Business, 07.11.2019 21:31 destinyharris8502

Which one of the following statements concerning interest rates is correct? a. savers would prefer annual compounding over a monthly compounding. b. the effective annual rate decreases as the number of compounding periods per year increases. c. the effective annual rate equals the annual percentage rate when interest is compounded annually. d. borrowers would prefer monthly compounding over annual compounding. e. for any positive rate of interest, the effective annual rate will always exceed the annual percentage rate.

Answers: 1

Show answers

Another question on Business

Business, 21.06.2019 18:00

Emily bought 200 shares of abc co. stock for $29.00 per share on 60% margin. assume she holds the stock for one year and that her interest costs will be $80 over the holding period. ignoring commissions, what is her percentage return (loss) on invested capital if the stock price went down 10%?

Answers: 2

Answer

Business, 22.06.2019 16:30

Bernard made a gift of $500,000 to his brother in 2014. due to bernard’s prior taxable gifts he paid $200,000 of gift tax. when bernard died in 2019, the applicable gift tax credit had increased. at bernard’s death, what amount related to the $500,000 gift to his brother is included in his gross estate?

Answers: 3

Answer

Business, 22.06.2019 19:30

Consider the following two projects. both have costs of $5,000 in year 1. project 1 provides benefits of $2,000 in each of the first four years only. the second provides benefits of $2,000 for each of years 6 to 10 only. compute the net benefits using a discount rate of 6 percent. repeat using a discount rate of 12 percent. what can you conclude from this exercise?

Answers: 3

Answer

Business, 22.06.2019 20:00

Ajax corp's sales last year were $435,000, its operating costs were $362,500, and its interest charges were $12,500. what was the firm's times-interest-earned (tie) ratio? a. 4.72b. 4.97c. 5.23d. 5.51e. 5.80

Answers: 1

Answer

You know the right answer?

Which one of the following statements concerning interest rates is correct? a. savers would prefer a...

Questions