Author Question: If inflation turns out to be higher than was anticipated, debtors are helped because A) the real ... (Read 37 times)

jhjkgdfhk

  • Hero Member
  • *****
  • Posts: 569
If inflation turns out to be higher than was anticipated, debtors are helped because
 
  A) the real present value of their payments increases.
  B) the real present value of their payments decreases.
  C) the nominal present value of their payments increases.
  D) the nominal present value of their payments decreases.

Question 2

Four banks are offering the same interest rate of 4. Where do you invest?
 
  A) Bank A compounds interest on a yearly basis.
  B) Bank B compounds interest on a monthly basis.
  C) Bank C compounds interest on a daily basis.
  D) I am indifferent between banks.


zoeyesther

  • Sr. Member
  • ****
  • Posts: 315
Answer to Question 1

B

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question


 

Did you know?

Oliver Wendell Holmes is credited with introducing the words "anesthesia" and "anesthetic" into the English language in 1846.

Did you know?

The U.S. Preventive Services Task Force recommends that all women age 65 years of age or older should be screened with bone densitometry.

Did you know?

Patients should never assume they are being given the appropriate drugs. They should make sure they know which drugs are being prescribed, and always double-check that the drugs received match the prescription.

Did you know?

Hyperthyroidism leads to an increased rate of metabolism and affects about 1% of women but only 0.1% of men. For most people, this increased metabolic rate causes the thyroid gland to become enlarged (known as a goiter).

Did you know?

Certain topical medications such as clotrimazole and betamethasone are not approved for use in children younger than 12 years of age. They must be used very cautiously, as directed by a doctor, to treat any child. Children have a much greater response to topical steroid medications.

For a complete list of videos, visit our video library