This topic contains a solution. Click here to go to the answer

Author Question: ________ rate of interest is the actual rate charged by the supplier and paid by the demander of ... (Read 120 times)

sarasara

  • Hero Member
  • *****
  • Posts: 521
________ rate of interest is the actual rate charged by the supplier and paid by the demander of funds.
 
  A) Nominal
  B) Real
  C) Risk-free
  D) Inflationary

Question 2

Nico invested an amount a year ago and calculated his return on investment. He found that his purchasing power had increased by 15 percent as a result of his investment. If inflation during the year was 4 percent, then Nico's ________.
 
  A) real return on investment is more than 15 percent
  B) nominal return on investment is more than 15 percent
  C) nominal return on investment is less than 11 percent
  D) real return on investment is equal to 4 percent



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

Kdiggy

  • Sr. Member
  • ****
  • Posts: 340
Answer to Question 1

A

Answer to Question 2

B





 

Did you know?

Medications that are definitely not safe to take when breastfeeding include radioactive drugs, antimetabolites, some cancer (chemotherapy) agents, bromocriptine, ergotamine, methotrexate, and cyclosporine.

Did you know?

Human stomach acid is strong enough to dissolve small pieces of metal such as razor blades or staples.

Did you know?

Studies show that systolic blood pressure can be significantly lowered by taking statins. In fact, the higher the patient's baseline blood pressure, the greater the effect of statins on his or her blood pressure.

Did you know?

Bacteria have been found alive in a lake buried one half mile under ice in Antarctica.

Did you know?

In 2006, a generic antinausea drug named ondansetron was approved. It is used to stop nausea and vomiting associated with surgery, chemotherapy, and radiation therapy.

For a complete list of videos, visit our video library