User Account

All Pages

Cannot reinvest the interest

Assignment Help Business Economics
Reference no: EM132492436

Suppose you are invested in an (excellent) account that pays 50% interest per year, paid monthly. The account is closed to new investment, so you cannot reinvest the interest. Do you prefer this account to one that pays a single payment of 50% at the end of the year, rather than monthly? Why or why not? Explain your reasoning (you may wish to reference ideas like compounding, NPV, IRR, etc.)

Reference no: EM132492436

Questions Cloud

How is expansionary monetary policy supposed to work : Since the end of the Great Recession, interest rates have been at historic lows-in some cases, close to zero. How is expansionary monetary policy supposed.
Operates with a total cost function : The estimated market demand for clean drinking water in town is Q = 50 - 0.2P. He operates with a total cost function of C = 500 + 10Q.
Analyze effects of different operating procedure : Develop a set of forecasted financial statements under alternative versions of the operating plan in order to analyze effects of different operating procedure
How has the us economy been doing in recent years : How has the U.S. economy been doing in recent years? Why do you think that is? Gather and present relevant economic statistics, such as the growth rate of real.
Cannot reinvest the interest : Suppose you are invested in an (excellent) account that pays 50% interest per year, paid monthly. The account is closed to new investment, so you cannot
Rhetorical analysis of a public document : Write a summary of the paper that includes your assessment of how well the essay meets the assignment requirements - How effectively does the thesis statement
Exploring the role of the federal reserve bank : Exploring the Role of the Federal Reserve Bank: The Federal Reserve Bank (the "Fed") is the central bank of the United States. One of its jobs is to manage.
Prepare an amortization table for the first five months : Provide an amortization table for the first five months of the loan. Be sure to provide the ending balance at the end of the fifth month.
What is the expected winning bid : What is the expected winning bid if there are three bidders?

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

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