Answer:
The correct answer is D. increase; decrease.
Explanation:
Speculation consists of the purchase (or sale) of goods with a view to their subsequent resale (repurchase), when the reason for such action is the expectation of a change in the prices affected with respect to the dominant price and not the gain derived from its use, or of some kind of transformation carried out on these or of the transfer between different markets.
A speculative operation seeks not to enjoy the good or service involved, but to obtain a benefit from the price fluctuation based on the theory of arbitration. In an extensive sense, every form of investment that a medium entails is speculative; However, the term is usually applied to that investment that does not entail any kind of commitment to the management of the assets in which it is invested, and is limited to the movement of capital (financial market), usually in the short or medium term.
The speculation is based on the forecast and the perception, so that the speculator can also be wrong if he does not correctly anticipate the evolution of future prices, so he will have to sell cheap something he bought expensive. The speculative market therefore rewards those who know how to predict.
Answer:
Present Value= $18,181.82
Explanation:
Giving the following information:
Savings= $2,000
The machine will then begin to wear out so that the savings decline at a rate of 4 % per year forever.
Interest rate= 7%
To determine the present value of the savings, we need to use the perpetual annuity formula with the decline rate.
PV= Cf/ (i + g)
Cf= cash flow
PV= 2,000/ (0.07 + 0.04)
PV= $18,181.82
Answer:
B
Explanation:
Capital Structure decision is determining the optimal way of raising capital either through Equity or Debt.
Answer:
target fixed costs is $ 420000
Explanation:
Given data
sells 2,000
sales price of $470 per unit.
product cost at $720,000
variable costs are $300,000
to find out
target fixed costs
solution
we know here product cost and variable cost
so target fixed costs is product cost - variable costs
so we put all these value to find out target fixed cost
target fixed costs = product cost - variable costs
target fixed costs = 720000 - 300000
target fixed costs is $ 420000
<span>Because you will be investing in it for the rest of your life. The yields should match the amount you are able to contribute. By doing this, you will be able the needs that needed to be made on current year while not throwing away the money for the future since the fruit of your retirement plan will be ripped when you're no longer in a productive age,
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