At Westonci.ca, we make it easy to get the answers you need from a community of informed and experienced contributors. Experience the convenience of getting accurate answers to your questions from a dedicated community of professionals. Get detailed and accurate answers to your questions from a dedicated community of experts on our Q&A platform.
Sagot :
The cost of a financial asset and its interest rate are inversely correlated. An investment's interest rate decreases as its value increases. Similar to this, an asset's price increases when its interest rate decreases.
Thus, there is an inverse relationship between financial assets and their interest rate.
What Is a Financial Asset?
A financial asset is a liquid asset with value derived from a legal claim to ownership or a contractual right. Financial assets include, among other things, cash, investments in stocks, bonds, mutual funds, and bank deposits.
Assets that facilitate the movement of money. They move money from those who have extra money to those who have not, whether they are people, businesses, or even the government.
A promise or claim on future money is what financial assets are. A financial asset or liability is first valued at fair market value. The type of financial instrument will determine how the subsequent measurement is done. The amortized cost and fair value are both used to measure various categories.
For more information about Financial Asset refer to the link:https://brainly.com/question/15071910
#SPJ4
Visit us again for up-to-date and reliable answers. We're always ready to assist you with your informational needs. Thanks for stopping by. We strive to provide the best answers for all your questions. See you again soon. Westonci.ca is committed to providing accurate answers. Come back soon for more trustworthy information.
