User Account

All Pages

Calculate the real rate of return

Assignment Help Accounting Basics
Reference no: EM133176486

Question - The Costaguanan stock market provided a rate of return of 95%. The inflation rate in Costaguana during the year was 81%.

In Ruritania, in contrast, the stock market return was only 17%, but the inflation rate was only 3%.

a. Calculate the real rate of return for both the Costaguana and the Ruritania stock markets.

b. Which country's stock market provided the higher real rate of return?

Reference no: EM133176486

Questions Cloud

What role should bibek play as general manager : Why have the problems occurred at Suhana Products Limited and What do you think of Bibek's management style
How could an organization use open source software : Part A -Research open source software and discuss how could an organization use open source software.
Compute the monthly and annual fixed portion : Compute the monthly and annual fixed portion of the following semi-variable expense using the high low method. Carry the unit variable rate to four decimals
Completing a performance evaluation on the employee : What is the most professional way to handle providing a conclusive performance evaluation?
Calculate the real rate of return : In Ruritania, in contrast, the stock market return was only 17%, but the inflation rate was only 3%. Calculate the real rate of return
Explain the factors necessary to manage employees : Explain the factors necessary to manage employees from home headquarters, employees from your selected foreign country, and third-country nationals
How a manager can-should overcome that reason : 1) Select one of the reasons why managers do not delegate that you think is most true. Explain why and then explain how a manager can/should overcome that reaso
Prepare the adjusting journal entry to correct the errors : Reported net income was $27,000 in 2018 and $35,000 in 2019. Prepare the adjusting journal entry in 2020 to correct the errors
Identify responsibilities of a healthcare manager : Identify two other responsibilities of a healthcare manager that you consider to be among the most important and explain why.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd