Inflation plus, The "Inflation-Plus" CD is the safer

Inflation plus

Assignment Help Finance Basics

Reference no: EM13256816

The "Inflation-Plus" CD is the safer investment because it guarantees the purchasing power of the investment. Using the approximation that the real rate equals the nominal rate minus the inflation rate, the CD provides a real rate of 1.5% regardless of the inflation rate.

Reference no: EM13256816

Questions Cloud

Determine what is the angle of the a-phase current : 1-If the AB current in a Y-connected load has an angle of -14°, what is the angle of the a-phase current. (0 decimals in degrees) 2-If the current of the a-phase in a Y-connected load has an angle of -73°

Competitive strategy : In th five competitive forces that dictate the rules of competition, what is the models approach to choosing a competitive strategy? Must all aspects of this model be used?

What is the project''s discounted payback period : Roswell Energy Company is installing new equipment at a cost of $10 million. Expected cash flows from this project over the next five years will be $1,045,000, $2,550,000, $4,125,000, $6,326,750, and $7,000,000.

A separating ablility of simple and fractional distillation : On the basis of your data what conclusion may be made regarding the separating ablility of simple and fractional distillation? comment on how well your results compare with what might be expected using your actual data below

Inflation plus : The "Inflation-Plus" CD is the safer investment because it guarantees the purchasing power of the investment

Explain why-if she brings her employment discrimination : Mrs. Harris fails to go to the Equal Employment Opportunity Commission to get her right-to-sue letter against Forklift Systems, Inc. She therefore does not have a viable Title VII cause of action against Forklift. She does, however, have her right..

Making income statement-retained earnings statement : On June 1 Fix-It-Up Service Co. was started with an initial investment in the company of $26,200 cash. Here are the assets and liabilities of the company at June 30, andthe revenues and expenses for the month of June, its first month of operations..

What wavelength of light is being used : A grating that has 3400 slits per cm produces a third-order fringe at a 24.0? angle. What wavelength of light is being used

Which of the following projects should the company select : How would this impact your decision if they were independent vs. mutually exclusive? Explain your answers.

User Account

All Pages

Inflation plus

Reference no: EM13256816

Reference no: EM13256816

Questions Cloud

Reviews

Write a Review

Finance Basics Questions & Answers

Financial reporting and analysis

A report on financial accounting

Describe the types of financial ratios

Differences between sole proprietorship and corporation

Prepare a cash budget statement

What are the implied interest rates

State pricing theory and no-arbitrage pricing theory

Small business administration

Effect of financial leverage

Evaluate the basis for the payment to the lender

Importance of opps, ipps, mpfs and dmepos

Time value of money

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT