Answer:
The value of the option to wait is $0.70,option A.
Explanation:
In calculating the value of the option to wait,I discounted all cash flows under both alternatives, using the discount rate of 12% as given in the question.
Option to start now gives net present value(positive return ) of $360.64 while the other one gives $361.34,invariably option to wait one year gives $0.70($361.34-$360.64) more than the option to start now.
The formula used in the calculating present value is PV=FV(1+r)^n
Where PV=present value
FV=future value
r=rate of interest
n=number of year
Find attached spreadsheet for detailed calculations.
Answer:
The existing state of American economy must be declared earlier respondent the interrogation.
The U.S. financial position is vigorous in 2017.The value rate is in its perfect vary i.e., 2.4 (2-3%).Joblessness is at its ordinary proportion and there isn't an excessive amount of rise or decrease. Conversely, the value is predicted to descent to a pair of 2.1% in 2018 and 2.0 in 2019. Drop in value would cause decrease in GDP and growth in state.
To avoid this drop I will be able to inscribe to manager of Federal Reserve Bank to cut back the rate (expansionary financial policy).Federal reserve will try this by shopping for bonds. Once Federal Reserve purchases bonds the money offer increases and rate decreases. As rate decreases mixture demand and financial gain increases. With escalation in financial gain and mixture demand the value wouldn't decrease in 2018 and 2019.
I would not recommend an expansionary economic policy as a result of it increases the rate yet and thus results in situation out.
I think it would be “oligopoly”
It must be debatable. Hope this helps
Answer: No it is not.
Explanation:
Uber by first establishing itself and then fighting regulators leaves itself open to attack around the world. This is because the Regulators have the power to keep adjusting the laws that govern Uber if they feel that Uber has an unfair advantage or if it's existence is detrimental to the society. Uber has been accused many times of various infractions such as Tax Evasions and being a conduit through which crime can be committed because it did not conduct proper background checks.
Going back to the issue of taxes, if the regulators feel that Uber may be avoiding taxes, they could impose laws that either cause an increase in Uber prices or remove them from a location which can have a native influence on Uber's bottomline.
This approach is not good because regulators do not like being fought and will try to ascert dominance. It is simply not viable and this has been proven with Uber's many suspensions around the world.
