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yKpoI14uk [10]
2 years ago
13

Dave bought a new car 8 years ago for $8400. To buy a new car comparably equipped now would cost $12,500. Assuming a steady rate

of increase, what was the yearly rate of inflation in car prices over the 8 year period?
Business
1 answer:
umka2103 [35]2 years ago
6 0

The yearly rate of inflation in car prices over the 8 years that Dave bought his new car for $8,400 is <u>5.1%</u>.

<h3>What is inflation?</h3>

Inflation is the general increase in prices of goods and services in an economy which reduces the purchasing power of the consumers.

Based on the given information, the yearly increase in the inflation rate can be computed using the present value formula from an online finance calculator as below.

<h3>Data and Calculations:</h3>

N (# of periods) = 8 years

I/Y (Interest per year) = 5.1%

PMT (Periodic Payment) = $0

FV (Future Value) = $12,500

<u>Results:</u>

PV = 8,396.31 or $8,400

Total Interest $4,477.49

Thus, the yearly rate of inflation in car prices over the 8 years that Dave bought his new car for $8,400 is <u>5.1%</u>.

Learn more about inflation at brainly.com/question/8149429

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Define the mergers and acquisitions of Tesla and define what has the company gained?
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Join Mergr and gain access to Tesla’s M&A summary, the M&A summaries of companies just like it, as well as recent M&A activity in the automotive sector.

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5 0
3 years ago
A local club is selling Christmas trees and deciding how many to stock for the month of December. If demand is normally distribu
Nastasia [14]

Answer:

0.6

Explanation:

Data provided :

Mean = 100

Standard deviation = 20

Salvage value of the tree = $ 0

Actual cost of the tree = $ 20

Selling cost of the trees = $ 50

Now, the cost of shortage = Selling cost - actual cost = $ 50 - $ 20 = $ 30

and the outrage cost = actual cost = $ 20

Now,

the service level is calculated as:

service level = \frac{\textup{cost of shortage}}{\textup{cost of outrage + cost of shortage}}

on substituting the value, we get

service level = \frac{\$\ 30}{\$\ 20\ +\ \$\ 30}

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Which of the following is true of normal shortages? They do not include theft and shrinkage. These goods are no longer available
never [62]

Answer:

<h2>The correct answer here would be the 1st option given in the answer choices or options or They do not include theft and shrinkage.</h2>

Explanation:

  • From a business standpoint, normal shortages basically indicate comparatively lower inventory availability of goods and services based on their consumer demand or respective sales orders by consumers or buyers.
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