A rise in the domestic real interest rate would cause a fall in net exports and a RISE in the exchange rate.
In general, businesses and consumers spend less when interest rates are high. This is because borrowing money costs more when interest rates are high. As a result, companies frequently turn to the stock market to raise money, which can cause stock values to decline.
An increase in interest rates causes the local currency to appreciate. In comparison to domestic goods and services, import prices decline. Exports see a decline in profitability and competition. Exports decline while imports rise, reducing the net export portion of total demand and spending.
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Answer:
Option (B) If the market rate of interest is 10%, the bonds will issue at a discount
Explanation:
Interest rate risk is defined as the risk changing which, interest rates will affect bond prices. When current interest rates are greater than a bond's coupon rate, the bond will be sold below its face value at a discount. When interest rates are less than the coupon rate, the bond can be sold at a premium--higher than the face value.
The original investment amount was $ 68.56 then annual return on investment is 10 years was 7.20% interest.
What is investment?
Investment definition is assets invested in to build wealth and save money on bank, property and projects for specific time period of money.
PV is a present value, FV is a future value, i is interest, n is number of period
PV= FV/ (1 + i) n
PV= 1, 00,000 / (1+7.20%) 10
PV =68.5650014087
As a result, the original amount of investment is 68. 56
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Answer:
I would use survey research to determine the general opinion, positive or negative, on the feature from the general public.
Explanation:
When conducting any survey research, it is important to sample a wide variety of people. In this case, you would want to survey the general population, not just former Mercedes customers.
I would design a focus group survey with a series of questions where participants can choose from a range, 0-5, on how much they agree with a certain statement.
At the beginning of the survey, participants would read a brief paragraph explaining the features on the new car before continuing to the part where they record their responses.
Once the survey is conducted, the data can be analyzed. If the majority, say 70%, of all people surveyed agree strongly that a self driving car is a good idea and that the world is ready then you can assume that the general population is in fact ready.
