CAT Questions

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Inflation risk, also called purchasing power risk, is the chance that the cash flows from an investment won't be worth as much in the future because of changes in purchasing power due to inflation.

HOW IT WORKS (EXAMPLE):

For example, $1,000,000 in bonds with a 10% coupon might generate enough interest payments for a retiree to live on, but with an annual 3% inflation rate, every $1,000 produced by the portfolio will only be worth $970 next year and about $940 the year after that. The rising inflation means that the interest payments have less and less purchasing power. And the principal, when it is repaid after several years, will buy substantially less than it did when the investor first purchased the bonds.

Anything larger and the computer would need to break the number into smaller pieces.

16-bit is a computer hardware device or software program capable of transferring 16 bits of data at a time.

Today, 16-bit hardware and software has been replaced by 32-bit and 64-bit alternatives, which give the computer more memory to work with; increasing overall performance.

For example, early computer processors (e.g., 8088 and 80286) were 16-bit processors, meaning they were capable of working with 16-bit binary numbers (decimal number up to 65,535).

VPN's are implemented to provide a secure connection through public networks. A virtual private network extends a private network across a public network, and enables users to send and receive data across shared or public networks as if their computing devices were directly connected to the private network.

The light reactions of photosynthesis supply the calvin cycle with ATP and NADPH.