Answer:
The first investment is more profitable than the general market interest rate.
Explanation:
Giving the following information:
An investment will pay $202,000 at the end of next year for an investment of $182,000 at the start of the year. The market interest rate is 7.9% over the same period.
<u>To compare both options, we need to calculate the final value of investing the $182,000 in other investment that pays a 7.9% interest rate.</u>
We need to use the following formula:
FV= PV*(1+i)^n
FV= 182,000*(1.079)= $196,378
The first investment is more profitable than the general market interest rate.
You should report the vendor for fraud and your boss for association with the vendor.
Management Information System (MIS)
I believe is your answer!
An example of "Framing" is that a person may reject an investment when it is posed in terms of risk surrounding potential gains, but may accept the same investment if it is posed in terms of risk surrounding potential losses.
<u>Explanation:</u>
A cognitive bias (systemic fault in one's thinking) where people suggest or decide whether the choices to be viewed as plus or minus implications, instance like loss or a gain and understood as Framing effect.
People tend to avoid risk when presenting a successful frame but look for risks when presenting a negative frame. Individuals will phrase their material in such a way as to force you to join.
For an instance, a musician could say millions are listening to them. You might want to participate because that is what so many other people do.
Answer: c. $94,240
Explanation:
On December 31, 2005, one payment has already been made which would mean that only 7 payments are left. As the first of these remaining 7 will be paid the year after, this is an ordinary annuity.
Note payable value = Present value of seven $20,000 payments
= 20,000 * Present value of ordinary annuity of 1 at 11% for 7 years.
= 20,000 * 4.712
= $94,240
