Expenses and revenues that relate directly to the principal revenue-generating activities of the company are classified as items on the income statement.
What do you understand by revenues and expenses?
Unlike profits and losses, revenues and expenses are not opposite financial results of the same activities. Rather, revenue is the term used to describe the income earned by providing the primary goods or services to the business, while cost is the term for the costs incurred in the process of producing or offering the primary business operation. Investors and analysts typically place much more weight on these metrics than losses or gains.
Revenue is the gross revenue a company receives when it sells its goods or services, and is sometimes simply referred to as "sales." Because there is always a set of costs (both fixed and variable) associated with production, these must be subtracted as costs from revenues to calculate the company's net profit.
To learn more about revenues and expenses, refer to:
brainly.com/question/12445858
#SPJ4
An increase in the debt ratio will generally have no effect on which of these items?
a. business risk
b. total risk
c. financial risk
d. market risk
An increase in the debt ratio will generally have no effect on business risk.
What is debt ratio?A debt ratio measures the amount of leverage used by a company in terms of total debt to total assets.This ratio varies widely across industries, such that capital-intensive businesses tend to have much higher debt ratios than others.A company's debt ratio can be calculated by dividing total debt by total assets.A debt ratio of greater than 1.0 or 100% means a company has more debt than assets while a debt ratio of less than 100% indicates that a company has more assets than debt.Some sources consider the debt ratio to be total liabilities divided by total assets.To learn more about debt ratio, refer: https://brainly.com/question/14553933
#SPJ4
An economic resource of an entity is? a revenue. an asset. a liability. a contra asset until used.
An economic resource of an entity is an asset.
An economic system is a place of the production, distribution and trade, in addition to the intake of products and services. In general, it's miles described as a social area that emphasize the practices, discourses, and cloth expressions related to the production, use, and control of scarce resources'.
The economy is described because of the control of monetary subjects for a community, enterprise or family. An instance of an economic system is the inventory marketplace machine withinside the United States. Careful control of wealth, resources, etc.; avoidance of waste via way of means of cautious making plans and use; thrift or thrifty use.
Learn more about the economy here: https://brainly.com/question/1106682
#SPJ4
The variable cost to produce a slice of cake is $1. the bakery wants to implement a two-part tariff. what per-unit-price should the bakery charge?
The variable cost to produce a slice of cake is $1. The bakery wants to implement a two-part tariff. Per-unit-price the bakery should charge must be equal to the per unit cost i.e. $1.
What is a variable cost?
Variable costs are company costs that change in proportion to how much the company produces or sells. Variable costs rise or fall based on a company's volume of production or sales—they rise as production rises and fall as production falls.
Examples of variable costs include a manufacturing company's cost of raw materials and packaging—or a retail company's credit card transaction fees or shipping costs that rise or fall with sales. Variable costs can be compared to fixed costs.
To learn more about variable cost, refer to:
brainly.com/question/14083670
#SPJ4
If the lowest limit sell order for ibm stock is $138 per share and the highest limit buy order is $136, the bid-ask spread on ibm stock is?
If the lowest limit sell order for IBM stock is $138 per share and the highest limit buy order is $136, the bid-ask spread on ibm stock is 2.
A stock is a form of protection that shows the holder has proportionate ownership in the issuing business enterprise and is sold predominantly on inventory exchanges. businesses trouble stock to raise funds to operate their companies. There are fundamental kinds of inventory: commonplace and favored.
Example, if a company has a hundred,000 stocks, and also you purchase 1,000 of them, you own 1% of the enterprise. proudly owning shares lets in you to earn extra from the organization's increase and gives you shareholder voting rights.
Learn more about stock here:https://brainly.com/question/25818989
#SPJ4
How does the overall economy benefit from you having a job?
You having a job contributes to the economy with taxes and with most jobs you're probably selling a good so the community is getting things they want, and these people who pay for it also are paying a tax on it, it also keeps you off the streets so you're not polluting your city.
Sam is paying off his eight-year, $15,360 loan in semiannual installments. The loan has an interest rate of 9. 58%, compounded semiannually, and a service charge of $1,294. 64. Once the loan has been fully paid off, what percentage of the total finance charge will the service charge be?.
The ideal response the service charge will make up 15.68% of the total finance charge.
Finance Charge, often known as the cost of borrowing or cost of credit, refers to the interest or fees that have accrued on the approved credit capacity; occasionally, there is also a flat charge for the charge. However, the majority of the time, it is the ratio of borrowing from an extended line of credit.
Finance charge overall
Given,
Sam makes semi-annual payments on a $15,360 loan.
$15,360 is amount A.
9.58% is the interest rate
Semi-annual compounding
Therefore, rate= 9.58%/2 = 4.79%.
number of cycles, n
P being a recurring payment,
Sam's total payment over 16 periods was
Since the service charge equals $1,294.64,
Total finance charge equals the sum of the payment plus the service fee.
Service fees will make up 15.68% of the total finance fees.
Learn more about finance charge here
brainly.com/question/298229
#SPJ4
Interdependence among individuals and interdependence among nations are both based on the gains from trade. True or false?.
It is true that two countries can benefit from trade even if one of them has a clear advantage in producing all goods. Each nation only needs to have a comparative advantage in one particular good.
When producing a specific good, agents in an economic model have a comparative advantage over rivals if they can do so at a lower relative opportunity cost or autarky price, that is, at a lower relative marginal cost before trade.
Your greatest skill and least amount of sacrifice are your comparative advantages. If you are a great babysitter and a great plumber, for instance, your comparative advantage is plumbing.
Developed by British economist David Ricardo in the 19th century, comparative advantage is an economic theory that links differences in relative opportunity costs, or the price paid for producing a given good, across nations, to the causes and benefits of international trade.
Learn more about comparative advantage here
https://brainly.com/question/14846093
#SPJ4
Wild fires destroy hundreds of homes on the west coast of the united states. what is this considered? group of answer choices
a. emergency
b. event
c. disaster
d. incident
3. how much potential value, if any, can american home products create for its shareholders at each of the proposed levels of debt?
The following is the potential value that AHP can create for its shareholders at each of the proposed levels of debt:
American Home Products(AHP) can reduce taxes by taking on more debt because the company will have a tax shield. On the other side, debt will result in decreased interest income. Tax shield less interest should be the value produced. At 30%, 50%, and 70% debt, the values generated for shareholders will be 52.7, 173, and 293.4 million. AHP will also have 52.7 million for the value created and 173 million for the tax shield.
American Home Products(AHP): American Home Products, one of the largest pharmaceutical concerns in the United States and a conglomerate that includes food and household-product divisions, is often referred to as “Anonymous Home Products” or the “withdrawn corporate giant.”
#SPJ4
List the steps of the rational model of decision making in the correct order, with the first step listed at the top and the last step listed at the bottom.
The steps of the rational model of decision making in the correct order (with the first step listed at the top and the last step listed at the bottom) includes as follows:
Identify the problem or opportunityThink of alternative solutionsEvaluate alternatives and select a solutionImplement and evaluate the solution chosen.What is the rational model of decision making?Basically, the decision making refers to the process of making choices by identifying a decision, gathering information and assessing alternative resolutions, the use of this process can help to make more deliberate and thoughtful decisions by organizing relevant information and defining alternative.
Going forward, the rational model of decision making involves an individuals using facts and information, analysis and a step-by-step procedure to come to a decision. This rational model is more advanced type of decision-making model.
Read more about decision making
brainly.com/question/1249089
#SPJ1
Three-factor authentication is most often implemented with a credit card. true false
The given statement is true. The use of identity-verifying credentials from three different categories of authentication elements, often the knowledge, possession, and inherence categories, is known as three-factor authentication (3FA).
What is Three-factor authentication?The use of identity-verifying credentials from three different categories of authentication elements, often the knowledge, possession, and inherence categories, is known as three-factor authentication (3FA). Secure authentication with several factors is far better. Authentication can be divided into three categories.
The first is knowledge-based and involves something that only the identified individual would know, like a password or PIN number. The second is property-based, meaning the user is in possession of a personal authorization device, such as an access card, key, or key fob. The third is based on biology.
Customers must enter a special PIN to prove their identity when using a credit card to pay for goods or services. The PIN is the second authentication element because the card's chip is the first component of two-factor authentication (something you have) (something you know).
Hence, The given statement is true.
To learn more about Authentication refer to:
https://brainly.com/question/28498874
#SPJ4
Job __________ centers increasing the number of tasks an employee has to perform at a given time.
Job enlargement refers to increasing the number of tasks an employee has to perform at a given time.
Job enlargement is the horizontal expansion of duties or tasks across the same organizational level. it refers to an increase in the number of tasks to be performed by an employee at a given time. In job enlargement, new tasks with the same level of skills and difficulty are added to the existing job duties of an employee.
Some important features of job enlargement are:
Job enlargement gives an edge when a company faces a shortage of staff, in such a scenario additional tasks would be assigned to available employees.Job enlargement allows an employee to perform a variety of tasks, thus reducing monotony and increasing motivation.Job enlargement maximizes the use of an employee’s skills.No special training is required in job enlargement. It is because new tasks assigned to employees are the same as the ones which they are already performing.You can learn more about job enlargement at
https://brainly.com/question/13565272
#SPJ4
When working together on a group writing project, what is the most important stage of the process?
When working together on a group writing project, planning is the most important stage of the process?
What do you understand by team planning?
Team planning is the process of making strategies and operational plans for the team. It includes strategically aligning the team's work to the overall direction of travel for the business.
It provides a clear roadmap to success by making the strategic objectives for your team and breaking these down into specific projects, goals, and tasks. Instead of focusing on day-to-day tasks, team planning allows one to zoom out and see the bigger picture of the scenario.
To learn more about team planning, refer to:
brainly.com/question/4271026
#SPJ4
Consider the market for cheese.
What will be the consequences if the price of milk increases?
A. The demand for cheese would decrease
B. The supply of cheese would decrease
C. The demand for cheese would increase
D. The suppl of cheese would increase
Answer:
the answer is b
Explanation:
the answer is b because you need milk to make cheese and without milk less cheese is made
If actual production totals 6,000 units, which is within the relevant range, the flexible budget would show fixed costs of:_______
The fixed cost as per the static budget is $12,000.
What is a fixed cost?Fixed costs, sometimes referred to as indirect costs or overhead costs in accounting and economics, are costs incurred by a corporation that are independent of the volume of goods or services the company produces. They frequently occur again and again, like monthly rent or interest payments. These expenses are often capital expenses as well.Costs that are fixed are those that don't change based on volume. Most fixed costs are expenses that depend more on time than on how much your company produces or sells. Rent and leasing charges, salary, energy prices, insurance, and loan repayments are a few examples of fixed costs.Rent and mortgage payments are two examples of fixed expenses. Auto loans. Additional loan paymentsTotal production costs — (Variable cost per unit multiplied by the number of units produced) = Fixed costs.Compute the fixed cost as per the static budget as shown below:
Fixed cost-Number of units under static budget Fixed cost per unit
=-4,000 units*$3
=$12,000
Thus, the fixed cost as per the static budget is $12,000.
Fixed cost
Fixed cost remains the same even though there is a change in the level of activity subject to
the condition that the actual production is within the relevant range As the actual production of 5,000 units is within the relevant range of production the fixed
cos does not change
Thus, the amount of fixed cost is $12,000, and the correct option is Option $12.000
If actual production totals 6,000 units, which is within the relevant range, the flexible budget would show fixed costs of: $12.000.
To learn more about fixed costs, refer to:
https://brainly.com/question/20670674
#SPJ4
What form of business ownership did troy smith select when he first made the decision to be an entrepreneur? corporation partnership franchise cooperative sole proprietorship
Sole proprietorship
Sole proprietorship can be defined as the simplest form of business in which a person can run a business; it simply refers to a business that is owned, and usually managed, by one person. Troy Smith initially started his root beer stand "Top Hat" as a sole proprietorship.
There are forms of business entities or forms of business ownership that are legal entities and some are not. What is meant by a legal entity is a business entity that has its own assets! separated from the assets of its founders or management. Businesses in the form of legal entities are:
Limited Liability Company Cooperatives and Business FoundationsThat are not in the form of legal entities are:
Sole proprietorshipsFirm partnershipsLimited partnershipsThere are various forms of business ownership. Which form will be chosen depends on the act of considering the form of leadership of the capital structure, responsibility for the company's debts and receivables, and the continuity of the company. Forms of business ownership include:
Sole Proprietorship Limited Liability Company (PT) Firm CV Cooperative FoundationYou can learn more about Sole proprietorship here brainly.com/question/1428023
#SPJ4
The most valuable investment given up if an alternative investment is chosen is referred to as a(n):__________
The most valuable investment given up if an alternative investment is chosen is referred to as a(n) opportunity cost.
Funding is the determination of an asset to gain an increase in cost over a time frame. investment requires a sacrifice of some present asset, along with time, cash, or attempt. In finance, the motive of making an investment is to generate a go back from the invested asset.
An investment is an asset or object acquired with the goal of generating profits or appreciation. Appreciation refers to an increase in the value of an asset over time. whilst an character purchases a good as an investment, the purpose isn't to devour the good but alternatively to use it within the future to create wealth.
Making an investment is the act of purchasing monetary property with the capacity to growth in cost, inclusive of shares, bonds, or stocks in alternate Traded price range (ETF) or mutual price range.
Learn more about investment here:https://brainly.com/question/25300925
#SPJ4
_____ are laws that require a company earning foreign currency from its exports to sell the foreign currency to a control agency, usually a central bank.
Exchange control are laws that require a company earning foreign currency from its exports to sell the foreign currency to a control agency, usually a central bank.
The Reserve financial institution of India, is the custodian of the country foreign exchange reserves and is vested with the obligation of managing their investment. The prison provisions governing management of forex reserves are laid down in the Reserve financial institution of India Act, 1934.
An Act to consolidate and amend the regulation regulating sure bills, dealings in foreign exchange and securities, transactions not directly affecting forex and the import and export of forex, for the conservation of the forex resources of the united states and the proper utilization thereof
Alternate controls are authorities-imposed limitations on the acquisition and/or sale of currencies. These controls allow international locations to higher stabilize their economies by using proscribing in-flows and out-flows of forex, which could create alternate price volatility.
Learn more about the foreign exchange here: https://brainly.com/question/2202418
#SPJ4
You have created a small worksheet and need to calculate the amount of inventory you have left from widget a month after month. when creating your formulas, what do you need to consider?
You've made a tiny worksheet and need to figure out how much widget inventory you still have each month. We must take cell references into account when developing our calculations.
What is Cell reference?
A cell reference is a spreadsheet term that denotes the name or address of a particular cell or range of cells. In Excel calculations, a cell reference is frequently utilised as a variable. In order to express a cell reference in Excel, we must first supply the column name and then the cell's row number.Cell references are mostly used by the Excel programme to locate a cell within a worksheet and read or use its data in the formula supplied to produce the result. Even whether the relevant cell is located on the same sheet, a separate sheet, or a different workbook, we can use cell references or a range of several cells in other cells when generating a formula.To know more about Cell reference visit:
https://brainly.com/question/28435984
#SPJ4
How+long+will+it+take+for+an+investment+to+double+at+a+3%+per+year?
(a) simple+interest+rate
(b) compound+interest+rate
It will take for an investment to double at a 3% per year simple interest rate.
Funding is the determination of an asset to obtain a boom in fee over a time period. investment calls for a sacrifice of some present asset, inclusive of time, cash, or effort. In finance, the motive of making an investment is to generate a go back from the invested asset.
An investment is an asset or item obtained with the aim of producing earnings or appreciation. Appreciation refers to a boom in the cost of an asset through the years. while a character purchases an amazing as funding, the rationale is not to devour the best but alternatively to use it inside the future to create wealth.
The maximum common examples of funding sorts. Investment, in preferred, refers to the acquisition of something for destiny use with the aim of producing everyday coins that go with the flow or increasing the value of something over time so that it is able to be offered for a higher fee than it becomes bought for, i.e. capital profits.
Learn more about investment here:https://brainly.com/question/25300925
#SPJ4
This question is incomplete. Look below for the proper question.
How long will it take for an investment to double at 3% per year?
(a) simple interest rate
(b) compound interest rate
If the equipment is sold at the end of year 4 for $30,000, what is the depreciation recapture on this equipment?
The depreciation recapture conditions for properties and equipment vary.
Solution:
Depreciation per year = (P-S)/N = (50000 - 10000) / 5 = 40000 / 5 = 8000
BV at end of 4 yrs = 50000 - 4 * 8000 = 50000 - 32000 = 18000
Depreciation recapture = 30000 - 18000 = 12000.
Depreciation expense is incurred when the rental property is sold. Depreciation recovery is the process used by the IRS to collect taxes on gains made on an income property and to recoup the gains received by using depreciation to reduce taxable income. Capital gains tax applies to the recovery of depreciation expenses affecting real estate and land. However, depreciation of equipment and other assets does not include capital gains tax. Avoid re-depreciation by selling assets for less than book value.
Learn more about The depreciation recapture here:-https://brainly.com/question/14316362
#SPJ4
Suppose+stock+is+expected+to+pay+a+$0.50+dividend+every+quarter+and+the+required+return+is+10%+with+quarterly+compounding.+what+is+the+price?.
The price is $20.
Stock valuation is a technique for determining hypothetical values for businesses and their stocks.
What is meant by stock Valuation?
Stock valuation is a technique for determining hypothetical values for businesses and their stocks. In order to profit from price movement, these methods are primarily used to forecast future market prices, or more generally, potential market prices.
Stocks that are deemed to be undervalued (in relation to their theoretical value) are bought, while stocks that are deemed to be overvalued are sold, with the expectation that undervalued stocks will generally increase in value while overvalued stocks will generally decrease in value.
The price-to-earnings (P/E) ratio of the corporation is the most used method of stock valuation. The P/E ratio is calculated by dividing the stock price by the most recent reported earnings per share for the company (EPS). A low P/E ratio suggests that a company is offering an appealing amount of value to the person purchasing it.
[tex]P_{0} =.50/(.1/4)=[/tex] $20.
To learn more about stock Valuation refer to:
https://brainly.com/question/25818989
#SPJ4
Which type of cost flows through the formal accounting records in a standard cost system?
Standard cost system: Cost system in which standard, not actual, cost flow through the formal accounting records -Regardless of whether a standard cost system is used, standard costs can be useful at the end of the period for financial control purposes.
What is standard costing?By dividing the standard cost by the overall quantity, in this case 4634 units, the corporation may calculate the cost of producing one pair of running shoes. The business can plan the manufacturing budget and determine the ultimate selling price of the product using the standard costing value.You must multiply the rate of each by the quantity to get these costs (in units or hours). For instance, if the cost of direct materials is $10 and the unit size is 20 pounds, $10 would be multiplied by 20 to equal $200. This would be the typical price for only the direct materials.Companies that use standard costing for inventory assign predetermined costs to inventory items. This method is used to monitor and control inventory costs and levels, and it can be useful when creating budgets and making decisions.Using predetermined standard costs for direct materials, direct labor, and industrial overheads, standard costing is an accounting method. The first cost management method is budgetary control, and the second is standard costing. Additionally, it is one of the most recent advancements in cost accounting.Standard cost system: Cost system in which standard, not actual, cost flow through the formal accounting records -Regardless of whether a standard cost system is used, standard costs can be useful at the end of the period for financial control purposes.
To learn more about Standard cost system, refer to:
https://brainly.com/question/24064163
#SPJ4
Bob has saved $580 each month for the last 3 years to make a down payment on a house. the account earned an interest rate of .43 percent per month. how much money is in bob's account?
As we know--
FVA = P * ((1 + r)n- 1 / r)
Where, FVA is future value of annuity, P is the periodical amount = $580, r is the rate of interest = 0.43% per month and n is the time period = 3 * 12 = 36 months.
Now, putting these values in the above formula, we get,
FVA = $580 * ((1 + 0.43%)36- 1 / 0.43%)
FVA = $580 * ((1 + 0.0043)36- 1 / 0.0043)
FVA = $580 * ((1.0043)36 - 1 / 0.0043)
FVA = $22530.58 is the answer.
In finance and economics, interest is price from a borrower or deposit-taking economic group to a lender or depositor of an quantity above reimbursement of the predominant sum, at a specific rate. it is awesome from a rate which the borrower may additionally pay the lender or a few 1/3 party.
Learn more about interest here:https://brainly.com/question/2294792
#SPJ4
True or false: virtually all economists agree that a useful estimator must be unbiased.
a. true
b. false
Answer:
false
Explanation:
oodhdhshs8swkkwwowowow
What have workers traditionally been interested in when it comes to the goals and objectives of the workplace?
Workers have historically been interested in the goals and objectives of the workplace when it comes to better working conditions, fairness in the legal system, wages , and possibilities.
A wage is the payment made to employees for the time they put in working for their employer. Always depending on a specific period of time, wages are paid. On an hourly basis, typically. This is the origin of the phrase hourly worker. Salary and commissions are some more types of payment.
wage for lower level employees is determined by the number of hours worked. To record the number of hours worked each week, these personnel typically use a time sheet or time card. To keep track of hourly employee hours, the majority of modern firms use computerized systems.
To enter their hours worked, employees must log in and out of the system. Then, these personnel are wage either once a week or once every other week, depending on the state. If an hourly worker works more than 40 hours per week, they must be compensated for overtime.
Learn more about wage here
https://brainly.com/question/13847060
#SPJ4
On december 27, 2022 , abc, inc receives a $5,000 deposit by a customer for some remodeling that is scheduled to be started on december 29, 2022 and completed on january 3, 2023. The company president tells the accountant to go ahead and book the $5,000 as revenue since the completion of the project will only take a few days. What is the ethical dilemma involved?.
The Revenue Recognition idea is the source of the problem. A service cannot be recorded as revenue until it has been rendered.
According to the idea of revenue recognition, we can only record revenue under the accrual basis of accounting after a business has finished the process of generating revenue. Therefore, if a company is getting money in an obstruction when a consumer makes a payment, the entity can record it as a liability rather than a profit. after the completion of they might acknowledge the cash as compensation for all work. Therefore, the president's call to record consumer payments as income for renovation work that hasn't yet been finished is wrong.
So, The Revenue Recognition idea is the source of the problem. A service cannot be recorded as revenue until it has been rendered. The revenue cannot be recorded prior to January 3rd due to the remodelling project's impending completion.
Learn more about revenue here
https://brainly.com/question/8645356
#SPJ4
If you have many competing financial goals, what should you do to help yourself focus on the most important ones? a. get more unearned income. b. prioritize and make a budget. c. open a checking account. d. diversify your investments. please select the best answer from the choices provided a b c d
If you have many competing financial goals, you should b. prioritize and make a budget.
A budget is a tool for managing goals, costs, and income while working toward financial success over a certain period of time. Budgets are plans for spending money based on income and expenses. In other words, it's a forecast of your earnings and spendings for a given period of time, such as a month or a year.
Recognize your feelings around money. How you keep track of your income and expenses will determine how much money you have to save or spend. You can choose where to make modifications when you can spot patterns.
Put away enough cash for the future. A good budget pushes you to save money for both an emergency fund and other goals like a trip or retirement.
Learn more about Budget here:
https://brainly.com/question/18958223
#SPJ4
When retailers collect sales taxes from customers, the taxes collected are recorded as:________
a. unearned sales taxes revenue.
b. sales.
c. sales taxes payable.
d. cash.
When retailers collect sales taxes from customers, the taxes collected are recorded as Sales or Sales taxes payable.
What are Sales taxes payable?A sales tax is a fee that is paid to the government when specified goods and services are sold. Typically, laws permit the vendor to charge the customer the tax at the time of purchase.
Use taxes are typically used to describe taxes on goods and services that consumers pay directly to a governing authority.
The sale and use tax are frequently exempted for some goods and services, including food, education, and medical. A sales tax is similar to a value-added tax (VAT) that is levied on products and services.
To learn more about Sales taxes payable, refer to:
https://brainly.com/question/16959392
#SPJ4
Given an anticipated inflation premium of 1. 45% and a real rate of interest of 4. 34%, what is the nominal interest rate? round your answer to 4 decimal places.
The nominal interest rate is 5.85% when given an anticipated inflation premium of 1. 45% and a real rate of interest of 4. 34%,
The expectation regarding rising inflation will results in a higher long-term rate of interest as many lenders and borrowers can build an increased type of inflation premium. The nominal interest rate is defined as the percentage of increase in money which pay the lender for using the money which you borrowed. A real interest rate is the type of interest rate which has been adjusted to remove those effects caused by inflation.
Here the rate of Inflation Premium is given as = 1.45%
The given rate of Real Interest Rate = 4.34%
The formula which is used for the calculation of nominal interest rates is given as,
( 1 + Nominal Interest Rates ) = ( 1 + Real Interest Rate ) × ( 1 + Inflation Premium Rate )
Nominal Interest Rate = { ( 1 + Real Interest Rate ) × ( 1 + Inflation Premium Rate ) } - 1
Nominal Interest Rate = { ( 1 + 0.0434 ) × ( 1 + 0.0145 ) } - 1
Nominal Rate = 5.85%
Hence, the nominal rate of interest is calculated as 5.85%
Learn to know more about the calculation of the nominal rate of interests on
https://brainly.com/question/15685681
#SPJ4
