Suppose sally borrows $1,000 from harry for one year and agrees to pay a nominal interest rate of 11%. when she borrows the money, both she and harry expect an inflation rate of 3%. 1st attempt part 1 (1 point)see hint the expected real interest rate on the loan is %. part 2 (1 point)see hint suppose that when sally pays back the loan after one year, the actual inflation rate turns out to be 8%. the actual real interest rate on the loan is %. part 3 (2 points)see hint a. if the inflation rate turned out to be higher than expected, then . b. but if inflation turned out to be lower than expected, then .

Peninsula products has just applied for a loan at your bank. when reviewing peninsula's books for the year that just ended, you notice that the firm uses the fair value option for its bonds payable. you also see that the firm recorded a $55,000 debit in its bonds payable account and a $55,000 credit in its unrealized holding gain or loss"income account. over that same period, interest rates decreased by about 0.5 percent. how should this information affect the bank's decision as to whether to grant peninsula a loan? a : the bank should strongly consider giving a loan to peninsula because the changes in firm's bonds payable and unrealized holding gain or loss"income accounts suggest that peninsula has seen an increase in its credit rating over the past year. b : the bank should put little emphasis on the changes in peninsula's bonds payable and unrealized holding gain or loss"income accounts because these changes are likely the result of the rise in interest rates. c : the bank should hesitate before giving a loan to peninsula because the changes in firm's bonds payable and unrealized holding gain or loss"income accounts suggest that peninsula has seen a decline in its credit rating over the past year. d : the bank should put little emphasis on the changes in peninsula's bonds payable and unrealized holding gain or loss"income accounts because these changes are likely unrelated to either interest rates or the firm's credit rating.

Your uncle is considering investing in a new company that will produce high quality stereo speakers. the sales price would be set at 1.5 times the variable cost per unit; the variable cost per unit is estimated to be $75.00; and fixed costs are estimated at $1,200,000. what sales volume would be required to break even, i.e., to have ebit = zero?

The face of a company is often that of the lowest paid employees who meet the customers. select one: true false