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2 years ago

The interest rate does not affect the intertemporal budget constraint. a. True b. False

Business

1 answer:

Kruka [31]2 years ago

6 0

Answer:

False

Explanation:

The correct answer is false because the interest rate does affect the intertemporal budget constraint.

A higher interest rate, will cause the budget line to pivot upwards while a lower rate will make the budget line to pivot downward.

The intertemporal budget constraint can used to show a decision on how to save. It refers to the constraint which an individual encounters when making choices for the present and for the future. It reflects a consumer's decision on the amount to consume in the present and the amount to save in the future.

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Cash markets are also known as Group of answer choices speculative markets spot markets dollar markets derivative markets

alukav5142 [94]

Answer:

Cash markets are also known as spot markets

________________________________

Spot markets are: markets designed to attract speculator.

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1 year ago

While it sounds reasonable that companies should focus on making the products it knows how to make really well, one downside of

borishaifa [10]

Answer:

Customer may not want the product which the company is making well.

Explanation:

It is not necessary that market needs those products which the company is producing perfectly. It cannot enter into product differentiation and cannot meet customer demands and needs of specific or altered products. The company can achieve specialization and can be a niche player in the market but also on the other hand company’s business is limited to only few products at which it is perfect. It cannot allow customization to its products.

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2 years ago

Accounting about Stockholders' Equity? 1. Common stockholders usually have all of the following rights except: a) To receive div

lisov135 [29]

1. D. to participate in the day-to-day operations.
Let's say that you buy a stock for microsoft, it doesn't make you able to come to their offices and help them handling the customers.

2. C. the risk of bankrupt is less
when you sell your company's stock to other buyers, that buyers will also take the risk from all your company's activity because technically they own a part of your company, which make the risk of going bankrupt is less, but you surrender a part of ownership of your company

3. B. Preferred Stock

Where a company liquidates its assets, they will distribute the payment to all the holders of preferred stock first.

If there's any leftover after the company distribute the payment to preferred stock holders, than that leftover is distributed to the common stock holders

Hope this helped you out

8 0

2 years ago

Padraig receives total employment compensation of $70,000 and had $2,000 in job expenses. Which of the following could be true a

dimulka [17.4K]

Answer: Option C

Explanation:

The total compensation along with benefits are $72000. When the employee benefits calculated the annual gross pay given in option C . 12.5% interest calculated on $64000 will give total compensation of $72000.

Calculation of total compensation

Employee benefits = $64000 x 12.5/100

=$8000

Annual compensation= $64000 +$8000

=$72000

4 0

2 years ago

Read 2 more answers

Trapp Company reported net income of $110,000 for 2019 and paid dividends of $60,000 on November 1, 2019. Grape Company owns 15%

MArishka [77]

Answer:

$9,000

Explanation:

Given that,

Trapp Company reported,

Net income for 2019 = $110,000

Dividends paid on November 1, 2019 = $60,000

Grape Company owns 15% of the common stock of Trapp.

Using a fair-value method,

Therefore,

Income earned by Grape company is as follows:

= 15% of the total amount of dividend paid

= 0.15 × $60,000

= $9,000

6 0

2 years ago