Interest rate DO NOT reread this equation. The rule of 72 is a hard rule to explain. I will do my best to try to explain it. The answer to ‘rule of 72’ gives us a number of years. This number of years tells us how long it takes to double our money. Let’s say you have 100 dollar. The ‘rule of 72’ helps us figure out how long it will take to have 200 dollars. Scenario 1: You have invested your 100 dollars in a 3% certificate of deposits. 72 divided by 3 is 24. In 24 years‚ your 100 dollars
Premium Investment
fixed exchange rate system that fixes the exchange rate of Hong Kong Dollar and United State Dollar to a ratio of 7.8: 1 Hong Kong Monetary Authority does not need to stable exchange market by controlling the supply and demand of HKD. It can be stabilized by Fixed-linkage System. In the past 15 years‚ Hong Kong interest rates and exchange rates fluctuated in the same trend of the US interest rate and exchange rate. The graphs below show an example of interest rate and exchange rate respectively:
Premium United States dollar Inflation Stock market
volatile exchange rate because volatility increases exchange rate risk. If the participants in international trade are aware about exchange rate risks‚ they may prefer to switch to domestic activities where profits are relatively less uncertain rather than continuing trading in foreign markets. Alternatively‚ international traders may attempt to use forward foreign exchange markets in order to hedge against any possible losses. EXCHANGE RATE SYSTEM IN INDIA The exchange rate regime in our country
Premium Inflation Foreign exchange market United States dollar
Fama-French Three-Factor Model Capital Marketing Shijie Wu Fama-French Three-Factor Asset Pricing Model I. Definition of Fama-French Three-Factor Model A. Definition In asset pricing and portfolio management‚ the Fama-French three-factor model is a theory that improvement of the capital asset pricing model. The model is proposed based on the empirical study of historical returns as a result of U.S. stock market. The purpose is to explain the average returns of the stock
Premium Investment Financial markets Stock market
Exchange Rate Determinants in Mogadishu in 2011 Ibrahim Mohamed Ibrahim SIMAD University ibrahimkhaliil@yahoo.com Abstract The purpose of this study was to examine the determinants of the exchange rate this study was set to analyze the Exchange Rate determinates in Somalia in due to 2011. There are two factors that are assumed to have strong relations with exchange. Descriptive and regression analysis was used to draw up the satisfactory conclusion. SOS-1 and SOS-2 were determinants
Premium Regression analysis
Introduction Toys are one of the most wonderful inventions of mankind. One of the oldest and historical toys in the world is the yoyo. Yoyo is an object consisting of a spool that is reeled up and down on a string by motions of the hand. Yoyo was originally made as a children’s toy‚ but as it became popular through the years‚ it was also played by adults. In this modern age‚ it is hardly to see anyone occupied by yoyo because children‚ teens and adults are mostly absorbed in the wonders
Premium
High Divorce Rate in Egypt Social Sciences 5th semester Soha Ihab Elsewerky 19-1343 | PD 1 Research: Introduction: Since we were kids we were brought up to believe that we live all our lives waiting for a happily ever after. Your mother‚ friends and the society always pushing you and focusing on you having a husband. From your early age you’re taught to take care of your looks and posture‚ always making yourself pleasing. Media surrounded us with fairy tales stories that grew our expectations
Premium United States Unemployment World War II
International Crime and Transnational Crime Danielle Poindexter Dave Sanchez CRJ: Comparative Criminal Justice April 13‚ 2013 Based on the Article General Assembly of the United Nations‚ drug trafficking refers to illegal drugs sold and distributed. This happens in the United States as well as in other countries; the main concern with transnational drug trafficking for the United States is illegal drugs being transported. In from other countries the states the sales of them
Premium Smuggling Crime Illegal drug trade
reverse repo rate These are the rates which are used by reserve banks (RBI in India) to inject or absorb liquidity from banking system. Repo rate is the rate at which the RBI lends money to the commercial banks or the rate it which banks borrow money from RBI. When RBI increases repo rate borrowing from RBI becomes more expensive. RBI increases repo rate to make it more expensive for the banks to borrow money. If RBI reduces the repo rate means banks can borrow money at cheaper rates. The term repo
Premium Stock exchange Stock market
Exchange rate development in Ethiopia Monetary Development The legal tender currency of Ethiopia was issued on 23 July 1945 by defining the monetary unit as the Ethiopia dollar (E$) with a value of 5.52 grains (equivalent to 0.355745 grams) of fine gold. The linkage with fine gold was in accord with the monetary system established by the Bretton Woods Agreement of 1944. For the five years following the proclamation of the national currency (1945–1950)‚ money supply of the country was determined
Premium Foreign exchange market Bretton Woods system Exchange rate