All of the options mentioned above are money market instruments.
A money market is an organized exchange market where participants can lend and borrow short-term, high-quality debt securities with an average maturity of one year or less. It includes instruments like tax anticipation notes, treasury notes, certificates of deposit, and commercial paper. It enables governments, banks, and other large institutions to sell short-term securities to fund their short-term cash flow needs. Money markets also allow individual investors to invest small amounts in a low-risk setting.
The money market contributes to the economic stability and development of a country by providing short-term liquidity to governments, commercial banks, and other large institutions. Investors with excess money that they do not need can invest in the money market and earn interest.
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If you were to buy 5 yards at $14 a yard, your first cost would be at $70. But with 14 being 20% of 70, you would subtract 14 out of the $70, which would leave your final cost at $56.
Answer: To increase sale by 10%, the seller must lower the price of the good by 12.5%.
Explanation: Price elasticity of demand measures the responsiveness of quantity demanded to a change in the price. Since, demand and price for a normal good are negatively related to each other, price elasticity is also negative. It can be calculated using,
Therefore, to increase sale by 10%, the seller must lower the price of the good by 12.5%.
Answer:
D) The actions the Federal Reserve takes to manage the money supply and interest rates.
Explanation:
The Federal Reserve System (FED) is an autonomous government entity of the United States of America that functions like a central bank. Its main responsibilities are to manage the nation's money supply (the total amount of money in the economy) and establish federal interest rates (interest yielded by T-bills, T-notes and T-bonds).
Answer: lower cost
Explanation:
An insurance policy is a contract between an insurance company and a policyholder, which helps the policyholder to be able to make claims when there's an accident or death in case of life insurance.
In the above scenario in the question, if a driver with an insurance policy drives infrequently, it can lower costs.
Therefore, the correct option is B.
