What considerations account for the fact that interest rates differ greatly on various types of loans? Use

Question:

What considerations account for the fact that interest rates differ greatly on various types of loans? Use those considerations to explain the relative sizes of the interest rates on the following:

a. A 10-year $1000 government bond

b. A $20 pawnshop loan

c. A 30-year mortgage loan on a $145,000 house

d. A 24-month $12,000 bank loan to finance the purchase of an automobile

e. A 60-day $100 loan from a personal finance company

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Microeconomics : Microeconomics: Principles, Problems, And Policies

ISBN: 9781631577277

1st Edition

Authors: McConnell / Stanley L. Brue / Thomas P. Barbiero

See More Books

Question Posted: Nov 07, 2024 06:00 AM

See More Questions

4. If money is not an economic resource, why is interest paid and received for its use? What considerations account for the fact that interest rates differ greatly on various types of loans? Use...
If money is not an economic resource, why is interest paid and received for its use? What considerations account for the fact that interest rates differ greatly on various types of loans? Use those...
3. If money is not an economic resource, why is interest paid and received for its use? What considerations account for the fact that interest rates differ greatly on various types of loans? Use...
Landry State University, a public university located in Louisiana, has a June 30 fiscal year. On July 20 of the current year, Landry State University receives $2,125,000 in payments from the U.S....
"Market values of assets and liabilities do not generally equal their book values." Why? How would this affect a bank looking at a company's balance sheet while considering a long term loan request...
Write the equations for the remaining passages of the p-oxidation pathway following those shown infigure. CHCH2CH2CHH-CH2 CH2CH2CH2CH2 CH2CH2 CH-CSCOA Myristoyl CoA 8-Oxidation (passage 1)...
What considerations account for the fact that interest rates differ greatly on various types of loans? Use those considerations to explain the relative sizes of the interest rates on the following:...
Jordan Wing, Inc., a sporting goods retailer, began operations on January 2, 2012. It reported net income of $3,091,660 during 2014. Additional information about transactions occurring in 2014...
Drupal is a powerful open source CMS . Group of answer choices True False
3. If money is not an economic resource, why is interest paid and received for its use?
4. KEY QUESTION Why is the supply of loanable funds upsloping? Why is the demand for loanable funds downsloping?
E'Lonte Company began operations this year. During this first year, the company produced 300.000 units Variable costing and sold 250,000 units. Its income statement under absorption costing for this...
File Edit View Insert Format Data Tools Help Last edit was 4 hours ago 100% $ % 0.00 123 Default (Ca... 12 fx | A B C Case Problem 1 from Chapter 12: Four Corners Managerial Report D BIA B & E F G H ...
The following three situations require adjusting journal entries to prepare financial statements as of April 30, 2023. For each situation, present the adjusting entry and the entry that would be made...
Many controversial issues in public finance concern when a central authority should allow markets to work and when it should intervene. Generally we think of the government as the central authority,...
PacRim Careers provides training to individuals who pay tuition directly to the business. The business also offers extension training to groups in off-site locations. Additional information available...
4 ts ebook Ask Print Problem 3-6A Adjusting entries (annual); adjusted trial balance LO4, 6 PacRim Careers provides training to individuals who pay tuition directly to the business. The business also...
A room is filled with saturated steam at 100C. Now a 5-kg bowling ball at 25C is brought to the room. Heat is transferred to the ball from the steam, and the temperature of the ball rises to 100C...
The water in tank A is at 270 F with quality of 10% and mass 1 lbm. It is connected to a piston/cylinder holding constant pressure of 40 psia initially with 1 lbm water at 700 F. The valve is opened,...

What considerations account for the fact that interest rates differ greatly on various types of loans? Use

Question:

Step by Step Answer:

Microeconomics : Microeconomics: Principles, Problems, And Policies

Students also viewed these Business questions