coverage ratio equal to

= ($200 + $50) ÷ ($50)

= 5

4 0
3 years ago
Recent WTO estimates show that all countries combined exported ________ valued at $19.4 trillion and ________ valued at $5.2 tri
Musya8 [376]

Answer:

hello hello hello hello hello

7 0
2 years ago
During 2020, Leisel, a single taxpayer, operates a sole proprietorship in which she materially participates. Her proprietorship
spayn [35]

Answer:

i think it is $98,602

Explanation:

6 0
2 years ago
An asset has an average return of 10.94 percent and a standard deviation of 20.98 percent. What range of returns should you expe
valkas [14]

If the standard deviation is 20.98%. The range you should expect to see with a 95 percent probability is: -31.02 percent to +52.9 percent.

<h3>Expected range of return </h3>

Expected range of return = 10.94 percent ± 2(20.98 percent)

Expected range of return =[10.94 percent- 2(20.98 percent)]; [10.94 percent + 2(20.98 percent)]

Expected range of return =(10.94 percent- 41.96 percent); (10.94 percent + 41.96 percent

Expected range of return = -31.02 percent to +52.9 percent

Inconclusion the range of returns is: -31.02 percent to +52.9 percent.

Learn more about expected range of return here:brainly.com/question/25821437

8 0
2 years ago
Other questions:
  • ________ play an important role in efficiently making products available to target markets in the needed varieties and quantitie
    11·1 answer
  • Frank and Lucy have just been married and trying to arrange to buy a home. Frank makes about $35,000 annual income and Lucy make
    15·2 answers
  • List at least four ways someone can prepare to
    9·1 answer
  • South Korea has developed amazingly, with huge corporations making vast amounts of money and giving everyone there a high standa
    5·1 answer
  • LO 8.5Identify several causes of a favorable material quantity variance.
    13·1 answer
  • You run a small classroom market experiment with only three buyers and three sellers. The willingness to pay​ (reservation value
    8·1 answer
  • In BCG portfolio analysis, products in low-growth markets that have received heavy investment and now have excess funds availabl
    5·1 answer
  • A machine is available 10 hours a day. Each part takes 90 minutes to fabricate and 10 minutes to setup. 10% of the parts made ar
    6·1 answer
  • Kelly Enterprises' stock currently sells for $35.25 per share. The dividend is projected to increase at a constant rate of 4.75%
    7·1 answer
  • A change in tastes or fashions can impact..
    10·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!