Answer:
He must invest $36,751
Explanation:
Future value is the sum of value of principal invested and compounded return received over the investment period.
Using following formula of future value to calculate the required interest rate.
FV = PV x ( 1 + r )^n
FV = Future value = $50,000
n = number of years = 4 years
r = Interest rate = 8%
PV = Present value = ?
$50,000 = PV x ( 1 + 8% )^4
$50,000 = PV x ( 1 + 0.08 )^4
$50,000 = PV x ( 1.08 )^4
$50,000 = PV x 1.3605
PV = $50,000 / 1.3605
PV = $36,751.19
Answer and Explanation:
a. If there is an increase in export so it would lead to increase in net exports also the aggregate demand would also increase due to which the real GDP would rise
b. This would cause the inflation
c. So the appropriate fiscal policy would increase the taxes and reduction in the government purchase. This would decrease the aggregate demand
d. These actions would reducing the actual real GDP
Answer:
The Portfolio beta is 1.1045
Explanation:
The computation of the portfolio beta is given below:
<u>Stock Beta Investment (Weight) Weighted Beta
</u>
Stock Q 0.8 0.3 0.2400
Stock R 1.18 0.25 0.2950
Stock S 1.19 0.25 0.2975
Stock T 1.36 0.2 0.2720
Portfolio beta 1.1045
Answer:
We expect investment spending to increase by $ 1 billion
Explanation:
If investment decreases by $ 1 billion if a 1 % change is made then that is sensitivity of investment to change in interest rate. Thus if there is a 1 % reduction in interest rate we expect to see a $ 1 billion increase in spending if this holds true.
Explanation:
1- Hire an organizational consultancy specialized in diagnostics and solutions to improve the organizational culture, as an external view can be beneficial to perceive the organization free of bias.
2- Planning of the teams' routine and better redesign and definition of the functions of each employee, seeking greater integration and personal satisfaction with the work, which increases productivity and the valorization of the work.
3- Implementing changes in the way of communicating with the teams and providing feedback, clear and objective communication is essential for there to be a correct understanding of what is expected of each team and how to carry out the tasks to achieve the organizational objectives and goals.