5 ANALYZING ISSUES Four common problems associated with rationing are listed in the left-hand
column. Imagine that the government has decided to ration Internet usage in schools. How could each
of the four problems manifest itself in this situation?
Perceived
Fairness
Administrative
Expense
Distorted
Incentives
Abuse and
Misuse

Answer: Keynesian

Explanation:

I had this question once

 When a customer has a margin account with a long market value of $65,000, a debit balance of $40,000, and SMA of $5,000, and buys 500 shares of a listed stock at $20 per share, they will need to deposit $10,000.Option D

The formula used to determine this is as follows :D = [(LMV x R) - DB] / (1 - ER)

Where: D = Deposit LMV = Long Market Value DB = Debit Balance ER = Margin Requirement Ratio R = Required Maintenance Ratio

Determine the Long Market Value (LMV)LMV = Long Market Value LMV = Market Value x Quantity LMV = $20 x 500LMV = $10,000 Determine the Required Maintenance Ratio (R)R = Required Maintenance Ratio R = 30%R = 0.3

Determine the Margin Requirement Ratio (ER)ER = Margin Requirement Ratio ER = 50%ER = 0.5

Determine the Debit Balance (DB) DB = Debit Balance DB = $40,000Substitute the variables into the formula D = [(LMV x R) - DB] / (1 - ER)D = [($10,000 x 0.3) - $40,000] / (1 - 0.5)D = [$3,000 - $40,000] / 0.5D = -$37,000 / 0.5D = -$74,000

The customer has a debit balance of $40,000, which is greater than the deposit required of -$74,000.

This means the customer needs to deposit the difference between the debit balance and the deposit required. Therefore the correct answer is D = $10,000.

for more such question on debit

https://brainly.com/question/28390335

#SPJ11

An auditor would most likely use the entity's year-to-date financial results and position in determining the auditor's preliminary judgment about the materiality of the financial statements as a whole. Here option B is the correct answer.

This is because materiality is a relative term and is based on the specific circumstances of the entity. The auditor would typically consider quantitative factors such as the size and nature of the financial statements, as well as qualitative factors such as the entity's industry, regulatory environment, and financial condition.

The entity's year-to-date financial results and position would provide important information about the entity's financial condition and performance, which would be a key consideration in determining materiality.

The anticipated sample size of the planned substantive procedures, the results of the internal control questionnaire, and the contents of the representation letter would be used in other aspects of the audit, but would not be the primary factors in determining materiality.

To learn more about auditor

https://brainly.com/question/28457117

#SPJ4

In a market economy, the absence of a legal system that protects property rights and the lack of machinery to enforce that system generally result in a lack of incentive to engage in economic activity.

Hence, option (d) is correct choice.

A market economy is a system in which goods and services are traded on the basis of supply and demand. Market economies allocate resources and fix prices based on the principles of supply and demand. Entrepreneurs are free to start businesses and compete, and buyers and sellers are free to make transactions with one another.

A legal system that protects property rights is essential for a functioning market economy. It allows businesses to acquire and hold property and protect their assets from theft or destruction. When a market economy lacks this legal system, individuals and businesses may have little incentive to engage in economic activity because they cannot be assured that their property and other assets will be protected.

Because of this, the lack of a legal system that protects property rights and the lack of machinery to enforce that system usually result in the lack of incentive to engage in economic activity.

Hence, "option (d)" is correct choice.

For more such questions on market economy

brainly.com/question/30197415

#SPJ11

Regarding the query, each of the aforementioned statements is accurate.

Debt instruments known as corporate bonds are issued by both commercial and public corporations. Businesses sell corporate bonds to generate funds for a range of projects, including the construction of new facilities, the acquisition of equipment, and business expansion. A corporation bond is an obligation that a corporation issues to obtain money for a number of purposes, such as continued operations, mergers and acquisitions, or business expansion. The phrase is typically used to describe longer-term debt instruments with a minimum one-year maturity.

To know more about corporate bonds visit:

https://brainly.com/question/14531325

#SPJ1

A market failure is what happens when a third party in a transaction on the open market incurs an unreimbursed expense. a cost that has a negative externality or spillover.

Third parties are people, groups, or communities who indirectly gain or lose because of how consumers and producers operate in an effort to further their own interests.

When people, families, and businesses fail to internalize the indirect costs or advantages of their economic interactions, externalities pose serious issues for economic policy. Inefficient market outcomes are the result of the ensuing wedges between societal and private costs or profits.

To know more about unreimbursed visit:-

https://brainly.com/question/23532184

#SPJ1

Answer:

800×1.5×5 divided by 100

Explanation:

so 100can divide 800we cancel them remaining 8×1.5×5=60

Laggards might watch a sequel to a film when it ultimately airs on their normal tv networks.

A stock and security that really is underperforming in comparison to its reference or peers is referred to as a lagging. A laggard will see reduced returns in comparison to the market. The antithesis of a leader is a laggard. Traditionalists, laggards who have yet to adopt new ideas. Laggards are localised to the extent of being isolated when contrasted to the other user types, having essentially no opinion leadership. Because of their fixation with the past, all choices must be considered in the context of earlier generations.

To know more about Laggards visit:

https://brainly.com/question/31117231

#SPJ1

given statement is FALSE - At the end of seven years, the account will be worth $1,340. Suppose that $1,000 is deposited into an account paying simple interest of 9% annually.

I = P r t, where I = interest earned, is the basic interest formula.

P is the principal sum (the initial deposit)

annual interest rate is r. (as a decimal)

t stands for time (in years)

P Equals $1,000, r = 0.09 (9% represented as a decimal), and t = 7 in this example.

As a result, the interest after 7 years is:

I = $1,000 * 0.09 * 7 = $630

The result of adding the interest and the principal is:

$1,000 + $630 = $1,630

Compound interest is excluded from the calculation and just the original principal is used.

Learn  more about “ annual interest rate  “ visit here;

https://brainly.com/question/30573341

#SPJ4

A monopoly is a market structure characterized by a single firm controlling the entire market. While this structure may appear beneficial to the firm, it has several negative effects on the market and society as a whole. One major drawback is that monopolies lack competition, which leads to stagnation and a lack of innovation. Without a competing firm, there is no need to improve the quality of the product, customer service, or even pricing. This complacency can lead to a decline in sales and profitability.

Furthermore, monopolies can create inefficiencies in the market, leading to a reduction in consumer welfare. In a monopoly, the firm has the ability to charge higher prices than it would in a more competitive market. As a result, there is a transfer of wealth from consumers to the monopolist, leading to a decrease in consumer welfare and overall economic efficiency.

In contrast, an oligopoly is a market structure where a few firms compete with each other. This structure provides several benefits to the market, including innovation, better pricing, and higher quality. With firms competing against each other, there is an incentive to improve the quality of the product, customer service, and pricing, which benefits consumers. Additionally, this competition encourages firms to innovate, resulting in new products and technologies being developed.

In conclusion, while monopolies may offer some benefits to the firm, they are not a desirable marketing structure due to the lack of competition, inefficiencies, and reduction in consumer welfare. In contrast, an oligopoly provides benefits to consumers and encourages innovation, making it a superior marketing structure.

Answer:

If a store orders 100 units every time and sells 90 units each week, the average inventory can be calculated as follows:

Each time the store orders 100 units, the inventory increases by 100 units.

Each week, the store sells 90 units, so the inventory decreases by 90 units.

Assuming that the store orders new inventory as soon as it runs out, the average inventory can be estimated as the average of the minimum and maximum inventory levels.

The minimum inventory level occurs just before a new order is placed, when the inventory has been depleted to 10 units. The maximum inventory level occurs just after a new order is received, when the inventory has been replenished to 100 units.

Therefore, the average inventory is:

(10 + 100) / 2 = 55

So, the average inventory is 55 units.

To say that you can't have too much of a good thing means that for any good that you enjoy: C) higher consumption will always lead to higher utility.

In economics, utility is a term used to decide the value or worth of a decent or administration. All the more explicitly, utility is the complete fulfillment or advantage got from consuming a decent or administration.

Higher consumption will make the utility abatement at a rising rate. higher consumption will increment utility however to a limited extent from that point onward, the utility will begin to diminish. it is substantial to gauge the utility of utils.

Marginal utility is the additional fulfillment a buyer gets from having another unit of decent or administration.

The idea of marginal utility is utilized by financial specialists to decide the amount of a thing shoppers will buy.

The law of decreasing marginal utility is frequently used to legitimize moderate taxes.

The marginal utility can be positive, zero, or negative.

to know more about marginal utility click here:

https://brainly.com/question/15050855

#SPJ4

As the labor force ages and retires, we would expect the production possibility frontier to shift inwards because of the reduction of labor power available.

Production possibility frontier or PPF is a graphical representation of the concept of production possibility, which refers to the possible combinations of two goods that can be produced in a given period, given the available resources and the level of technology. The PPF curve displays the maximum amount of one product that can be produced for every feasible level of production of the other product. It can also be defined as the boundary between the feasible and unfeasible combinations of the two goods.

When the labor force ages and retires, the production possibility frontier will shift inwards. This happens because the labor force's size decreases, so there will be less labor force power available to produce goods and services.The productivity of the labor force will also decrease, as they will start to have age-related health issues that limit their capabilities. All these factors combined, cause a decrease in the output of goods and services.

In conclusion, as the labor force ages and retires, we would expect the production possibility frontier to shift inwards because of the reduction of labor power available.

For more such questions on production possibility frontier , Visit:

https://brainly.com/question/6571859

#SPJ11

Answer:

Explanation:

The AFN (Additional Funds Needed) equation is:

AFN = (A*/S)ΔS - (L/S)*ΔS - M(1 - P)*ΔS

Where:

A* = assets that vary directly with sales

S = projected sales

ΔS = increase in sales

L* = spontaneous liabilities that vary directly with sales

M = after-tax profit margin

P = payout ratio

First, we need to calculate the assets that vary directly with sales. Since Broussard is already at full capacity, its assets must grow at the same rate as projected sales. Therefore, A* = S.

Next, we need to calculate the spontaneous liabilities that vary directly with sales. These are the current liabilities, which are already included in the AFN equation. Therefore, L* = current liabilities = $1.4 million.

The projected sales are not given in the question, so we cannot calculate the increase in sales. However, we can still calculate the AFN based on a percentage increase in sales. Let's assume a 10% increase in sales.

Using the given information, we can calculate the other variables:

M = after-tax profit margin = 3%

P = payout ratio = 55%

Substituting these values into the AFN equation, we get:

AFN = (A*/S)ΔS - (L/S)*ΔS - M(1 - P)*ΔS

AFN = (S/S)*0.10S - ($1.4 million/S)*0.10S - 0.03(1 - 0.55)*0.10S

AFN = 0.007S

Therefore, the additional funds needed for the coming year, based on a 10% increase in sales, is 0.7% of projected sales.

Free Young Thug

Answer:

Broussard Skateboard's sales are expected to increase by 25% from $7.2 million in 2019 to $9.00 million in 2020. Its assets totaled $5 million at the end of 2019.

Broussard is already at full capacity, so its assets must grow at the same rate as projected sales. At the end of 2019, current liabilities were $1.4 million, consisting of $450000 of accounts payable, $500000 of notes payable, and $450000 of accruals. The after-tax profit margin is forecasted to be 3%, and the forecasted payout ratio is 55%. Use the AFN equation to forecast Broussard's additional funds needed for the coming year.

The additional funds needed (AFN) equation is:

AFN = (A*/S0)ΔS - (L*/S0)ΔS - MS1(1 - d)

where:

A* = Total assets needed to support sales

S0 = Sales in the previous period

ΔS = Projected increase in sales

L* = Total spontaneous liabilities at capacity

M = Profit margin

d = Dividend payout ratio

S1 = Projected total sales

We can start by calculating the variables needed for the AFN equation:

A* = S1 × (A/S)

A* = $9.00 million × ($5 million / $7.2 million)

A* = $6.25 million

ΔS = $9.00 million − $7.2 million = $1.8 million

L* = $450000 + $500000 + $450000 = $1.4 million

M = 3%

d = 55%

S1 = $9.00 million

Now we can substitute these values into the AFN equation:

AFN = ($6.25 million / $7.2 million) × $1.8 million − ($1.4 million / $7.2 million) × $1.8 million − 0.03 × $9.00 million × (1 - 0.55)

AFN = $1.25 million − $0.28 million − $0.135 million

AFN = $0.79 million

Therefore, Broussard Skateboard's additional funds needed for the coming year is $0.79 million.

Option c: 66.67%. According to the formula, the unemployment rate of this economy of six people is 66.67%..

Unemployment rate = number of unemployed people / labor force = (2/3) x 100% = 66.67 D

Labor force participation rate is an estimate of the economy's active labor force.  This formula is the number of people over the age of 16 who are employed or actively seeking employment divided by the total Un institutionalized private working-age population.

Coupled with the unemployment rate, this can provide insight into the state of the economy.

As of 2013, the U.S. labor force participation rate remained stable at around 63% until the COVID-19 pandemic hit.

To learn more about labor force participation rate, here:

https://brainly.com/question/28345095

#SPJ4

Complete question:

Complete the right half of the following equation to reflect the unemployment rate reported by the BLS.

Unemployment Rate = __________.

According to this formula, what is the unemployment rate of this economy of six people?

A. 20%

B. 60%

C. 66.67%

D. 200%

The adjusting entry that is needed to record accrued interest on a note receivable due next year is the interest expense debit and the interest payable credit. option a is correct.

For more such question on revenues

https://brainly.com/question/23706629

#SPJ11

Note: The complete question would be as bellow,

The adjusting entry to record accrued interest on a note receivable due next year consists of a

a) debit to Interest Expense and a credit to Interest Payable.

b) debit to Interest Receivable and a credit to Cash.

c) debit to Interest Receivable and a credit to Interest Revenue.

d) debit to Interest Expense and a credit to Interest Receivable.

The form of entry strategy into international operations that offers the highest level of control for the domestic corporation would be exporting.

This is because exporting refers to the act of selling goods and services from one country to another, thereby maintaining complete control of production and distribution. Exporting is one of the most straightforward and cost-effective methods of entering international markets. It is frequently used by small to medium-sized businesses that are interested in expanding their operations to a foreign market without committing a lot of resources. In addition, the exporting firm can maintain complete control over the goods and services that it provides, allowing it to preserve its branding and reputation in foreign markets. Exporting does, however, have its drawbacks.

The firm may face trade barriers in the form of tariffs, quotas, or other non-tariff barriers that restrict entry to foreign markets. Furthermore, exporting is typically seen as a short-term approach to international expansion, as it lacks the long-term sustainability of investment-based approaches such as joint ventures, mergers, or acquisitions. To sum up, while exporting provides complete control for domestic corporations in international operations, it is frequently seen as a temporary solution rather than a long-term approach to expanding to foreign markets.

For more questions on domestic corporation

https://brainly.com/question/30332872

#SPJ11

The supply of stereo speakers when the price is $75 is 83($75) + 23 - 400 = -158 speakers. The instantaneous rate of change of supply when the price is $75 is 83, as this is the coefficient of the variable p.

Solution,

Given that the number x of stereo speakers a retail chain is willing to sell per week at a price of p dollars is given byx = 83 Vp + 23 – 400.Put p = 75x = 83*75 + 23 – 400= 6255 speakers

So, the supply is 6255 when the price is 75 dollars. To find the instantaneous rate of change of supply, differentiate the given function with respect to

p.(dx/dp) = 83d/dp(p) + d/dp(23) - d/dp(400)(dx/dp) = 83

Since the value of dx/dp is constant, the instantaneous rate of change of supply is 83.

Therefore, the supply is 6255 and the instantaneous rate of change of supply is 83 when the price is 75 dollars.

For such more question on variable:

https://brainly.com/question/26373444

#SPJ11

Option (d), In accordance with leader-member exchange, you must put out effort to cultivate unique bonds with your followers. This leads to more productive team meetings if you do it.

The Leader-Member Exchange Hypothesis first came to light in the 1970s. It looks at the interaction between management and the team. Team members frequently move through the three stages of role-taking, role-making, and routineization when interacting with their management.

As they have limited time and resources, leaders divide their subordinates into in- and out-groups to increase work-group productivity, according to the leader-member-exchange (LMX) theory of leadership (Dansereau, Graen, & Haga, 1975).

Out-group: If a worker and their management don't trust one another, that manager typically sees the employee as being in the minority. The likelihood that these individuals may leave the team may increase as a result, and they may also experience lower job satisfaction and lower levels of motivation.

Learn more about leader-member exchange: https://brainly.com/question/29982340

#SPJ1

The complete question is:

According to leader-member exchange, you must work to develop special relationships with your followers. If you do this, it results in which of the following?

an entire work group becoming an in-group

an entire work group becoming an out-group

increased job satisfaction

more effective team meetings

The given statement is true about the Flora is engaging in strategic positioning.

By offering unique workshops on topics that no other local store is providing, Flora's Fruit + Fresh is engaging in strategic positioning. Strategic positioning involves differentiating a business from its competitors by highlighting its unique features or offerings, and in this case, Flora's Fruit + Fresh is doing just that by providing educational workshops in addition to selling locally grown fruits and vegetables. Strategic positioning is the process of differentiating a business unit from its competitors by emphasizing unique features or benefits to appeal to a specific target market. It involves creating a distinctive image and reputation in the minds of customers to gain a competitive advantage in the market.

learn more about strategic positioning here

https://brainly.com/question/30899048

#SPJ1

In a partnership, the partners divide the profits and the management responsibilities.

A partnership is a type of company in which two or more people share ownership and responsibilities. A partnership is a legal relationship between two or more people who share ownership and management responsibilities. In exchange for their participation in the company's activities, each partner agrees to contribute money, resources, labor, or skills.

A general partnership is the most popular form of partnership. Each partner has equal power, management responsibilities, and shared liability for debts, and each receives an equal share of profits or losses. The advantages of a general partnership are the simplicity and ease of establishment, as well as the ability to combine multiple skills and knowledge sets.

A limited liability partnership is a form of partnership in which each partner has limited liability for the partnership's debts and obligations. LLPs offer the flexibility of a partnership while also protecting each partner's assets from the liabilities of the other partners.

For such more question on partnership:

https://brainly.com/question/14034519

#SPJ11

The journal entries for Vernon Medical Clinic is given below:

Cash Budget January February March

Cash receipts  

Beginning cash balance 16500 10300 10000

cash receipts 117000 123000 143000

Total cash available [1] 133500 133300 153000

Cash payments  

For inventory purchases 98500 80500 93500

For S & A Expenses 39500 40500 35500

Interest expense 40000*3%=1200 56000*3%=1680 55380*3%= 1661

Total budgeted disbursements [2] 139200 122680 130661

Excess of receipts over disbursement [1-2] -5700 10620 22339

Financing activities  

Borrowing /(repayment) 16000 (620) (12339)

Ending cash balance 10300 10000 10000

Working note:

a)For month of January,Amount borrowed = Desired ending balance - Excess of receipts over disbursement

= 10000 - (-5700)

= 10000 +5700

= 15700 (rounded to nearest 16000)

Since the amount is borrowed in increments of 1000 ,amount borrowed is nearest to 16000

b)Amount financed at end of January = 40000 (beginning ) +16000 additional borrowing = 56000

c)Amount financed at end of February = 56000 (beginning ) -620 repatyment= 55380

Read more about cash flows here:

https://brainly.com/question/24179665

#SPJ1

Answer:

Belinda Broker, who owns a real estate office with five salespeople, dies unexpectedly. Sam Salesperson, who works in Belinda's, office has four listings. What should Sam do once he learns of Belinda's demise?

Explanation:

Once Sam Salesperson learns of Belinda Broker's demise, he should take the following steps:

Notify the appropriate authorities: Sam should notify the police or emergency services, as well as the relevant government agencies, such as the local licensing board for real estate agents.

Contact Belinda's family or executor: Sam should reach out to Belinda's family or executor to offer condolences and inquire about how the business will be handled in the wake of her passing.

Assess the situation: Sam should take stock of the office's current listings, pending sales, and other ongoing business transactions to determine the status of each.

Inform clients: Sam should contact all clients he is currently working with to inform them of Belinda's passing and reassure them that he will continue to handle their transactions.

Seek guidance and support: Sam should seek guidance from colleagues, industry associations, or legal counsel as needed to ensure he is following proper procedures and protocols.

Respect confidentiality: Sam should handle any confidential client or business information with utmost care and confidentiality.

Ultimately, it is important for Sam to act professionally and compassionately in the wake of Belinda's passing while taking the necessary steps to ensure that the real estate office and its clients are properly managed during this transition period.

If you can, give me brainliest please!

the subsequent statement is true that One core ethical concept is that you need to act impartially and not give preferential treatment to any personal organization or individual.



Impartiality is sometimes handled via philosophers as though it have been equal to moral impartiality. Or, at the very least, the former phrase is frequently used, with out the qualifying adjective ‘moral’, even when it's far the specifically moral idea this is intended. this is misleading, considering the fact that impartiality in its broadest experience is excellent understood as a proper belief, at the same time as ethical impartiality particularly is a great concept – and one concerning which there is considerable dispute.

To understand more about impartiality click here
brainly.com/question/30429182
#SPJ4

1. The equilibrium price of activated charcoal will increase (P1 to P2), and the equilibrium quantity supplied will increase (Q1 to Q2). 2. The equilibrium price of wine will increase (P1 to P2), and the equilibrium quantity of wine will decrease (Q1 to Q2). 3. The equilibrium price of coal will decrease (P1 to P2), and the equilibrium quantity supplied will decrease (Q1 to Q2).

1. The increased demand for beauty products containing activated charcoal will lead to an increase in the demand for activated charcoal itself, shifting the demand curve to the right (D1 to D2) in the diagram below. As a result, the equilibrium price of activated charcoal will increase (P1 to P2), and the equilibrium quantity supplied will increase (Q1 to Q2).

Price

^

P2 | .

| .

| .

P1 |______________

Q1 Q2 Quantity

2. An increase in the wage rate of workers in the wine industry will increase the cost of production for wine, shifting the supply curve to the left (S1 to S2) in the diagram below. As a result, the equilibrium price of wine will increase (P1 to P2), and the equilibrium quantity of wine will decrease (Q1 to Q2).

Price

^

P2 | .

| .

| .

P1 |______________

Q2 Q1 Quantity

3. The less strict regulation on coal mining and the decrease in demand for coal-generated electricity will lead to a decrease in the demand for coal, shifting the demand curve to the left (D1 to D2) in the diagram below. As a result, the equilibrium price of coal will decrease (P1 to P2), and the equilibrium quantity supplied will decrease (Q1 to Q2).

Price

^

P1 | .

| .

| .

P2 |______________

Q2 Q1 Quantity

This can also lead to some coal mining companies going out of business as they cannot sell their product at a profitable price. On the other hand, the decrease in the price of coal can make it more attractive for industries that still require coal for their processes. However, the long-term trend is towards the use of alternative energy sources, so the demand for coal is likely to continue decreasing over time.

learn more about equilibrium quantity: https://brainly.com/question/22569960

#SPJ1

If the pound sterling appreciates against the US dollar, England buys fewer US goods, causing the US aggregate demand curve to shift to the left.

If the pound sterling appreciates against the US dollar, England buys fewer US goods, causing the US aggregate demand curve to shift to the left. The shift in demand results in a reduction in output and a shift in the equilibrium. The US may counteract this shift by employing various policies to increase the demand for its goods or reduce its reliance on exports.

The strength of a country's currency is determined by supply and demand. The value of a currency is determined by supply and demand. The value of a country's currency increases when there is a high demand for it or when the supply of it is limited. A country's currency may decrease in value when there is low demand or an overabundance of it. In this case, the pound sterling appreciates relative to the US dollar, indicating that there is a higher demand for pounds in relation to the supply, or a lower supply of US dollars in relation to the demand.

When a country's currency appreciates, its exports become more expensive and less competitive in foreign markets. This reduces the demand for its exports. At the same time, imports become cheaper, and demand for imported goods increases. In the case of England, the country is buying fewer US goods, indicating that it is reducing its imports from the US. The US, on the other hand, is experiencing a reduction in demand for its exports to England, and this shift in demand reduces the aggregate demand curve for the US. The reduction in aggregate demand causes a decrease in the equilibrium output level, and this shift is to the left of the aggregate demand curve.

For more questions on "Supply and Demand" :

https://brainly.com/question/4804206

#SPJ11

The most likely thing for Robyn to do is B. Find a new career outside the legal profession.

Since he has lost his license to practice law, he would not be able to continue working as a lawyer or in any other legal capacity. In addition, his firing from the State Department would likely make it difficult for him to find employment in a related government agency.

Therefore, the most realistic option for Robyn would be to seek employment in a different field or industry. Appealing his case to the American Bar Association or taking his case to an appeals court would likely not be fruitful options, as his disbarment and firing from the State Department suggest that his ethical lapses were significant and serious.

Find out more on license at https://brainly.com/question/17197957

#SPJ1

Typical returns are higher for stocks and mutual funds which offer higher potential returns compared to CDs or savings accounts.

Stocks and mutual funds are two popular investment vehicles that investors use to build wealth. Stocks are shares of ownership in a company, while mutual funds are diversified collections of assets that can include stocks, bonds, and other securities .

Both stocks and mutual funds offer higher potential returns compared to CDs or savings accounts, which are more conservative investment options. The potential for higher returns comes with greater risk, as stocks and mutual funds can experience significant fluctuations in value over time. However, over the long term, stocks and mutual funds tend to outperform more conservative investments.

According to historical data, the average annual return for the S&P 500 index, which tracks the performance of 500 large-cap U.S. stocks, has been around 10% over the past several decades. Mutual funds offer investors a way to diversify their holdings and potentially reduce their overall risk. By investing in a variety of assets, mutual funds can provide a level of protection against market volatility.

Some mutual funds may focus on a particular sector, such as technology or healthcare, while others may be more broadly diversified across multiple sectors.

To summarize, typical returns are higher for stocks and mutual funds than CDs or savings accounts, but they come with greater risk. Mutual funds offer investors a way to diversify their holdings and potentially reduce their overall risk.

for more such questions on mutual funds

https://brainly.com/question/29837697

#SPJ11

FALSE. A person who buys a franchise does not have the same level of control as an entrepreneur who opens his or her own sole proprietorship.

A franchisee is required to follow the franchise agreement and operate the business according to the franchisor's standards and guidelines. The franchisor typically has a great deal of control over the franchisee's business, including the products or services offered, pricing, marketing, and more.

In contrast, an entrepreneur who opens his or her own sole proprietorship has complete control over the business and can make all the decisions about how to operate it.

Learn more about franchise

https://brainly.com/question/29376853

#SPJ4