Does the Broader Diversification reduce the rate?

Q: Which are the Decision Rule for Simple Investments?

A: Answer - Simple Investment - Investment which an individual do into there day to day life like…

Q: A mechanical contractor is trying to calculate the present worth of personnel salaries over the next…

A: Given information: Salary at the end of year = $150000 Raise per year = 5% Interest rate = 12%

Q: Define the term an amortized loan?

A: An amortized loan is a form of loan with scheduled, regular payments that relate to both the…

Q: Explain Decision Rule for Simple Investments?

A: The investment is an important aspect that determines the development and growth of the economy. The…

Q: Investors become optimistic with respect to the economic situation. Analyze its effect on interest…

A: The scinario given in the question can be understood with the help of loanable funds market.

Q: How long does it take to become a millionaire? A $500,000 investment will hit $1 million in 42 years…

A:

Q: Interest Rate R Investment

A: The Keynesian economics would result in the demand side economics which determines the equilibrium…

Q: Use the Rule of 72 to approximate how many years it will take money to double when growing at an…

A: Rule of 72 helps us to calculate the number of years it will take the money to double given the…

Q: If an interest rate pays 9% five times a year, calculate the effective rate of interest. please with…

A: Interest rate is the interest charged to the borrower by the person who makes the loan, calculated…

Q: Assume an interest rate of 5%. What is the maximum amount an individual would be willing to give up…

A: Future value (F.V.) = $1 Interest rate (r) = 5% = 0.05% Number of years (n) = 30 years Present value…

Q: Describe the concept of rate of return?

A: Rate of return is a rate at which investment has earned profit or suffered a loss in terms of…

Q: On what factors does The cost of a loan depend?

A: Cost of loan are the expenses brought about by the borrower for taking the advance because of the…

Q: What is the Decision Rule for simple Investments?

A: In a simple investment, cash flows change sign only one time. For example, negative cash flow in the…

Q: What is the lower present value product?

A: The present value is the current worth of a stream of future cashflows given a certain return rate.…

Q: how to calculate present value

A: The current value of a future sum of the amount of stream of the given cash flows in a specified…

Q: What do you mean by "term spread" ?

A: Different terms are used in economics or finance to indicate the difference between two prices, ask…

Q: What is Net-Present-Worth Criterion?

A: The NPW is the Net Present Worth is the present value of a series of payments or stream of payments.…

Q: What are the Advantages and disadvantages of Finding Rate of Return?

A: Advantages: It considers time value of money It is simple to calculate No need to find hurdle rate…

Q: Distinguish between Simple investments and Nonsimple Investments?

A: The investments are an important factor for the growth of the economy which cannot grow without the…

Q: How to analyze the rate of interest?

A: The interest rate is the percentage of the amount paid by the borrower to the lender in a given…

Q: Explain the concept of rate of return?

A: The rate of return, expressed in terms of percentage, can be defined as the net gain or loss on the…

Q: Discuss the importance of long range planning for retirement

A: Financial planning is highly important in order to determine the financial independence of the…

Q: Describe what is Market interest rate?

A: The rate of interest which is determined by the interaction of demand for and supply of funds in the…

Q: Differentiate between Pure and Mixed Investments?

A: There are two types of cash flows: simple and non-simple. The non-simple cash flows are when the net…

Q: What is the relation between income and life expectancies?

A: The relationship between income and life expectancies can be best explained with the help of the…

Q: Would you take stock options in lieu of a higher salary?Why or why not?

A: Stock options granted by the employer to the employee enable them the right to purchase a certain…

Q: Please sir answer a to d I will rate sir please A to d

A: A -  For good Y, moving from point A to B, production of Y increases from 5 to 10 and production of…

Q: What is Intangible property? Give some examples?

A: The assets or the properties are the resources owned by the firm in order to generate revenue. It…

Q: Can profits exceed value added?

A: Value added in economics refers to the term that expresses the difference between the value of goods…

Q: Classify different types of investments?

A: Investments are classified into three types of investment which are equity investment, debt…

Q: Differentiate between Pure and Mixed Investments with examples?

A: Investment: The term investment refers to the current forgone consumption that is used to generate…

Q: Tell about the related diversification

A: A most prominent differentiation among the various forms of diversification is related…

Q: how to calculate future value

A: Future value is calculated with the help of interest rate along with the present value and time…

Q: How can the franchising industry best maximize its impact on the world of business in the coming…

A: A franchise is a kind of license that enables a franchisee to use the franchisor's brand name to…

Q: What is the Times-Interest-Earned Ratio?

A: Times interest earned (TIE) ratio measures the ability of company to meet its debt obligations based…

Q: Define interest rate.

A: The price paid by the lender for the use of assets expressed as a percentage of the principal is…

Q: What refers to the ratio of the interest payment to the principal for a given unit of time and…

A: For the production and consumption of goods, economic agents have derived a barter system. In the…

Q: years from now at an interest rate of

A:

Q: What are objectives on interest rate spread

A: When talking about interest rate spread, it is considered as the difference in the interest rate…

Q: What is the meaning of interest rate

A: Financial institutions play an important role in an economy. They collect money from people who have…

Q: What is the present value of $100 one year from now if the interest rate is 10%? What is the present…

A: Interest rate: It refers to the rate at which the debtor has to pay the amount with the interest…

Q: Which factors affect the yield to maturity (or return on investment?

A: Yield to Maturity provides a benchmark for evaluation of different types of investment instruments.

Q: Need urgently What might the impact of a flat world be on your standard of living?

A: The impacts of flat world on the standard of living are as follows :-