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What is compound interest? Compare compound interest to discounting.Compound interest takes place while interest is earned on interest and on the original principal of an investment. Discounting is the opposite of compounding. Compound interest causes the value of a starting amount to increase at an increasing rate. Discounting sources the present value of a future amount to decrease at an increasing rate.
How would you judge the potential profit of Bajaj Electronics on the first year of sales to Booth Plastics and give your views to increase the profit.
Suppose that the Fed buys $1 million of bonds from the First National Bank. If the First National Bank and all other banks use the resulting increase in reserves to purchases bonds
The actual risk-free rate is 4%. Inflation is likely to be 3% this year and 4% during the next 2 years. We suppose that the maturity risk premium is zero. What is the yield on 2
Why do we need to learn finance The questions that you may thinking about right now are "Why do we need to learnfinance? Shall we not leave it to people who are going to speci
what business organization do you preffer ? service concern,trading concern or manufacturing concern
Q. Describe Modigliani and Miller Approach of Capital Structure? Ans. Modigliani as well Miller Approach: - The Modigliani-Miller approach is alike to the net operating income
what are the assumptions of MM(Modigliani Miller) approach
When are the financial crises occurred? Financial crises arise where there is a large raise in asymmetric information into financial markets. Asymmetric information arises whil
Insurance companies The primary purpose of insurance companies is to protect individuals and firms known as policy-holders from adverse events. Insurance companies receive prem
Question 1 You have been asked by the president of your company to evaluate the proposed acquisition of a new special purpose truck. The truck's basic price is Rs.50,000 and i
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