Nominal interest rates are the sum of two major components: the real interest rate and the maturity premium

Indicate whether the statement is true or false.

Answer: FALSE
Explanation: Nominal interest rates are the sum of two major components: the real interest rate and expected inflation.

Business

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The operating cycle is the length of time a firm's cash is tied up between payment for production inputs and receipt of payment from the sale of the resulting finished product

Indicate whether the statement is true or false

Business

"Instance" is used instead of the term "object" when the purpose is to emphasize the relationship between the object and the class

Indicate whether the statement is true or false

Business