Sorry you never got an answer and are only getting one after 2 years :(
But for everyone in the future who wants to use this for help the answer is Stocks!
Answer:
Worth of scholarship today = $1,000,000
Explanation:
<em>The value of the scholarship can be determined using the present value of a growing perpetuity. A growing perpetuity is an indefinite annual payment that increases by a constant percentage.</em>
<em>The applicable formula is given below;</em>
<em>PV = A/r-g</em>
A-annual payment one year from now - 35,000
r- interest discount rate - 9.,
g- growth rate - 5.5
The value of the gifts today
= 35,000/(0.09-0.055)
= $1,000,000
Answer:
Explanation:
The computation is shown below:
Corporate tax = (Taxable income - bonus expenses) × corporate tax rate
= (925,000 - $153,000) × 21%
= $162,120
The corporate tax rate is 21% and we take the same for computation
Shareholder tax = Bonus expenses × marginal tax rate
= $153,000 × 35%
= $53,550
So, the total income tax would be equal to
= $162,120 + $53,550
= $215,670
Neoclassical economics focuses on providing more options while Behavioral economics focuses on helping people make better decisions with the options available.
A psychological approach to business, behavioral economics looks at how well people's expectations of utility and profit maximization match their actions and if they actually maximize predicted utility.
Contrarily, neoclassical economics views manufacturing costs as a key determinant of pricing a product. Thus, neoclassical economists contend that customers' primary determinant of choice is price.
Hence, the two have different beliefs about giving people options. While behavioral economics focuses on assisting people in making better decisions with the options at hand, neoclassical economics places greater emphasis on offering more options.
Want to know how would keynesian and neoclassical economics propose dealing with cyclical unemployment? Read here: brainly.com/question/28213854
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Answer:
Buy at a lower strike put option or sell at a higher call option
Explanation:
100 shares of apple stock bought at $300
premium of put option ( cost ) = $12
Put option = $300
<u>What can be done to reduce the cost of protective put position </u>
To reduce the cost we can either buy at a lower strike put option or sell at a higher call option
Buying at a lower strike put option price ( < $300 )
This way premium will be reduced but this will not hedge against small fall in price
Sell at a higher call option
This way the premium charged will be reduced but if the price rises above the entry price on expiration then the gains made above the price will be foregone .