Compose a 4-6 page report, double-spaced, on the following topic. Be sure to illustrate your report with relevant financial numbers and data, and to explain the significance of this data. APA forma is expected (include a cover page, outline, body of the report/paper, and a properly formatted works cited page (no abstract s needed for this assignment)). BACKGROUND INFORMATION: During the Carter administration, long-term US Treasury yields exceeded 15% and short-term T-Bills yielded near 20%. After Reagan's inauguration, interest rates began to fall as Fed Chairman Volcker's restrictive monetary policy succeeded in containing inflation. Over the past 25 years, US rates have steadily declined: T-Bills are hovering under 1% and the long bond is yielding about 4% years. Lately, though, rising oil prices have incited inflationary forces. China and other developing nations have increased their consumption for oil, metals, materials and food. Thus, both foreign and domestic factors have spurred demand and are contributing to rising prices on a global scale. In addition to this Commodity induced inflation, US consumers are faced with rising costs for essential services such as healthcare and education. The Chairwoman of the Federal Reserve, Janet Yellen, is faced with a dilemma. Should the Fed increase rates to contain inflation; or, should the Fed keep rates very low to spur the US economy which is beset by a collapse in home values, an extensive banking crisis, and a faltering stock market Given this economic background...Compose a 4-6 page report, double-spaced, on the following topics: If the Fed decides to raise interest rates next year, what effect would rising rates have upon the following: (1) Consumer financing for big-ticket items such as autos and ho (2) the present and future values of annuities; (3) the NPV calculation (4) the WACC (5) corporate earnings? Be sure to illustrate your report with relevant financial numbers. Compose a 4-6 page report, double-spaced, on the following topic. Be sure to illustrate your report with relevant financial numbers and data, and to explain the significance of this data. APA forma is expected (include a cover page, outline, body of the report/paper, and a properly formatted works cited page (no abstract s needed for this assignment)). BACKGROUND INFORMATION: During the Carter administration, long-term US Treasury yields exceeded 15% and short-term T-Bills yielded near 20%. After Reagan's inauguration, interest rates began to fall as Fed Chairman Volcker's restrictive monetary policy succeeded in containing inflation. Over the past 25 years, US rates have steadily declined: T-Bills are hovering under 1% and the long bond is yielding about 4% years. Lately, though, rising oil prices have incited inflationary forces. China and other developing nations have increased their consumption for oil, metals, materials and food. Thus, both foreign and domestic factors have spurred demand and are contributing to rising prices on a global scale. In addition to this Commodity induced inflation, US consumers are faced with rising costs for essential services such as healthcare and education. The Chairwoman of the Federal Reserve, Janet Yellen, is faced with a dilemma. Should the Fed increase rates to contain inflation; or, should the Fed keep rates very low to spur the US economy which is beset by a collapse in home values, an extensive banking crisis, and a faltering stock market Given this economic background...Compose a 4-6 page report, double-spaced, on the following topics: If the Fed decides to raise interest rates next year, what effect would rising rates have upon the following: (1) Consumer financing for big-ticket items such as autos and ho (2) the present and future values of annuities; (3) the NPV calculation (4) the WACC (5) corporate earnings? Be sure to illustrate your report with relevant financial numbers