FMA-III 1 of 3: Interest Rates and Risk Consideration in Business and Economic Activity

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FMA-III 1 of 3: Interest Rates and Risk Consideration in Business and Economic Activity

INSTRUCTIONS:

Explain the importance of interest rates, and how risk is considered to businesses and economic activity. Your response should be at least 250 words in length. You are required to use at least your textbook as source material for your response. All sources used, including the textbook, must be referenced; paraphrased and quoted material must have accompanying citations. Course Textbook Lasher, W. R. (2011). Practical financial management (6th ed.). Mason, OH: South-Western.  Chapter 10: Capital Budgeting

CONTENT:

Interest Rates and Risk Consideration in Business and Economic Activity Name:Institution:Date In business and economy, interest rate as the cost of borrowing investing money is significant to the growth of economy. When interest rates are high, economy is stifled. On the other hand, economy grows when interest rates are low based on the fact that most of business activities are operated on borrowing...

FMA-III 1 of 3: Interest Rates and Risk Considerat