Robert bought a house with a 6 percent interest rate. Three months later, the rate dropped to 4.35 percent. Robert was frustrated that he bought his house at the wrong time. What type of risk does this BEST demonstrate? A. Income risk B. Interest rate risk C. Personal risk D. Inflation risk

b

Step-by-step explanation:

Interest rate risk is the risk that a fall in interest rate would decrease the value of a fixed rate investment. e.g. bonds , real estate.

Interest rate dropped 3 months after the house was bought. Robert is facing interest rate risk

Income risk is the risk that the stream of income received from a particular investment would drop as a result of a fall in interest rate.

Inflation risk is the risk that inflation would decrease the value of an investment

the system of inequity is

step-by-step explanation:

from the given graph it is noticed that we have two related lines. one is solid and another is dashed.

if a line passing through two points, then the equation of line is

the solid line passing through the points (0,4) and (4,0).

the related equation of solid line is .

similarly, find the related equation of dashed line. the dashed liune passing through the points (0,0) and (3,1).

the related equation of dashed line is

from the given graph it is noticed that the point (0,1) lies on the shaded region, therefore the point (0,1) must be satisfied by the related equations.

check the related equations by the point (0,1).

this statement is true if the sign of inequality is < instead of equality. since it is an solid line therefore the sign of inequality will be . the required inequality is

similarly, check the second related equation.

it is a dashed line, so this statement is true if the sign of inequality is > . the required inequality is

the reporter's right

step-by-step explanation:

1/4 = .25 / 25%