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Black_prince [1.1K]
2 years ago
13

In the year 2000, McDonald's was running a game called Monopoly. For every item you purchased at the restaurant, you earned a ti

cket to enter into the game. The highest prize offered two options: (a) $1,000,000 in one installment; or (b) $100,000 to be paid annually during 15 years, starting with one installment at the year 2000. Suppose that the interest rate is 10%. Which option would a savvy financial investor prefer
Business
1 answer:
mamaluj [8]2 years ago
5 0

Option a - $ 1000000 in one instalment

Option b - $100000 to be paid annually during 15 years, starting with one instalment at the year 2000

Interest rate = 10%

Which option would a savvy financial investor prefer

PV of Option a = 1000000 * 1 = $ 1000000

PV of option b = 100000 * PVIFA(10%,15)

PV of option b = 100000 * 7.6060795 = $ 760608

The PV of option a is higher, hence prefer the option a

Learn more about financial investor here brainly.com/question/25572872

#SPJ4

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what are the possible issues of market demand and supply risks that encourage the supply chain partners to carry inventory?
Iteru [2.4K]

Answer:

The main issue involved is the increase in price

Explanation:

In simple words, the main issue involved relating to carrying the inventory is that the price of the inventory or some core raw material might increase which will disrupt the profitability in a brief term.

This issue is very crucial for firms involved in industries which are competitive in nature and the increase in price cannot be directed towards the customers easily.

3 0
3 years ago
When the government transfers resources to the poor in the form of a good or service, it is called?
Airida [17]

When the government transfer resources to the poor in the form of a good or service it is called an in-kind transfer.

Many countries government provide large in-kind transfer resources to the poor in the form of a good or service. These transfers are commonly referred to as government redistribution programs, presumably from the wealthy to the poor.

The term in-kind transfers generally refers to goods, services, and transactions not involving money or not measured in monetary terms are transferred to the needy.

Hence, the in-kind transfers is based on the idea that governments want to target transfers to the needy.

To learn more about in-kind transfer here:

brainly.com/question/20411157

#SPJ4

4 0
1 year ago
The Turtle Society, a nongovernmental not-for-profit entity (NFP), receives numerous contributed hours from volunteers during it
tia_tia [17]

Answer:

B) $0

Explanation:

The IRS doesn't allow not-for-profit organizations to record any revenue from volunteer service, the same happens with individuals, since it doesn't allow them to deduct monetary value for their volunteer service.

The organizations can record certain expenses related to the volunteer work, e.g. travel expenses, food, etc.

6 0
3 years ago
In the late 1800s, a Frenchman observed that individuals who recovered from a disease were not susceptible to that same disease
hoa [83]

Answer:

The process of "exposing healthy subjects to related or weakened disease agents to protect them from the pathogenic agent is now known as vaccination." But using the syphilis organisms would spread a full-blown serious disease agent. "Mercury and Salvarsan were used to treat syphilis. Although both treatments killed the bacterium, Treponema pallidum, the causative agent of syphilis they also caused rashes, liver damage, loss of limbs and life. These side effects have been attributed to improper handling of the drug."

Reference: Gordon State College. “Microbiology and You.” Microbiology and You: An Introduction, 2019

8 0
3 years ago
Bird Corp.'s trademark was licensed to Brian Co. for royalties of 15% of the sales of the trademarked items. Royalties are payab
Romashka-Z-Leto [24]

Answer:

a. $13,000

Explanation:

Calculation for what royalty revenue should be

First step is to find the estimated amount for the second half of the year

Royalties for the second half =

15%*$30,000

Royalties for the second half= $4,500

Now let Compute for the total royalty revenue

Total royalty revenue for 20X5=$8,500+$4,500

Total royalty revenue for 20X5=$13,000

Therefore the royalty revenue should be $13,000

6 0
3 years ago
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