Answer:
$69,300
Explanation:
Given the following :
House A :
Sales price = $70,000
Monthly rent = $500
GRM = 140
House B :
Sales price = $68,500
Monthly rent = $490
GRM = 139.8
House C :
Sales price = $70,500
Monthly rent = $485
GRM = 139.6
The gross rent multiplier GRM is obtained as the proportion of the sale price of a property to it's monthly rent.
GRM = (Sales price / monthly rent)
If a property is rented for 495 and house A is the
most comparable, then
Sales price will be closest to:
GRM of House A × monthly rent of property
140 × $495 = $69,300
Answer:
Forecast and planning
Explanation:
An anticipatory model is a model under which market forecast determines the production of products by the manufacturer, and purchases by retailers also determined by forecasts and promotional plans. Since the forecasts are wrong most of the times, anticipatory model usually leads to differences in the actual production of the firms and what they initially planned to produce.
Anticipatory Model is a risky model because anticipation of future events always determines the work to do by the firm.
On the contrary, the Responsive Business Model does not depend on forecasts, but ensure that what to be done are adequately planned and information among firms in the supply chain are properly exchanged. This makes the model not to be risky and ensure doing more than what has already been planned is avoided. Therefore, the aim of the responsive model which also known as Pull Model is to eliminate reliance on forecast.
The major reason the Responsive Model has become popular in supply chain collaborations is that it allows for the customization of products on smaller orders by customers. However, the Anticipatory Model does not give customers any choice or power but to buy or not buy.
The current value of a zero-coupon bond is $481.658412.
<h3>
What is a zero-coupon bond?</h3>
- A zero coupon bond (also known as a discount bond or deep discount bond) is one in which the face value is repaid at maturity.
- That definition assumes that money has a positive time value.
- It does not make periodic interest payments or has so-called coupons, hence the term zero coupon bond.
- When the bond matures, the investor receives the par (or face) value.
- Zero-coupon bonds include US Treasury bills, US savings bonds, long-term zero-coupon bonds, and any type of coupon bond that has had its coupons removed.
- The terms zero coupon and deep discount bonds are used interchangeably.
To find the current value of a zero-coupon bond:
First, divide 11 percent by 100 to get 0.11.
Second, add 1 to 0.11 to get 1.11.
Third, raise 1.11 to the seventh power to get 2.07616015.
Divide the face value of $1,000 by 1.2653 to find that the price to pay for the zero-coupon bond is $481.658412.
- $1,000/1.2653 = $481.658412
Therefore, the current value of a zero-coupon bond is $481.658412.
Know more about zero-coupon bonds here:
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