Answer:
If the effective tax rate increases then the net savings coming from investments will get lowered as a result the investment will have higher payback period (The increase in effective tax rate would lower demand of the product which means there is decline in net saving arising from the sale of the product). Likewise this decrease in annual net savings will also decrease the internal rate of return which shows that their are increased chances of project rejections. The NPV method is based on cash flows and relevant costing just like IRR and payback method but the only difference is that it assumes that the cash earned would be reinvested at cost of capital. The NPV will also decrease due to increased effective tax rate.
<span>monuments is the right answer </span>
Answer:
option (C) $5 in the U.S. and 3 euros in Italy
Explanation:
Data provided in the question:
Nominal exchange rate, E = 0.80 euros per dollar
Real exchange rate = 
Now,
Real exchange rate = [ Price of good in US ] ÷ [ Price of Good in Italy ]
= 
Here,
PU = Price of US in dollars
PI = Price of Italy in Euros
Thus,
Real exchange in rate
= 
or
= 
hence,
we get
Ratio of Price of a good in US to Price of a Good in Italy =
or
we can say $5 in the U.S. and 3 euros in Italy
option (C) $5 in the U.S. and 3 euros in Italy
Answer:
Psychological value
Explanation:
Psychological value :
In psychology Value alludes to the relative significance that an individual places on a thing, thought, individual.
The term value has two related at this point particular implications. In its social-mental significance, conversely, a worth is a dynamic, attractive end express that individuals take a stab at or plan to maintain, for example, opportunity, dedication, or convention.
