Author Question: In a contingent contract A) the risk neutral party bears the risk. B) monitoring is not ... (Read 234 times)

sdfghj

  • Hero Member
  • *****
  • Posts: 552
In a contingent contract
 
  A) the risk neutral party bears the risk.
  B) monitoring is not possible.
  C) the principal will be at a disadvantage.
  D) the payoffs are dependent upon another variable, such as revenue or profit.

Question 2

In developed industries, the interest rate tends to be lower than in newer industries. What could explain this?
 
  A) greater demand for loans in the developed industry
  B) greater supply for loans in the new industry
  C) greater demand for loans in the new industry
  D) lower supply for loans in the developed industry



missalyssa26

  • Sr. Member
  • ****
  • Posts: 327
Answer to Question 1

D

Answer to Question 2

C



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question

sdfghj

  • Hero Member
  • *****
  • Posts: 552

missalyssa26

  • Sr. Member
  • ****
  • Posts: 327

 

Did you know?

Normal urine is sterile. It contains fluids, salts, and waste products. It is free of bacteria, viruses, and fungi.

Did you know?

Fatal fungal infections may be able to resist newer antifungal drugs. Globally, fungal infections are often fatal due to the lack of access to multiple antifungals, which may be required to be utilized in combination. Single antifungals may not be enough to stop a fungal infection from causing the death of a patient.

Did you know?

It is difficult to obtain enough calcium without consuming milk or other dairy foods.

Did you know?

Women are 50% to 75% more likely than men to experience an adverse drug reaction.

Did you know?

As of mid-2016, 18.2 million people were receiving advanced retroviral therapy (ART) worldwide. This represents between 43–50% of the 34–39.8 million people living with HIV.

For a complete list of videos, visit our video library