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scZoUnD [109]
1 year ago
5

The owner of a national software company has been watching current economic information for the past two quarters and a rapid ri

se in demand for its software suites. Last month 30 new software engineers were hired to meet the demand. Even though these new hires will finish their project work in a few months, the owner plans to retain them in anticipation of future demand. Why is the owner making these type of decisions for the long-run
Business
1 answer:
LuckyWell [14K]1 year ago
4 0

The owner is making this long-run decision based on his rational expectations of economic growth to meet future demands.

<h3 /><h3>What are long term decisions?</h3>

They are a strategic process that means designing an economic scenario based on perspectives, vision and organizational goals, with short-run decisions being the actions present to achieve long-run objectives.

Therefore, the owner is making long-run decisions in line with his expectations for the future of the business by looking at the current economic scenario.

Find out more about long-run decisions here:

brainly.com/question/14522871

#SPJ1

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Answer:

Hierarchical organizational structure

Explanation:

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3 years ago
What are closing costs?
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Present value with periodic rates. Sam​ Hinds, a local​ dentist, is going to remodel the dental reception area and add two new w
rusak2 [61]

Answer:

What will Sam have to pay for this equipment if the loan calls for semiannual payments ​(2 per​ year)

  • $2,820.62

and monthly payments ​(12 per​ year)?

  • $531.13

Compare the annual cash outflows of the two payments.

  • total semiannual payments per year = $2,820.62 x 2 = $5,641.24
  • total monthly payments per year = $531.13 x 12 = $6,373.56

Why does the monthly payment plan have less total cash outflow each​ year?

  • The monthly payment has a higher total cash outflow ($6,373.56 higher than $5,641.24), it is not lower. Since the compounding period is shorter, more interest is charged.

What will Sam have to pay for this equipment if the loan calls for semiannual payments ​(2 per​ year)?

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Explanation:

cabinet cost $25,000

interest rate 10%

we can use the present value of an annuity formula to determine the monthly payment:

present value = $25,000

PV annuity factor (5%, 12 periods) = 8.86325

payment = PV / annuity factor = $25,000 / 8.8633 = $2,820.62

present value = $25,000

PV annuity factor (0.8333%, 60 periods) = 47.06973

payment = PV / annuity factor = $25,000 / 47.06973 = $531.13

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