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Harman [31]
1 year ago
12

Derek's friend, Jackson, is asking to borrow today with a promise to repay $7,418.87 in four years. If Derek could earn 5.45 per

cent annually on the any investment he makes today, how much would he be willing to lend Jackson today
Business
1 answer:
Aneli [31]1 year ago
7 0

The amount Jackson would be willing to lend is $6,000.

<h3>How much would Jackson be willing to lend?</h3>

In order to determine the  amount Jackson would be willing to lend, the present value of the amount Dereck would repay in 4 years. Present value is the sum of discounted cash flows.

Present value = $7,418.87 / (1.0545^4) = $6,000

To learn more about present value, please check: brainly.com/question/26537392

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If you were to start a business, which ownership form would you choose? What factors might affect your choice?
Ivenika [448]

Answer:

If I were to start a business, I will choose Sole Proprietorship.

Explanation:

Reasons why I will choose Sole Proprietorship

* I will be the sole owner and responsible for my business.

* All profits (and loss) will belong to me, means the more I work harder, the more return I (alone) will get.

* I can make all the decisions by myself, without the interference of any other person.

* I can expand my business as per my convenience and hard work, if I succeed I can eat all the fruits myself.

* I can grow my business as much I want.

* No one will be my boss, I will be setting my own working hours and work load etc.

8 0
3 years ago
Wilson Co. has three segments -- Tennis, Golf, and Fishing. The Tennis segment is currently producing 2,000 units annually. The
frutty [35]

Answer:

$400,000

Explanation:

Calculation to determine the differential revenue if Wilson Co. were to eliminate the Tennis segment

Differential revenue= $200x2,000 units

Differential revenue= $400,000

Therefore the differential revenue if Wilson Co. were to eliminate the Tennis segment will be $400,000

6 0
2 years ago
Which factor increases the risk of IS project delays? A. loss of hardware B. shortage of technical staff C. poor password practi
murzikaleks [220]

Answer:

D.loss of equipment because without the right equipment needed it is gonna delay the IS project

Explanation:

5 0
3 years ago
Read 2 more answers
To compete with Lexus, a successful luxury brand of Toyota, Nissan launches Infinity as its own luxury brand to seek the benefit
slava [35]

Answer:

(D). Straddling

Explanation:

Straddling positioning involves placing a product or brand in two segments at the same time such that it is possible to reap benefits from both segments.

<em>By launching its luxury brand (Infinity), while remaining in other market segments, Nissan is practicing straddling positioning</em>.

3 0
3 years ago
Home Place Hotels Inc. is entering into a 3-year remodeling and expansion project. The construction will have a limiting effect
solong [7]

Answer:

$291.56

Explanation:

Find the dividend amount per year;

D1 = D0(1+g ) = 3.40(1+0) = 3.40

D2 = 3.40*(1.05) =3.57

D3 = 3.57*(1.05) =3.7485

D4= 3.7485*(1.15) = 4.3108

D5 = 4.3108 *(1.10) = 4.7419

Find the Present value of each year's dividend;

PV (of D1) = 3.40/ (1.14 ) = 2.9825

PV (of D2) = 3.57/ (1.14² ) = 2.7470

PV (of D3) = 3.7485/ (1.14³ ) = 2.5301

PV (of D4) = 4.3108/ (1.14^4 ) = 2.5523

PV (of D5 onwards)=\frac{\frac{4.7419}{0.14-0.1} }{1.14^{4} } \\ \\ =\frac{474.19}{1.6890}

PV (of D5 onwards) = 280.7519

Next, sum up the PVs to find the maximum price of this stock;

= 2.9825 + 2.7470 + 2.5301 + 2.5523 + 280.7519

= 291.564

Therefore, an investor should pay $291.56

7 0
2 years ago
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