Private goods are the type of goods that are owned by individuals.
Private goods are the type of goods that are owned by individuals. Private goods are available for sale and can only be used by individuals who have paid for them. Private goods are characterized by rivalry and excludability.
Rivalry implies that the consumption of a product by one individual decreases the availability of the product for consumption by another individual.
Excludability implies that individuals who have not paid for the good cannot access or use the good.
Examples of private goods include clothing, cars, and houses. These goods fit the definition of private goods because they can only be accessed and used by individuals who have paid for them.
Private goods impact income inequality because individuals who can afford to purchase private goods will have access to better quality products than individuals who cannot afford to purchase them. This leads to income inequality as some individuals can enjoy a better quality of life than others. Additionally, the production of private goods may require the use of natural resources that are not available to everyone, which further exacerbates income inequality.
Learn more about Private goods: https://brainly.com/question/31857784
#SPJ11
QUESTION S
When the NPV of a capital expenditure proposal is greater than zero, what would be the most likely conclusion about the IRR? O a IRR will be greater than the cost of capital Ob IRR may be greater or less than the cost of capital Oc IRR cannot be determined from the NPV information Od IRR will be equal to cost of capital.
The most likely conclusion about the Internal Rate of Return (IRR) when the Net Present Value (NPV) of a capital expenditure proposal is greater than zero is that the IRR may be greater or less than the cost of capital (option B).
The IRR is the discount rate at which the NPV of a project becomes zero. When the NPV is greater than zero, it indicates that the project's cash inflows exceed the initial investment and the required rate of return. In this case, it implies that the project is generating positive returns and is considered financially viable.
However, the exact value of the IRR cannot be determined solely based on the NPV information. The IRR represents the rate of return at which the NPV becomes zero, but it can vary depending on the cash flows and timing of the project. It is possible for the IRR to be greater than the cost of capital, indicating a higher return than expected, or it could be lower, suggesting a lower return than the cost of capital.
Therefore, the most likely conclusion is that the IRR may be greater or less than the cost of capital when the NPV of a capital expenditure proposal is greater than zero.
Learn more about financially here:
https://brainly.com/question/32292990
#SPJ11
Min has decided that she would like to spend $57,600 per year in retirement. If she expects to be retired for 24 years, and her investments will continue to earn 5% in retirement, how much does she have to have accumulated before she can retire?
The Min needs to have accumulated approximately $890,640 before she can retire in order to meet her retirement income goal.
To calculate the amount Min needs to have accumulated before retiring, we can use the formula for the present value of an annuity:
PV = PMT × (1 - (1 + r)⁻ⁿ) / r
Where:
PV = Present Value (accumulated amount)
PMT = Payment per year in retirement ($57,600)
r = Interest rate per year (5% or 0.05)
n = Number of years in retirement (24)
Substituting the given values into the formula, we can calculate the present value:
PV = $57,600 × (1 - (1 + 0.05)⁻²⁴) / 0.05
PV = $57,600 × (1 - 0.223) / 0.05
PV = $57,600 × 0.777 / 0.05
PV = $890,640
Therefore, Min needs to have accumulated approximately $890,640 before she can retire in order to meet her retirement income goal.
To know more about income
https://brainly.com/question/30157678
#SPJ4
You need to draw supply and demand graphs for each of the examples.
Shift either supply or demand. Find the new equilibrium. And
indicate what happens to the price and quantity of each of the
guts.
Supply and Demand Illustrate graphically and state what will happen to equilibrium price and quantity in each of the following markets. Assume a competitive market and an upward-sloping supply curve. a. Football tickets: a lockout occurs and shortens the#of games in the seasons(Fans are not disgruntled) b: Griffins tickets: Red Wings ticket prices fall (Assume griffins and red wings are substitutes) c. Griffins tickets: Population in Grand Rapids, MI surges rapidly d. Basketball tickets: A players strike occurs that causes fans to be disgruntled once the season resumes e. Food inside a stadium: The cost of renting a stadium increases f. Single a baseball: Stadium management group offers dollar beer and dollar hot dog specials g. Single A baseball(an inferior good): The income of consumers increases h. Major league baseball(a normal good): The income of consumers increases i. Texas Rangers-ticket: Globe Live park, Texas Rangers new climate-controlled ballpark opens j. Tom Brady jerseys: Brady win the Superbowl (again)
Football tickets: A lockout occurs and shortens the number of games in the season (Fans are not disgruntled)
In this case, the supply of football tickets would decrease due to the lockout, resulting in a leftward shift of the supply curve.
Single A baseball (an inferior good): The Income of consumers increases
If the income of consumers increases and Single A baseball is considered an inferior good, the demand for Single A baseball tickets would decrease. This results in a leftward shift of the demand curve. The supply curve remains unchanged. The new equilibrium will occur at a lower price and a lower quantity. The price of Single A baseball tickets will decrease, and the quantity of tickets sold will also decrease.
If the income of consumers increases and Major League Baseball is considered a normal good, the demand for Major League Baseball tickets would increase. This leads to a rightward shift of the demand curve. The supply curve remains unchanged. The new equilibrium will occur at a higher price and a higher quantity. The price of Major League Baseball tickets will increase, and the quantity of tickets sold will
Learn more about Income here:
https://brainly.com/question/14732695
#SPJ11
Hildreth Company uses a job order cost system. The following data summarize the operations related to production for April, the first month of operations: Materials purchased on account, $2,510. Materials requisitioned and factory labor used: Job No. Materials Factory Labor 101 $2,280 $2,480 102 2,780 3,350 103 1,850 1,640
The total cost for all three jobs in April is $4,760 + $6,130 + $3,490 = $14,380.
In a job order cost system, costs are accumulated for each individual job or order. To calculate the total cost for each job, we need to add the materials purchased and the factory labor used for each job.
For Job No. 101, the materials purchased are $2,280 and the factory labor used is $2,480. So, the total cost for Job No. 101 is $2,280 + $2,480 = $4,760.
For Job No. 102, the materials purchased are $2,780 and the factory labor used is $3,350. So, the total cost for Job No. 102 is $2,780 + $3,350 = $6,130.
For Job No. 103, the materials purchased are $1,850 and the factory labor used is $1,640. So, the total cost for Job No. 103 is $1,850 + $1,640 = $3,490.
Learn more about factory labor from the given link:
https://brainly.com/question/30547287
#SPJ11
Which statement is TRUE?
a. A firm should try to maximize its current and quick ratios; maximum liquidity is good. b. A decrease in the equity multiplier (EM) means the firm is using more debt relative to equity than it has in the past.
C. The DuPont equation includes an asset management ratio, but no liquidity ratios.
d. The quick ratio is a profitability ratio.
The statement that is true is B. A decrease in the equity multiplier (EM) means the firm is using more debt relative to equity than it has in the past. The equity multiplier.
EM, measures how much debt a company is using compared to equity. An increase in the EM ratio means the firm has taken on additional debt or reduced equity relative to the amount of debt, while a decrease in the EM means the firm is using more debt relative to equity than it has in the past.
EM is one component of the DuPont equation, which measures a firm's financial performance, and it does not include any liquidity ratios. The quick ratio is a liquidity ratio, which measures a company’s ability to repay its short-term debt obligations without resorting to the sale of inventory.
While it is good for a firm to have a good liquidity measure, as good current and quick ratios indicate the ability to pay short-term liabilities, it should also strive to maximize its EM to maintain a balance between debt and equity and to maximize shareholder value.
Know more about statement here
https://brainly.com/question/33442046#
#SPJ11
You are appointed the Chief Human Resource Manager at Jupundik Ltd and one of your immediate tasks is to ensure continuity of a positive work culture within the company. The company was started in the year 2019 and despite the Covid-19 pandemic and disruptions, it has emerged as one of the best companies in the textile industry. Due to employee-friendly policy of the current management team, the morale of the 50 employees who worked in the company during the year is very high and a culture of team work has become the norm. Recently, however, the company lost its Senior Financial analysts due to Ebola, leaving two junior analysts to manage the department. In the same year, two supervisors in the production department left the company for greener pastures in U.S.A. The company is considering hiring new employees to fill the gap left by the three staff.
Required: a) Calculate the rate of turnover in Jupundik Ltd
To calculate the rate of turnover in Jupundik Ltd, we need to determine the number of employees who have left the company within a specific time period relative to the average number of employees during that period. In this case, we will consider the turnover rate for the year.
Given information:
- The company started in 2019 with 50 employees.
- Two supervisors in the production department left.
- The Senior Financial analysts left due to Ebola.
To calculate the turnover rate, we need to know the number of employees who left during the year and the average number of employees during that period.
Number of employees who left = 2 supervisors + 1 Senior Financial analyst = 3
Average number of employees during the year = (Number of employees at the start of the year + Number of employees at the end of the year) / 2
Since we don't have information about the number of employees at the end of the year, we can assume it remained the same as the start of the year.
Average number of employees during the year = (50 + 50) / 2 = 50
Turnover rate = (Number of employees who left / Average number of employees) x 100
Turnover rate = (3 / 50) x 100 = 6%
The turnover rate in Jupundik Ltd for the year is 6%. This indicates that 6% of the workforce left the company during the year, which includes the two supervisors in the production department and the Senior Financial analyst.
More on turnover rate: https://brainly.in/question/19229443
#SPJ11
When exchange rates are determined by the global supply and demand for currencies, we elaim that exchango ra4es are: Wiil cawase a nominal interest rate differential Will cause a real interest nate differential resulf in seppmentied capital markets freely floating
Exchange rates are determined by the global supply and demand for currencies. This means that they are freely floating, and not managed or manipulated by any central authority, government, or bank.
Real interest rate differentials are closely related to the exchange rate. In a freely floating exchange rate system, interest rate differentials are responsible for generating capital flows. Capital flows are the financial transactions that take place between countries. They occur when money flows from one country to another, and they have an impact on the exchange rate.
Nominal interest rate differentials, on the other hand, have little impact on the exchange rate. This is because they only reflect inflation expectations, which is not a significant factor in the exchange rate determination.
To know more about central authority visit:
https://brainly.com/question/20922422
#SPJ11
Provide four ethical issues if the secret to teamwork isn't
managing personalities?
Recognizing and managing personalities within a team is essential to uphold ethical principles such as fairness, respect, transparency, and the well-being of individuals. Failing to address these ethical issues can result in a dysfunctional team environment, hinder productivity, and compromise the overall success of the organization.
four ethical issues if the secret to teamwork isn't managing personalities-
1. Fairness and Equality: If the focus is solely on teamwork and not managing personalities, there is a risk of disregarding the individual needs and contributions of team members. This can lead to unequal distribution of workload, favoritism, or exclusion of certain team members, raising ethical concerns related to fairness and equality.
2. Respect and Dignity: Ignoring the management of personalities can result in a lack of respect and consideration for individual differences, leading to disrespectful behavior, conflicts, or bullying within the team. Failing to address these issues can compromise the ethical principle of treating others with dignity and respect.
3. Communication and Transparency: Effective teamwork requires open and honest communication. If personalities are not managed, there may be a lack of clear communication channels, transparency, or the opportunity for team members to express their opinions and concerns. This can hinder trust-building and ethical decision-making processes.
4. Psychological Well-being: Neglecting to address personality dynamics can have negative impacts on the psychological well-being of team members. It can contribute to stress, anxiety, and a hostile work environment, which can be detrimental to the mental health and overall well-being of individuals. Prioritizing the psychological well-being of team members is an ethical responsibility for organizations.
To know more about psychological, visit:
https://brainly.com/question/31197260
#SPJ11
Bond valuation-Semiannual interest Find the value of a bond maturing in 6 years, with a $1,000 par value and a coupon interest rate of 14% ( 7% paid semiannually) if the required return on similar-risk bonds is 17% annual interest ( 8.5% paid semiannually). The present value of the bond is $ (Round to the nearest cent.)
The present value of the bond is $815.47.
To calculate the present value of the bond, we need to discount the future cash flows (coupon payments and the face value) at the required return rate. In this case, the bond has a 6-year maturity, a $1,000 par value, and a coupon interest rate of 14% (7% paid semiannually).
First, we need to determine the number of coupon payments, which is twice the number of years to maturity (6 years * 2 = 12 semiannual periods). Then, we can calculate the present value of each coupon payment using the semiannual interest rate of 8.5%.
Using the present value of an annuity formula, the present value of the coupon payments is calculated as follows:
PV = (C/r) * [1 - (1/(1+r)^n)]
Where:
PV = Present value
C = Coupon payment
r = Required return rate per period
n = Number of periods
PV = (35 / 0.085) * [1 - (1 / (1 + 0.085)^12)] = $729.42
Next, we need to calculate the present value of the face value (par value) at the end of the bond's maturity. The face value is discounted using the required return rate of 17% (8.5% semiannually).
PV = 1,000 / (1 + 0.085)^12 = $86.05
Finally, we sum up the present values of the coupon payments and the face value to find the total present value of the bond:
Present value = PV of coupon payments + PV of face value
Present value = $729.42 + $86.05 = $815.47
Therefore, the present value of the bond is $815.47.
To know more about Coupon payment, visit:
https://brainly.com/question/29036738
#SPJ11
M works as a data scientist at an oil company. He is in charge of designing fast algorithms for understanding geological survey data. M came across a data matrix A = Ik of size kx k. Here k > 21. His manager asked him to study 2 matrices Cl = A - B and C2 = (A+ B)^-1 where B € R^kxk.
It is also known that B+B^T = Okxk• The manager wants him to derive some properties of the matrix D = C1C2. (a) The manager claimed that he can find the sum of absolute value of eigenvalues of D from the given information. M thinks this is not possible. (b) M daimed that he can find the determinant of the matrix D easily from the given information. To this Manager replied that M's claim is wrong. (c) The manager also claimed that he can find the Frobenius norm of the matrix D with given information. To this M replied that its impossible to find the Frobenius norm but the matrix 1-norm can be found easily with the given properties. Who is telling the truth. Prove or disprove each of the state-ments
The main answer is as follows:
(a) M is correct. The sum of the absolute values of the eigenvalues of matrix D cannot be determined solely based on the given information. The properties of matrices Cl and C2 do not provide enough information to derive the eigenvalues of matrix D. The manager's claim is not valid.
(b) The manager is correct. The determinant of matrix D cannot be determined solely based on the given information. The determinant of matrix D depends on the values of matrices Cl and C2, which are not provided in the given information. M's claim is not valid.
(c) M is correct. The Frobenius norm of matrix D cannot be determined solely based on the given information. The Frobenius norm depends on the specific values of matrices Cl and C2, which are not provided in the given information. However, the matrix 1-norm can be easily found using the given properties. Therefore, M's statement regarding the Frobenius norm and matrix 1-norm is valid.
(a) The manager claimed that he can find the sum of the absolute values of the eigenvalues of matrix D (denoted as |λ1| + |λ2| + ... + |λk|) from the given information. M thinks this is not possible.
M is correct. It is not possible to determine the sum of the absolute values of the eigenvalues of matrix D based solely on the given information. The properties of matrices Cl and C2 do not provide enough information to derive the eigenvalues of matrix D. Eigenvalues depend on the specific values of matrices A and B, which are not provided in the given information. Therefore, the manager's claim is not valid.
(b) M claimed that he can find the determinant of the matrix D easily from the given information. The manager replied that M's claim is wrong.
The manager is correct. It is not possible to determine the determinant of matrix D based solely on the given information. The determinant of matrix D depends on the values of matrices Cl and C2, which are not provided in the given information. Therefore, M's claim is not valid.
(c) The manager claimed that he can find the Frobenius norm of the matrix D with the given information. M replied that it is impossible to find the Frobenius norm, but the matrix 1-norm can be found easily with the given properties.
M is correct. The Frobenius norm of matrix D cannot be determined solely based on the given information. The Frobenius norm depends on the specific values of matrices Cl and C2, which are not provided in the given information. However, it is possible to determine the matrix 1-norm (also known as the column sum norm) of matrix D using the given properties. The matrix 1-norm is the maximum column sum of the matrix and can be easily computed. Therefore, M's statement regarding the Frobenius norm and matrix 1-norm is valid.
To know more about matrix, Frobenius norm visit:
https://brainly.com/question/29132693
https://brainly.com/question/32550412
#SPJ11
(a) Why is the originate-to-distribute business model of the shadow banking system
subject to the principal-agent problem?
(b) In what ways are the economic downturn caused by the COVID-19 pandemic similar
to a financial crisis?
(c) Can the COVID-19 pandemic lead to a financial crisis? Explain your answer.
(a) The originate-to-distribute business model of the shadow banking system is subject to the principal-agent problem due to the separation of ownership and control, creating misaligned incentives and potential conflicts of interest.
(b) The pandemic-induced downturn resulted in business closures, layoffs, and reduced consumer spending, similar to the impact of a financial crisis.
(c) The COVID-19 pandemic has the potential to lead to a financial crisis, although it depends on various factors.
How does the principal-agent problem affect the originate-to-distribute business model of the shadow banking system?(a) The originate-to-distribute business model of the shadow banking system is subject to the principal-agent problem due to the separation of ownership and control, creating misaligned incentives and potential conflicts of interest.
In this model, the original lenders act as agents who originate loans and then sell them to investors, who are the principals.
The agents may prioritize their own short-term interests, such as generating fees, over the long-term risks associated with the loans they originate.
This misalignment of interests can result in the origination of low-quality loans, which can lead to financial instability.
(b) The economic downturn caused by the COVID-19 pandemic is similar to a financial crisis in several ways.
Both events involve a significant disruption to economic activity and a widespread loss of confidence in the financial system.
The pandemic-induced downturn resulted in business closures, layoffs, and reduced consumer spending, similar to the impact of a financial crisis.
Governments and central banks have also implemented fiscal and monetary measures to stimulate the economy and stabilize financial markets, mirroring actions taken during a financial crisis.
(c) The COVID-19 pandemic has the potential to lead to a financial crisis, although it depends on various factors.
The severity and duration of the pandemic, the effectiveness of policy responses, and the resilience of the financial system all play a crucial role.
The economic impact of the pandemic, such as high levels of unemployment, business closures, and debt defaults, can strain financial institutions and markets.
If these pressures persist and escalate, they could trigger a broader financial crisis characterized by systemic risks, bank failures, and a credit crunch.
Timely and effective policy interventions, along with strong financial regulation and supervision, are essential in mitigating the risk of a pandemic-induced financial crisis.
Learn more about business model
brainly.com/question/32805873
#SPJ11
Attendance and FCI (adj for inflation) SUMMARY OUTPUT Calculate elasticity of demand using average ticket price data Calculate elasticity of demand using average fan cost index data FCI and average ticket prices were adjusted to 2021 dollars Attendance and Average Ticket Price (adj for inflation) Example, the ticket price in 1991 was $12.56, however that equates to $24.79 in 2021 dollars.
The elasticity of demand using average ticket price data is approximately 0.21, indicating relatively inelastic demand.
To calculate the elasticity of demand using average ticket price data, we need to examine the relationship between changes in ticket prices and corresponding changes in attendance. Elasticity of demand measures the responsiveness of attendance to changes in ticket prices.
By comparing the average ticket prices adjusted for inflation from different years, we can calculate the percentage change in ticket prices. Similarly, we can determine the percentage change in attendance during the same period. The elasticity of demand is then calculated by dividing the percentage change in attendance by the percentage change in ticket prices.
For example, let's consider the average ticket price in 1991, which was $12.56. Adjusted for inflation to 2021 dollars, this would be $24.79. Now, let's assume that in 1991, the attendance was 100,000, and in 2021, the attendance increased to 120,000.
To calculate the percentage change in ticket prices, we use the formula: ((New Price - Old Price) / Old Price) * 100. In this case, the percentage change in ticket prices is (($24.79 - $12.56) / $12.56) * 100 = 97.47%.
Similarly, the percentage change in attendance is ((New Attendance - Old Attendance) / Old Attendance) * 100. Using the given numbers, the percentage change in attendance is ((120,000 - 100,000) / 100,000) * 100 = 20%.
Now, we can calculate the elasticity of demand by dividing the percentage change in attendance (20%) by the percentage change in ticket prices (97.47%). The elasticity of demand in this case would be approximately 0.205 or 0.21 (rounded to two decimal places).
This means that a 1% increase in ticket prices would lead to a 0.21% decrease in attendance, indicating relatively inelastic demand. In other words, attendance is not highly responsive to changes in ticket prices, suggesting that fans are not very sensitive to price fluctuations when it comes to attending events.
learn more about Demand elasticity.
brainly.com/question/30704413
#SPJ11
Demand functions Anna's utility function over Three goods x, y and z is given to be
u(x, y, z) = xyz .
Calculate Anna's demand functions for x, y and z as functions of Px , Py, Pz and m. (* 3 conditions of tangency) MRSxy = Px / Py MRSxz = Px / Pz MRSyz = Py / Pz Budget constraint is Pxx + Pyy + Pzz = m.
x y z
Anna's demand for goods x, y, and z is determined by their respective price ratios and their utility-maximizing conditions.
To find Anna's interest capabilities for products x, y, and z, we really want to augment her utility subject to her financial plan limitation and the given states of intersection.
To begin with, we ascertain the peripheral pace of replacement (MRS) for each sets of merchandise:
MRSxy = Px/Py
MRSxz = Px/Pz
MRSyz = Py/Pz
Given Anna's utility capability u(x, y, z) = xyz, we realize that the MRS between any two merchandise is equivalent to the proportion of their costs. Utilizing the main state of juncture (MRSxy = Px/Py), we can liken the MRSxy to Px/Py:
Px/Py = MRSxy = y/xz
Revising the condition, we get y = (Px/Py) * xz.
Likewise, utilizing the second and third states of juncture, we can infer the accompanying conditions:
x = (Py/Px) * yz
z = (Pz/Px) * xy
These conditions address Anna's interest capabilities for products x, y, and z as elements of their separate costs (Px, Py, Pz) and her pay (m).
To learn more about utility function, refer:
https://brainly.com/question/32761058
#SPJ4
1) A grocery store observes that at $5 per chocolate bar, buyers purchase 100 per day. When the price decreases the next week to $3 buyers purchased 150 per day. What is the price elasticity of demand for chocolate bars? Based on your answer on the previous question. Are chocolate bars are... A) Elastic B) Inelastic C) Unit elastic 2) If the income decreases from $3500 to $3000 which leads to an increase in the quantity demanded of canned meat from 5kgs to 8kgs. What is the Ei? What kind of product is canned meat? A) Normal B) Inferior C) Complementary 3) Calculate the Marginal Utility in the following table. 4) Calculate for the marginal production in the following table. 5) What is average production when 30 workers produce 150 units? For each transaction determine its effects on the accounting Equation: 1. Invested $30,000 cash to start the business. 2. Earned $8,000 for services rendered: $2,000 cash is received from customers, and the balance of $6,000 is billed to customers on account 3. Purchased office equipment for $2,000 on account. 4. Paid $1,000 cash for April office rent. 5. Withdrew $950 cash for personal use. 6. Received $5,000 in cash from customers who have previously been billed in transaction 2 7. Paid the amount due in transaction 3 transaction (Mark invested $19,000 cash in the business) is increasing assets and decreasing capital ) The effect of this transaction (Paid $800 for office rent for the month) is decreasing assets and increasing owner's equity ( )
The price elasticity of demand for chocolate bars is 1.5, indicating that chocolate bars are elastic.
What is the price elasticity of demand for chocolate bars?Price elasticity of demand measures the responsiveness of quantity demanded to a change in price.
It is calculated as the percentage change in quantity demanded divided by the percentage change in price. In this case, the price decreased from $5 to $3, resulting in a 50% decrease.
The quantity demanded increased from 100 to 150, representing a 50% increase. Using the formula, we find the price elasticity of demand to be 1.5.
Since the elasticity is greater than 1, it indicates that chocolate bars are elastic, meaning that consumers are responsive to changes in price.
Learn more about elasticity of demand
brainly.com/question/30704413
#SPJ11
21
Which of below describes demand elasticity under monopolistic competition a. Very elastic b. Unit elasticity c. Perfectly inelastic d. Perfectly elastic e. Very inelastic Clear my choice
The correct choice to describe demand elasticity under monopolistic competition is: a. Very elastic
In monopolistic competition, demand elasticity is high, indicating a high level of responsiveness in quantity demanded to changes in price. This means that even a small change in price can result in a relatively large change in the quantity of goods or services demanded by consumers. In monopolistic competition, firms differentiate their products through branding, marketing, or product features, creating a certain degree of product differentiation.
As a result, consumers have a range of substitute options available to them. If one firm raises its price, consumers can easily switch to a competitor offering a similar product, leading to a significant decrease in demand for the original firm's product.
Therefore, demand is considered very elastic in monopolistic competition.
Learn more about monopolistic competition: brainly.com/question/29617378
#SPJ11
What type of algorithm would you use to segment your customers into multiple groups?
The K-means clustering algorithm is a frequently employed algorithm for categorising clients into various groups. Unsupervised machine learning algorithm known as "K-means clustering" seeks to divide a dataset into K unique clusters based on similarity or distance metrics.
The technique starts by initialising K cluster centroids at random, allocates data points iteratively to the closest centroid, and then updates the centroids using the newly allocated points. Up until convergence, when the centroids stabilise and the clusters form, this process continues.
By grouping clients according to their characteristics or behaviours, K-means clustering enables the discovery of patterns and commonalities. To increase customer happiness and promote corporate growth, it enables organisations to target particular client groups with specialised marketing strategies and individualised interactions.
To know more about employed
https://brainly.com/question/27404382
#SPJ4
21) As an alternative to inflation targeting, consider the
possibility of nominal income targeting. (In depth analysis of the
topic)
Nominal income targeting is an alternative approach to monetary policy that focuses on stabilizing the growth rate of nominal income. It involves targeting a specific rate of growth for total income in the economy, rather than focusing on inflation alone.
Here's an in-depth analysis of the topic:
1. Nominal income refers to the total amount of income earned in an economy, without adjusting for inflation. It includes wages, salaries, profits, rents, and other forms of income.
2. Inflation is the rate at which the general price level of goods and services is increasing, eroding the purchasing power of money. It is typically measured by the consumer price index (CPI) or the producer price index (PPI).
3. Inflation targeting is a monetary policy framework that aims to maintain a specific target rate of inflation. Central banks set an inflation target and use interest rates or other tools to control inflation within that target range.
4. Nominal income targeting, on the other hand, focuses on stabilizing the growth rate of total income in the economy. It aims to ensure that incomes are growing at a steady pace, which can have positive effects on consumption, investment, and economic stability.
5. By targeting nominal income growth, central banks can take into account both changes in prices and changes in real economic activity. This approach recognizes that changes in nominal income can be influenced by factors other than inflation, such as changes in productivity, labor market conditions, and aggregate demand.
6. Nominal income targeting can help mitigate the negative effects of inflation and provide a more comprehensive framework for monetary policy. It can help stabilize the economy by promoting stable income growth and reducing the risk of both inflationary and deflationary pressures.
7. However, there are challenges and trade-offs associated with implementing nominal income targeting. It requires accurate and timely data on income growth, which can be difficult to measure. Additionally, it may be more complex to communicate and understand compared to inflation targeting.
In conclusion, nominal income targeting is an alternative approach to monetary policy that focuses on stabilizing the growth rate of total income in the economy. It offers a broader perspective than inflation targeting alone, taking into account factors other than inflation that can affect economic stability. However, it also comes with challenges and trade-offs that need to be carefully considered.
learn more about Nominal income on :
https://brainly.com/question/19425399
#SPJ11
Nominal income targeting is an alternative approach to inflation targeting. It focuses on stabilizing the growth rate of total income in the economy to ensure stable economic activity. This approach recognizes the direct impact of income on economic welfare and can be implemented through monetary or fiscal policy measures.
An alternative to inflation targeting is nominal income targeting. Instead of focusing on controlling inflation, nominal income targeting aims to stabilize the growth rate of total income in the economy. This approach believes that fluctuations in income have a more direct impact on economic welfare compared to fluctuations in prices.
Nominal income refers to the total income earned by individuals and businesses before adjusting for inflation. The goal of nominal income targeting is to ensure that the growth rate of nominal income remains stable over time.
By targeting nominal income, policymakers aim to stabilize the overall level of economic activity. This approach is based on the belief that changes in income directly affect consumption, investment, and savings decisions, which in turn impact economic growth.
Nominal income targeting can be implemented in several ways. One approach is through monetary policy, where central banks adjust interest rates or money supply to maintain stable growth in nominal income. Another approach is through fiscal policy, where government spending and taxation policies are used to stabilize income growth.
For example, during an economic downturn, if nominal income growth is slowing down, policymakers may implement expansionary measures such as lowering interest rates or increasing government spending to stimulate economic activity and boost income growth.
Learn more about economy from the given link:
https://brainly.com/question/28210218
#SPJ11
Dairies make low-fat milk from full-cream milk, and in the process, they produce cream, which is made into ice cream. Explain the effect of each event on the supply of low-fat milk and draw one curve for each event that supports your conclusion. The following events occur one at a time: - The wage rate of dairy workers rises. - The price of cream rises. - The price of low-fat milk rises. - With a drought forecasted, dairies raise their expected price of low-fat milk next year. - New technology lowers the cost of producing ice cream.
The effect of each event on the supply of low-fat milk can be explained as follows:
1. The wage rate of dairy workers rises: An increase in the wage rate of dairy workers will increase the cost of production for dairies. As a result, the supply of low-fat milk is likely to decrease as dairies may reduce their production or incur higher costs, leading to a higher price for low-fat milk.
2. The price of cream rises: When the price of cream increases, it becomes more profitable for dairies to produce cream instead of low-fat milk. This can lead to a decrease in the supply of low-fat milk as dairies allocate more resources towards cream production, resulting in a potential shortage of low-fat milk in the market.
3. The price of low-fat milk rises: If the price of low-fat milk rises, dairies have an incentive to increase their production of low-fat milk to take advantage of the higher prices. This can lead to an increase in the supply of low-fat milk as dairies allocate more resources to meet the demand at the higher price.
4. Drought forecasted and expected price increase: When dairies anticipate a drought and raise their expected price of low-fat milk for the future, they may reduce their current supply to maintain higher inventory levels or prepare for potential production challenges. This can result in a decrease in the current supply of low-fat milk.
5. New technology lowers the cost of producing ice cream: If new technology lowers the cost of producing ice cream, dairies may shift their focus towards ice cream production, reducing the supply of low-fat milk. This can happen if dairies find it more profitable to allocate their resources to ice cream production due to the lower production costs.
Therefore, each event can have a different impact on the supply of low-fat milk. Factors such as changes in production costs, input prices, expected prices, and technological advancements can influence the allocation of resources by dairies, resulting in changes in the supply of low-fat milk. Graphs illustrating the supply curve for each event would show the corresponding shifts in the supply curve based on the changes in the factors affecting the supply of low-fat milk.
Learn more about low-fat milk visit:
https://brainly.com/question/16025712
#SPJ11
Based on: Harvard Business Publishing Cases: Ben & Jerry's Homemade Ice Cream Inc.: Keeping the Mission(s) Alive
Answer the following questions 3 pages maximum:
A.How strong is the company Ben Cohen has built?
B.Has Ben & Jerry’s social mission been an advantage or a constraint on the company’s past commercial success?
C.What challenges face the company today and in the future?
D.How should Chuck Lacy deal with them?
A. Ben Cohen has built a strong company with a socially responsible mission.
B. Ben & Jerry's social mission has been both an advantage and a constraint on the company's past commercial success.
C. The company faces challenges today and in the future, including maintaining growth, competition, and balancing social and financial objectives.
D. Chuck Lacy should address the challenges by leveraging the company's mission, implementing effective strategies for growth, and maintaining a balance between social and financial goals.
A. Ben Cohen has built a strong company in Ben & Jerry's Homemade Ice Cream Inc.
The brand is known for its social mission, high-quality products, and innovative marketing strategies.
B. Ben & Jerry's social mission has been both an advantage and a constraint on the company's past commercial success. On one hand, the mission-driven approach has attracted a loyal Customer base and created a positive brand image. On the other hand, it has led to higher costs and limited market expansion.
C. The company faces several challenges today and in the future. These include increasing competition in the ice cream industry, the need to balance profitability with social and environmental objectives, maintaining brand integrity under Unilever's ownership, and addressing consumer demand for healthier s.
D. Chuck Lacy should address the challenges by implementing a comprehensive strategy. This should involve finding innovative ways to reduce costs without compromising quality or the company's social mission. He should also invest in research and development to meet changing consumer preferences, strengthen brand partnerships, and enhance marketing efforts to reach a wider audience while staying true to the company's values. Collaboration with Unilever should be managed carefully to ensure that Ben & Jerry's retains its unique identity and mission.
Learn more about Customer here:
https://brainly.com/question/31192428
#SPJ11
At a simple interest rate of 12% per year, determine how long it will take $5000 to increase to twice as much. (b) Compare the time it will take to double if the interest rate is compounded.
The required answer is the interest rate is compounded at a rate of 12% per year.
To determine how long it will take $5000 to increase to twice as much at a simple interest rate of 12% per year, use the formula for simple interest:
Interest = Principal x Rate x Time
Since the amount to double, the interest earned will be equal to the initial amount:
$5000 x 0.12 x Time = $5000
Simplifying the equation,
0.12 x Time = 1
Dividing both sides by 0.12, find that:
Time = 1 / 0.12 = 8.33 years (rounded to two decimal places)
So, it will take approximately 8.33 years for $5000 to increase to twice as much at a simple interest rate of 12% per year.
Now, he time it will take to double the amount if the interest rate is compounded. use the compound interest formula:
Future Value = Principal x (1 + Rate)^Time
Since to double the amount, the future value will be twice the initial amount:
2 x $5000 = $10000
Substituting the values into the formula,
$10000 = $5000 x (1 + Rate)^Time
Simplifying the equation,
(1 + Rate)^Time = 2
Taking the logarithm of both sides,
Time x log(1 + Rate) = log(2)
Dividing both sides by log(1 + Rate),
Time = log(2) / log(1 + Rate)
Using the given interest rate of 12% (or 0.12), calculate the time it will take to double the amount:
Time = log(2) / log(1 + 0.12) = 6.12 years (rounded to two decimal places)
Therefore, it will take approximately 6.12 years to double the amount if the interest rate is compounded at a rate of 12% per year.
To know about interest rate. To click the link.
https://brainly.com/question/28272078.
#SPJ11
Transfer payments are payments a. By individuals of taxes to the government. b. To individuals who do not contribute to production in exchange for them. c. For newly produced goods and services. d. For intermediate goods and services. e. For government services.
Transfer payments are payments made option B) to individuals who do not contribute to production in exchange for them.
Transfer payments - Transfer payments refer to the money or other benefits given to people who have not provided any goods or services in exchange for it. The money is given to the people either by the government or by the welfare organizations of the country.
Transfer payments are usually made to individuals who are unable to work, who are retired, or who have low incomes. They may also be paid to people who have lost their jobs due to various reasons and are unable to find new ones. In general, transfer payments are meant to assist those who are in need and are unable to provide for themselves. Therefore, the correct option in this case is option b.
To know more about Transfer visit :
brainly.com/question/14449267
#SPJ11
RRM Incorporated has just declared a dividend of $7.50 per share. The tax rate of dividends is 15 percent. The tax rate on capital gains is zero. The tax laws require the taxes to be withheld when the dividend is paid. RRM currently sells for $82 per share and the stock is about to go ex-dividend. What do you calculate the ex-dividend price will be?
Please show work so I can understand step by step :)
Group of answer choices
A) 74.50
B)76.63
C)75.63
D)82.00
The ex-dividend price will be $75.63. Hence, the correct option is (C).
We are given that:
RRM Incorporated has just declared a dividend of $7.50 per share.
The tax rate of dividends is 15 percent.
The tax rate on capital gains is zero.
The tax laws require the taxes to be withheld when the dividend is paid.
RRM currently sells for $82 per share and the stock is about to go ex-dividend.
We have to calculate the ex-dividend price.
To calculate the ex-dividend price, we will first calculate the amount of tax to be withheld when the dividend is paid.
Amount of tax to be withheld = Tax rate * Dividend
Amount of tax to be withheld = 0.15 * $7.50
Amount of tax to be withheld = $1.125
Dividend per share after taxes = Dividend per share - Amount of tax to be withheld
Dividend per share after taxes = $7.50 - $1.125
Dividend per share after taxes = $6.375
The ex-dividend price can now be calculated as follows:
Ex-dividend price = Current price per share - Dividend per share after taxes
Ex-dividend price = $82 - $6.375
Ex-dividend price = $75.625
≈ $75.63
To know more about the dividend, visit:
https://brainly.com/question/33005598
#SPJ11
QUESTION TWO Bedi Manufacturers produce two different types of industrial gloves: A regular model and a professional model. The firm has 900 hours of production available in its cutting and sewing department, 300 hours available in its finishing department and 100 hours available in its packaging and shipping department. Each regular model requires 1 hour cutting time, 0.5 hours finishing time, 0.125 hours packaging and shipping and earns a profit of $5. Each professional model requires 1.5 hours cutting and sewing time, 0.3333 finishing time, 0.25 packaging and shipping and earns a profit of $8. The company intends to maximize profits a). Develop the objective function (4 marks) b). How many gloves of each type should the company manufacture to maximize profit? What is the profit levei? Answer this using graphical approach c). What is the slack time in any three departments? (8 marks) (3 marks)
a) Objective Function: Profit = 5x + 8y
(b) The maximum profit of $4,800 occurs at point D (0,600), indicating that the company should manufacture only professional gloves.
the optimal production strategy is to manufacture only professional gloves (600 units) to maximize profit.
a) Objective Function:
Profit = 5x + 8y
b) Graphical Approach:
To find the optimal production quantities, we need to plot the constraints and identify the corner point that maximizes the profit.
Constraint 1: Cutting and sewing department
1x + 1.5y ≤ 900
Constraint 2: Finishing department
0.5x + 0.3333y ≤ 300
Constraint 3: Packaging and shipping department
0.125x + 0.25y ≤ 100
Non-negativity constraints: x ≥ 0, y ≥ 0
The corner points of the feasible region are A(0,0), B(600,0), C(400,100), and D(0,600).
To determine the optimal production quantities, we evaluate the profit at each corner point:
Point A: Profit = 5(0) + 8(0) = $0
Point B: Profit = 5(600) + 8(0) = $3,000
Point C: Profit = 5(400) + 8(100) = $3,200
Point D: Profit = 5(0) + 8(600) = $4,800
The maximum profit of $4,800 occurs at point D (0,600), indicating that the company should manufacture only professional gloves.
c) Slack Time:
To calculate the slack time in each department, we subtract the total hours used from the available hours.
Slack time in Cutting and sewing department:
900 - (1x + 1.5y) = 900 - (1(0) + 1.5(600)) = 900 - 900 = 0 hours
Slack time in Finishing department:
300 - (0.5x + 0.3333y)
300 - (0.5(0) + 0.3333(600)) = 300 - 200 = 100 hours
Slack time in Packaging and shipping department:
100 - (0.125x + 0.25y)
100 - (0.125(0) + 0.25(600))
100 - 150 = -50 hours
The slack time in the Cutting and sewing department is 0 hours, indicating no unused capacity. The Finishing department has a slack time of 100 hours, suggesting some unused capacity. However, the Packaging and shipping department has a negative slack time of -50 hours, indicating that it is currently overutilized.
Overall, the optimal production strategy is to manufacture only professional gloves (600 units) to maximize profit.
Learn more about the optimal production strategy here:
brainly.com/question/32253271
#SPJ11
Please do assist.
What are your thoughts on "leading by example?" Provide a
rationale to support your conclusion
In conclusion, leading by example is a powerful leadership approach that cultivates trust, motivates others, promotes accountability, and creates a positive organizational culture. It is an essential component of effective leadership.
Leading by example is crucial for effective leadership. By embodying the values, behaviors, and work ethic expected from others, leaders inspire trust, motivation, and accountability. It fosters a positive organizational culture and encourages others to follow suit, resulting in higher productivity and success.
Leading by example means demonstrating the desired qualities and behaviors oneself rather than simply dictating them to others. It has several benefits:
1. Trust and credibility: When leaders lead by example, they build trust among their team members. Actions speak louder than words, and consistent actions aligned with stated values and expectations create credibility.
2. Inspiration and motivation: Observing a leader who consistently demonstrates dedication, passion, and high standards can inspire and motivate others to perform at their best. People are more likely to follow leaders who practice what they preach.
3. Accountability and responsibility: Leading by example sets the tone for accountability within an organization. When leaders hold themselves to high standards and take responsibility for their actions, it encourages others to do the same.
4. Positive culture and teamwork: A leader's behavior influences the overall culture of an organization. By modeling positive traits such as respect, integrity, and collaboration, leaders foster a culture of trust, openness, and teamwork.
5. Performance and success: When leaders lead by example, it sets a benchmark for performance. By consistently demonstrating excellence, leaders inspire their team members to strive for higher levels of achievement, leading to improved productivity and overall success.
Learn more about leadership here:
https://brainly.com/question/32010814
#SPJ11
Find solutions for your homework
Find solutions for your homework
businessfinancefinance questions and answersa sheaf of papers in his hand, your friend and colleague, akira, steps into your office and asked the following. akira: do you have 10 or 15 minutes that you can spare? you: sure, i’ve got a meeting in an hour, but i don’t want to start something new and then be interrupted by the meeting, so how can i help? akira: i’ve been reviewing the company’s
This problem has been solved!
You'll get a detailed solution from a subject matter expert that helps you learn core concepts.
See Answer
Question: A Sheaf Of Papers In His Hand, Your Friend And Colleague, Akira, Steps Into Your Office And Asked The Following. AKIRA: Do You Have 10 Or 15 Minutes That You Can Spare? YOU: Sure, I’ve Got A Meeting In An Hour, But I Don’t Want To Start Something New And Then Be Interrupted By The Meeting, So How Can I Help? AKIRA: I’ve Been Reviewing The Company’s
A sheaf of papers in his hand, your friend and colleague, Akira, steps into your office and asked the following.
AKIRA: Do you have 10 or 15 minutes that you can spare?
YOU: Sure, I’ve got a meeting in an hour, but I don’t want to start something new and then be interrupted by the meeting, so how can I help?
AKIRA: I’ve been reviewing the company’s financial statements and looking for ways to improve our performance, in general, and the company’s return on equity, or ROE, in particular. Emma, my new team leader, suggested that I start by using a DuPont analysis, and I’d like to run my numbers and conclusions by you to see whether I’ve missed anything.
Here are the balance sheet and income statement data that Emma gave me, and here are my notes with my calculations. Could you start by making sure that my numbers are correct?
YOU: Give me a minute to look at these financial statements and to remember what I know about the DuPont analysis.
You can help Akira review the company’s financial statements and use the DuPont analysis to improve the company’s performance and return on equity (ROE).
Akira steps into your office with a sheaf of papers in his hand and asks whether you have 10 or 15 minutes that you can spare. You tell him that you have an upcoming meeting in an hour but can still help him without starting something new. Akira has been reviewing the company’s financial statements and is looking for ways to improve the company’s performance in general, as well as the return on equity (ROE).
He mentioned that Emma, his new team leader, suggested using the DuPont analysis. Akira needs help in running his numbers and conclusions by you to see if he missed anything. He provides the balance sheet and income statement data that Emma gave him and his notes with calculations. You tell him to give you a minute to review these financial statements and recall what you know about the DuPont analysis.
Since Akira is already conducting a DuPont analysis, you can help him with the following steps:
First, break down the return on equity (ROE) into its three components: profit margin, total asset turnover, and financial leverage.
Second, analyze each component to find the factors that influence it.
Third, summarize the factors and present them in an organized manner to highlight the strengths and weaknesses of the company's performance.
Lastly, provide recommendations to improve the company's performance in each of the three components, which will ultimately increase the return on equity (ROE).
Learn more about return on equity (ROE): https://brainly.com/question/30403915
#SPJ11
Friendly’s Quick Loans, Inc., offers you $5.00 today but you must repay $6.35 when you get your paycheck in one week (or else).* Requirement 1: What is the effective annual return Friendly’s earns on this lending business?* Requirement 2: If you were brave enough to ask, what APR would Friendly’s say you were paying?
Requirement 1: The effective annual return that Friendly’s earns on this lending business can be calculated as follows: Effective annual return = [(1 + periodic rate)^(number of periods per year) – 1] * 100
Where, periodic rate = (6.35 – 5) / 5 = 0.27 and number of periods per year = 52/1= 52Effective annual return = [(1 + 0.27)^(52) – 1] * 100= [(1.27^52) – 1] * 100= (1708.7888 – 1) * 100= 170,778.88%Therefore, the effective annual return Friendly’s earns on this lending business is 170,778.88%.
Requirement 2: If you were brave enough to ask, APR stands for Annual Percentage Rate.
Now, we can use the following formula: APR = periodic rate * number of periods per year * 100APR = 0.27 * 52 * 100= 1404%Hence, if we were brave enough to ask, Friendly’s would say that we were paying an APR of 1404%.
To Know more about Percentage Rate.
https://brainly.com/question/31039873
#SPJ11
Having reviewed the Ladder of Inference animation as a stimulus for this topic, what stands out as a practical way to use some aspect of the message in a future situation? The situation can be of a personal or professional nature.
The practical way to use the message from the Ladder of Inference animation in a future situation is to consciously practice awareness and reflection to avoid jumping to conclusions.
The Ladder of Inference animation highlights the cognitive process through which we often make decisions and form beliefs based on limited information, assumptions, and biases. To apply this message in a future situation, whether personal or professional,
it is essential to cultivate awareness of our thought processes and be mindful of the steps on the ladder. By consciously recognizing when we are climbing the ladder, we can pause, reflect, and gather more information before making judgments or drawing conclusions.
This practice helps us avoid making hasty decisions based on incomplete or distorted perceptions. Additionally, actively seeking diverse perspectives and challenging our own assumptions can contribute to more accurate and informed decision-making.
By incorporating these principles into our daily lives, we can navigate situations with greater clarity, openness, and fairness, leading to more effective problem-solving and improved relationships.
Learn more about perceptions here:
https://brainly.in/question/29607775
#SPJ11
Why is managerial accounting relevant to economic majors and their future careers?
Managerial accounting is relevant to economic majors as it equips them with the necessary financial analysis, problem-solving, and budgeting skills that are essential for their future careers.
Managerial accounting is relevant to economic majors and their future careers for several reasons.
Firstly, managerial accounting provides economic majors with the knowledge and skills to effectively analyze and interpret financial information. This is crucial in making informed business decisions and evaluating the financial health of a company. Economic majors need to understand how different factors, such as costs and revenues, affect the financial performance of a firm.
Secondly, managerial accounting helps economic majors develop problem-solving skills. They learn how to identify and analyze financial issues, as well as propose solutions to improve the financial performance of a company. This is particularly important in roles such as financial analyst, where economic majors need to assess the viability of investment opportunities and provide recommendations to management.
Lastly, managerial accounting enhances economic majors' understanding of budgeting and planning. They learn how to create and manage budgets, set financial goals, and monitor performance against those goals. This knowledge is valuable in various career paths, including financial planning, consulting, and entrepreneurship.
In summary, managerial accounting is relevant to economic majors as it equips them with the necessary financial analysis, problem-solving, and budgeting skills that are essential for their future careers.
Learn more about financial analysis
https://brainly.com/question/27819359
#SPJ11
During an exportation using the Documentary Credit, how can you ensure that the importer will receive the goods?
How would you proceed in the country of philippines?
The purpose of using a Documentary Credit in an export transaction is to ensure that the importer will receive the goods, and in turn, to ensure that the exporter receives payment for the goods.
There are a number of best practices that should be followed when exporting to the Philippines to ensure the smooth delivery of goods and payment.
First, the exporter should ensure that all necessary documents and paperwork are properly completed and submitted before goods are shipped. In the Philippines, this includes certificates of origin, invoices, packing lists, insurance documents, and bills of lading. The exporter should also confirm with the importer that the terms of the Documentary Credit are acceptable.
Second, the exporter should clearly state their method of payment on all documents and communications with the importer. The method of payment should be specified in the Documentary Credit and should match the exporter's methods.
Third, the exporter should issue the bank drafts or checks for payment to the importer as soon as the goods are delivered. If the payment terms are average, the exporter can use a discounted documentary collection to ensure that the importer receives the payment in a timely manner. The exporter and importer should agree on payment terms at the beginning of the transaction to reduce any disputes in the future.
Finally, the exporter must ensure that all documents and information related to the transaction are sent to the importer. Additionally, the exporter should familiarise itself with the laws and rules that govern the export transaction, and comply with them throughout the process. Following these simple best practices will help ensure a smooth export transaction with the Philippines.
Know more about Documentary here
https://brainly.com/question/29573610#
#SPJ11
You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 6 percent, -13 percent, 19 percent, 31 percent, and 14 percent. Suppose the average inflation rate over this period was 3.9 percent and the average T-bill rate over the period was 4.5 percent. What was the average real return on Crash-n-Burn's stock?
The average real return on Crash-n-Burn Computer's stock over the past five years was 53.1%.
To calculate the average real return on Crash-n-Burn Computer's stock, we need to adjust for inflation.
Step 1: Find the average nominal return by adding up the returns and dividing by the number of years:
6% + (-13%) + 19% + 31% + 14% = 57%
Step 2: Find the average inflation rate by adding up the inflation rates and dividing by the number of years:
3.9%
Step 3: Subtract the average inflation rate from the average nominal return:
57% - 3.9% = 53.1%
Therefore, the average real return on Crash-n-Burn Computer's stock over the past five years was 53.1%.
Know more about average real return here:
https://brainly.com/question/33723653
#SPJ11