In the case of interest rate movements the most important factor corresponds to
A. A parallel shift
B. A slope change
C. A bowing
D. An increase in short rates
A
The most important factor is the one corresponding to a parallel shift. This accounted for over 90% of the variance for the data in Section 22.9 .
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The zone of tolerance for a service is the perceived economic benefits in relationship to the economic costs
Indicate whether the statement is true or false
Franky Ferguson has just reached a turning point in his business. He can no longer retain quality employees because he cannot meet his payroll, he does not have an adequate cash flow to pay his current bills, and he is three months behind in his loan payment to the bank. He must close the doors of this business. Franky joins what percentage of small businesses that have failed?
a. 10 percent b. 18 percent c. 50 percent d. 75 percent