Answer:
The higher the income, the higher the tax rate.
Explanation: The more money they make the more money the state will take form you
principal = p
annual interest rate R = 6%
1-year time t
interest amount = p+t/100
The 2-year interest rate is 100 and the time is 2
100= p×2×6/100
100 × 100/ 2×6=p
p=10000/ 12
=5000/6
=2500/3
=833.33
investment = 833.3
number of compounding periods)) ^ (number of compounding periods) - 1. For investment A, this is: 10.47% = (1 + (10% / 12)) ^ 12 - 1. investment For B, it looks like this: be : 10.36% = (1 + (10.1% / 2)) ^ 2 - 1.
The formula for converting simple interest to annual compound interest is (1 + R/N)N - 1 where R is the simple interest rate. , where N is equal to the number of compounded interest in one year. Future Value Formula The superscript n represents the number of compounding periods that occur during the period you are calculating. ...
3) FV = $1,000 x (1 + 0.1)5
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Answer:
The correct answer is (C) a general and ongoing rise in the average level of prices in an economy.
Explanation:
The definition above, usually applies to inflation only if the rise happens for a certain period of time. In other words, the price does not fluctuate. Though oftentimes we consider inflation as bad, this occurrence brings both positive and negative effects. Negative effects of inflation are seen in the discouragement of savings and investments and goods shortages because people might consider buying products at large quantities due to the price volatility. Positive effects of inflation include the decrease of unemployment.
Answer:
Testerman Construction Co.
Internal rate of return method in analyzing capital expenditure:
Present value of expenditure = $149,630
Present of cash inflows annuity = $149,630 (using 20% discount rate and present value annuity factor of 3.3251 x $45,000)
NPV = $0 (PV of cash outflow - PV of cash inflow)
Therefore, the IRR = 20%
Explanation:
a) Data and Calculations:
Investment cost = $149,630
Annual net cash flows = $45,000
Investment period = 6 years
Annuity of future cash flows = 3.3251
b) Testerman’s IRR (Internal Rate of Return) is a capital budgeting and analysis tool which determines the discount rate that makes the present value of future inflows equal to the present value of outflows from a project. This IRR helps the managers to determine the projects that add value and are worth undertaking. IRR is based on assumptions. Similar projects with the same IRR will differ in returns due to the differences in timing and the size of the cash, the amount of debts and equity used to generate the returns, and the assumption of a constant reinvestment may which IRR makes.
Answer:
Planning.
Explanation:
Planning is a term used to describe the process of developing the organization's objectives and translating those into courses of action.
This ultimately implies that, planning is a strategic technique used by organizations to make an aggregate plan for its manufacturing (production) process typically ahead of time, in order to have an idea of the level of goods are to be produced and what resources are required so as to reduce the total cost of production to its barest minimum.
Hence, planning is an attempt to develop organizational objectives, goals, and forecasting of consumer demands within the criteria set by product, production process and distribution methods i.e within the intermediate range of its capacity.
