Approximate real rate of interest

Assignment Help Accounting Basics
Reference no: EM13132381

If treasury bills are currently paying 7 percent and the inflation rate is 3.8 percent, what is the approximate real rate of interest? The exact real rate?

Reference no: EM13132381

Questions Cloud

What is omega after-tax wacc : It has also issued long-term bonds at an interest rate of 7 percent. It pays tax at a marginal rate of 35 percent.a. What is Omega's after-tax WACC?
What would you expect to observe when adding one drop : What would you expect to observe when adding one drop of iodine-potassium iodine reagent to each of the four carbohydrates?
How many grams of cah2 are needed : CaH2(s) + 2H2O(l) Ca(OH)2(aq) + 2H2(g) How many grams of CaH2 (Molar Mass = 42.1 g/mol)are needed to generate 10.0 L of H2 gas if the pressure of H2 is 769 torr at 28.0°C?
Describe how mass effects act to lower the carbonyl : Explain how mass effects act to lower the carbonyl frequency, as well as how inductive and hyperconjugation effects act to raise the carbonyl frequency of aldehydes relative to ketones.
Approximate real rate of interest : If treasury bills are currently paying 7 percent and the inflation rate is 3.8 percent, what is the approximate real rate of interest? The exact real rate?
How much energy in joules is required : How much energy in joules is required to heat 295 mL of coffee from 25.0  0C to 62.0  0C? Assume that the coffee has the same density, 0.997 g/mL, and specific heat capacity, 4.184 rm J/(gc. K) .
Freddie preparer penalty : Freddie purposely omitted $100,000 of cash receipts that should have been reported as gross income. Freddie charged Peggy $6,000 to prepare the return. What is Freddie's preparer penalty?
Game theory-two person zero sum game : Two armies are advancing on two cities. The first army has 4 regiments and the second army has 3 regiments. At each city, the army that send more regiments to the city captures both the city and the opposing army regiment.
Explain treatment of compound with ozone : A colorless liquid A (C3H6O) was soluble in water and ether, and had a boiling point of 94-96 degrees C. it decolorized a Br2-CH2Cl2 solution and gave a positive ceric nitrate test, Treatment of Compound A with ozone, followed by hydrolysis in the ..

Reviews

Write a Review

Accounting Basics Questions & Answers

  Effective annual rate of return

Rebello's preferred stock pays a dividend of $1.00 per quarter, and it sells for $55.00 per share. What is its effective annual (not nominal) rate of return.

  Determine the effect on net income

Garner has sufficient unused capacity to produce the 2,000 scales. If the special order is accepted, what will be the effect on net income?

  Change in accounting estimate

A change in an accounting estimate is: how much depreciation expense should the company recognize on December 31, 2010?

  Journal entry to distribute rozow''s total earnings

M. Rozow of Covington Manufacturing Co. is paid at the rate of $20 an hour for an 8 hour day with time and a half for over time and double time for Sundays and holidays.

  What are the pros and cons to toyota

Why do you think Toyota is expanding so aggressively outside of Japan instead of focusing more on manufacturing in Japan and exporting to other countries?

  Prepare the companys stockholders equity section

Melcher, Inc., originally sold 100,000 shares of its $10 par value common stock at $25 per share. Several years later the company repurchased 10,000 of these shares at $55 per share. Melcher currently holds those shares in treasury. Prepare the co..

  What is norms deductible loss

Norm did not file a claim against the insurance policy because of a fear that reporting the accident would result in a substantial increase in his insurance rates. His adjusted gross income was $14,000 (before considering the loss). What is Norm's..

  Accrual accounting for taxation

Solutions Corporation, a computer vendor and consulting company, uses the accrual method of accounting. Its tax year is the calendar year. The following are three of the corporation's transactions during the current year:

  Discuss the rationale underlying the design

Discuss the rationale underlying the design of the performance report you chose.

  Accounting for uncollectible accounts-allowance method

Open the Allowance for uncollectible accounts T-account, and post entries affecting that account. Keep a running balance. Show how Mountain Terrace Medical Center should report net accounts receivable on its December 31, 2012 balance sheet. Use the ..

  What is the contribution margin per unit sold

If 12,500 units are produced, what is the total of fixed manufacturing cost incurred to support this level of production?

  What is the danger in allocating common fixed costs

What is the danger in allocating common fixed costs among product lines or other segments of an organization?

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!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd