There are many disadvantages of investing in real estate and one of it is A) Investors need expert help.
<h3>What is Real estate?</h3>
The investment in property is known as real estate investment. There are many investors who invests in such assets, and earn rentals and capital gains.
The investment in real estate needs expert advice as the person who is the advisor should have the market information so that the perfect price can be quoted in order to purchase or sell an asset.
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Answer: c. earns a higher return than the rate paid on debt.
Explanation:
If the debt that the company incurs leads to the company making more money than they are paying as interest for the debt, then more money will be available as net income which would increase the Return on Equity.
ROE is calculated by dividing the Net Income by Shareholder equity. Interest is an expense. If this expense is lower then the increase in net income as a result of the debt then it follows that net income would increase and so would ROE.
Answer:
<u>the World Bank</u>
<u>Explanation:</u>
The <u>World Bank</u> is an international financial institution that monitors the financial activities of most countries. Regional economic data collection is done by means of a World Bank initiative called the International Comparison Program.
An example of this economic data collected is the gross domestic product (GDP) of the regions.
Answer
D) compared to the EOQ, the maximum inventory would be approx 30% lower.
Explanation
EOQ = √(2*Co*D/Cc)
EPQ= √ (2*Co*D/(Cc*(1-x)))
x=D/P
D = demand rate
P =production rate
Co=ordering cost
Cc=holding cost
1) The production rate would be about double the usage rate.
hence, P = 2D
x=D/2D=0.5
EPQ= √ (2*Co*D/((1-0.5)*Cc))
EPQ= √ (2*Co*D/0.5Cc)
EPQ=√ (1/0.5)*EOQ
EPQ=√ (2)*EOQ
EPQ=1.41*EOQ
Hence, EPQ is around 40% larger than EOQ.
Ans.: c) EPQ will be approximately 40% larger than the EOQ.
2) Compared to the EOQ, the maximum inventory would be
maximum inventory = Q
EPQ = 1.41 EOQ
EPQ = 1.41*Q
Q=EPQ/1.41
Q=0.71 EPQ
Hence, compared to EOQ, maximum inventory in EPQ is only 70% of that in EOQ model.
<u>Answer: </u>Option 2 discretionary
<u>Explanation:</u>
Spending can be mandatory spending or discretionary spending. Mandatory spending means the spending on essentials goods such as food. Discretionary spending means the spending on recreation and entertainment where people have additional money in hand after meeting their necessary expenses.
In this speech Obama speaks about the non essential expenses when they are controlled more investments can be made. He says when all the departments cut down their discretionary expenses then can result in economic growth.
