All categories

2 years ago

Isabel and Stuart open a money market account to begin saving for the

Business

1 answer:

dangina [55]2 years ago

5 0

Considering the situation described above, this is an example of a "Long-Term investment strategy."

<h3>What is a Long-Term Investment Strategy?</h3>

Long Term Investment Strategy is a type of investment decision in which the investor hopes to reap the rewards later, usually five years or more.

Given that Isabel and Stuart opened a money market account to begin saving for the college expenses of their newborn daughter, which may take an average of 16 years or more before they reap it, this is an example of a "Long-Term Investment Strategy."

Hence, in this case, it is concluded that the correct answer is "Long-term investment strategy."

Learn more about the Investment strategy here: brainly.com/question/25730859

You might be interested in

When her roommate asked connie why she wasn't studying for a big test scheduled for the next day, connie replied, it doesn't mak

Pavel [41]

It concludes that Connie has an external locus of control. It is where an individual has the belief that the results of what is going to happen to them is base on external factors which are beyond to their control. It is likely depends on their success and failures with the given circumstances that they are to face. It could be seen above as Connie thinks that she's going to have a low grade, given even if she study or not because of the beliefs that she has acquired.

6 0

2 years ago

You are the HR manager for a fifty-person firm that specializes in the development and marketing of plastics technologies. When

Natalija [7]

I would say that the organization needs a job and yea yea

4 0

3 years ago

A _________ approach is found frequently among companies with strong engineering orientations, pharmaceutical and biomedical fir

Korvikt [17]

Answer: Option B

Explanation: In simple words, top down approach refers to the approach ion which the organisation break down its system to have better and clear understanding of the sub systems within.

This approach is used by organisations doing complex business activities or involving high technical skills. Hence this approach is used by firms like biomedical ,financial services and high technology companies etc.

8 0

2 years ago

Needham Pharmaceuticals has a profit margin of 3% and an equity multiplier of 2.0. Its sales are $110 million and it has total a

mafiozo [28]

Answer:

ROE is 0.1571 or 15.71%

Explanation:

The ROE or return on equity is a measure of a business's profitability in relation to its equity. The Dupont equation breaks down the ROE into three components which are used to calculate the ROE. The formula fro ROE under dupont equation analysis is,

ROE = Net Profit/Sales * Sales/Total Assets * Total Assets/Total Equity

The part of Net Profit/Sales is also known as profit margin.

The part of Sales/Total Assets is also known as Assets Turnover
The part of Total Assets/Total equity is also known as equity multiplier

ROE = 0.03 * 110/42 * 2

ROE = 0.1571428571 rounded off to 0.1571

8 0

2 years ago

A company has preferred stock with a current market price of $18 per share. The preferred stock pays an annual dividend of 4% ba

scZoUnD [109]

Answer:

Answer:

Dividend (D) = 4% x $100 = $4

Current market price (Po) = $18

Flotation cost (FC) = $1.50

Tax rate (T) = 40% = 0.40

Kp = D

Po-FC

Kp = $4

$18-$1.50

Kp = $4

$16.5

Kp = 0.24 = 24%

Explanation:

Cost of preferred stock equals dividend divided by the difference between current market price and flotation cost. Cost of preferred stock is not tax deductible.

3 0

2 years ago