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What do you think are some of the effects of the adjustments

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Reference no: EM131027523

(1) You are having a meeting with the employees of Financial Outsourcing, Inc. During the meeting, you were asked several questions. Give your opinion to the questions.

- Why do you think the Federal government adjusts (raises or lowers) the prime interest rate?

- What do you think are some of the effects of the adjustments?

- Why do you think bankers, investors, lenders, and consumers closely follow the movement of the prime interest rate?

- What are some of the implications of a change in the prime rate?

- ''Annuities are not a wise choice for certain investors''. Do you agree with that statement? Write a brief paragraph explaining why or why not .

(2) During the meeting, several employees remark that some of the clients have asked advice about offering a trade discount for purchases in wholesale quantities.

- What do you tell them?

- Should they offer trade discounts?

- Is your response the same for all your clients? Explain your rationale.

Reference no: EM131027523

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