Answer:
Interest rate, R = 26%.
Explanation:
<u>Given the following data;</u>
Principal = $2,454.00
Simple interest = $3,868.00
Time = 6 years
To find the interest rate?
Mathematically, simple interest is calculated using this formula;
Where;
Substituting into the equation, we have;
Cross-multiplying, we have;
<em>Interest rate, R = 26.27 ≈ 26%</em>
<em>Therefore, the account earned 26% per year. </em>
Answer:
Option D is the correct answer to this question.
Explanation:
Preferred Stocks on payment are not due. The distributions on the stock shares may or may not be paid depending on the type in the issue. Restrictive Preferred stock agreements do not include regulations on stock listing on the exchange of securities as well as on stock returns. These are and can not be counted as derogatory covenants. The indenture of an organization does not indicate how many preferred shares and bonds it can issue.
Preferred stock with a conversion feature allows holders to switch each share into a stated common stock number.
Other options are incorrect because they are not related to the given scenario.
Answer: Option D
Explanation: The prime objective of every government in the world is to develop their nation and make the life of their population better. The living standard of the population heavily depends on the basic necessities of life.
Therefore, sometimes government engage in business activities to provide individuals certain commodities at subsidized prices. Most of the government entities do not work for profit thus they are able to provide commodities cheaper than private sector.
Hence, from the above explanation we can conclude that option D is correct.
Answer:
to be a gauge from which to make important government policy changes.
Explanation:
Inflation can be defined as the persistent general rise in the price of goods and services in an economy at a specific period of time.
Generally, inflation usually causes the value of money to fall and as a result, it imposes more cost on an economy.
Furthermore, when this persistent rise in the price of goods and services in an economy becomes rapid, excessive, unbearable and out of control over a period of time, it is generally referred to as hyperinflation.
Core Inflation Index can be defined as a measure of the change in the price (cost) of goods and services over a specific period of time but excluding the products or items from the energy and food sector. The energy products and food items are excluded because they're transitory i.e having temporary price volatility and as such making their prices change easily.
In Economics, some of the common ways to measure the rate of inflation in a country is through the consumer price index (CPI), gross domestic product deflator (GDP Deflator), personal consumption expenditures price index (PCEPI), employment cost index (ECI), producer price index (PPI), etc.
Hence, a purpose of the Core Inflation Index is to be a gauge from which to make important government policy changes that would have a significant effect or impact on the lives of the citizens of the country.