Business, 10.09.2019 03:10 ggdvj9gggsc

Assume that if the interest rate that businesses must pay to borrow funds were 20 percent, it would be unprofitable for businesses to invest in new machinery and equipment so that investment would be zero. but if the interest rate were 16 percent, businesses will find it profitable to invest $10 billion. if the interest rate were 12 percent, $20 billion would be invested. assume that total investment continues to increase by $10 billion for each successive 4 percentage point decline in the interest rate. refer to the above graph. which of the following is the correct graphical presentation of the indicated relationship?
a) there is no regular or dependable relationship between business investment and the interest rate
b) the amount of business investment is unaffected by changes in the interest rate
c) investment spending by businesses varies inversely with the interest rate.
d) investment spending by businesses varies directly with the interest rate.

Answers: 1

Show answers

Another question on Business

Business, 22.06.2019 03:40

Your parents have accumulated a $170,000 nest egg. they have been planning to use this money to pay college costs to be incurred by you and your sister, courtney. however, courtney has decided to forgo college and start a nail salon. your parents are giving courtney $20,000 to her get started, and they have decided to take year-end vacations costing $8,000 per year for the next four years. use 8 percent as the appropriate interest rate throughout this problem. use appendix a and appendix d for an approximate answer, but calculate your final answer using the formula and financial calculator methods. a. how much money will your parents have at the end of four years to you with graduate school, which you will start then?

Answers: 1

Answer

Business, 22.06.2019 17:30

You should do all of the following before a job interview except

Answers: 2

Answer

Business, 22.06.2019 18:30

Jason started last week with $900 in his checking account. during the week, he wrote the checks below. at the end of the week, jason received a paycheck for $534.59. he recorded all of these transactions in his check register. trans typ./ check no. date description of transaction payment/ debit deposit/ credit (+) balance 900 00 241 12/4 miller's food market 53.21 53 21 groceries 846 79 242 12/7 frank's auto parts 24.05 24 05 oil and filter 822 74 243 12/8 mike's barber shop 15.00 15 00 haircut 807 74 deposit 12/9 paycheck 534.59 534 59 1,342 33 evaluate jason's check register. a. jason did a good job; everything is correct. b. the final balance is wrong; jason did not add everything correctly. c. jason should have written debit instead of deposit for the transaction type. d. jason entered the amount for his paycheck in the wrong column.

Answers: 3

Answer

Business, 22.06.2019 20:00

Which motion below could be made so that the chair would be called on to enforce a violated rule?

Answers: 2

Answer

You know the right answer?

Assume that if the interest rate that businesses must pay to borrow funds were 20 percent, it would...

Questions