Answer:
higher, stocks, flunctuates, risk, bonds, interest
Explanation:
The chosen responses are the best from the options provided. First, to earn a higher long-term rate of return, stocks offer a higher interest rate than bonds and the reason being that they are riskier.
Stocks belong to the owners of an organisation and as such, they are only entitled to interest after the interests of bond owners and preference stock holders have been settled. Meaning, despite the higher rates of interest offered, it is riskier to be a stock holder than a bond holder
Bond on the other hand, are not equity or company ownership units, they represent debts that the company must pay fixed interest rates on. Although we have the convertible to stock and the non-convertible bonds. However, bonds may be safer due to the fixed interest rates that must be paid but interests are lesser than stocks and irrespective of a company's profitability, a bond holder is only entitled to the fixed interest rate unlike the stock holder who enjoys higher dividends as a result of improved profitability.
MICROeconomics refers to the effects and purchasing decisions of individuals.
This differs from MACROeconomics which focuses on large scale views of things that affect the economy as a whole like inflation and interest rates.
Answer:
Option B It presents variable cost as a slope coefficient
Explanation:
The reason is that the total cost function is:
Y = a + bx
The total cost in this case is Y, a is fixed cost as an intercept, b is variable cost represented as an slope and coefficient and x is level of activity which is independent of Y.
So the right answer is option B.
GDP stands for Gross Domestic Product. When we refer to Per Capita GDP, this covers the gross income of the country, and this is divided by the number of population in that country. Basing on this definition, I can say that the other ways to measure the quality of life in a country aside from basing from per capita GDP is through Genuine Progress Indicator, and <span>Gross Domestic Product. Hope this helps.</span>
Answer:
The true β of the stock is 0%
Explanation:
6% = a + 12% (1 − 0.5); a = 0%.