You should invest your money to save for future projects or maybe you need it for a life emergency.
To measure changes taking place in your financial situation, you probably need to calculate financial ratios.
<h3>What is financial ratio?</h3>
A financial ratio can as well be described as the accounting ratio which is the relative magnitude of two selected numerical values that is been gotten from a enterprise's financial statements.
It encompass many standard ratios used to try to evaluate the overall financial condition , hence To measure changes taking place in your financial situation, you probably need to calculate financial ratios.
Learn more about financial ratios at:
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Answer:
- Low supply
- Scarcity
- Low economic growth
Explanation:
When suppliers under invest in their business, they will end up having the capacity to only produce less than the market requires. Should this happen, supply will be reduced in the market which would lead to relative scarcity all else being equal.
For economic growth to happen, there must be increasing production in an economy so if suppliers are under investing and production is low, there might be low or no economic growth.
Answer:
A.
They ensure that people and businesses can buy what they need.
Explanation:
Borrowing involves requesting and receiving a huge sum of money in a lump sum. Households and firms borrow from lenders to finance business expansion or domestic consumption.
In the economy, borrowing is significant as it facilitates the acquisition of start-up capital, capital goods, and household developments. Without borrowing and lending, these investments and consumption would not be possible as they require large sums of money to initialize. If firms and households depended on savings for capital and consumption expenditure, the rate of economic growth would be very slow. It would take many years to achieve the substantial amount needed for expansion and development projects.
