Answer:
The total cost of establishing the portfolio is $2054.95.
Explanation:
The present value of a bond is given as
For 1 year zero-coupon bond is
- FV is 500
- r is 7% or 0.07
- n is 1
So the value is
Similarly, for 3 years zero-coupon bond is
- FV is 2000
- r is 8% or 0.07
- n is 3
So the value is
So the total cost is
Total Cost=Cost of 1-year zero-coupon bond+Cost of 3-years zero-coupon bond
Total Cost=$ 467.29+$ 1587.66
Total Cost= $ 2054.95
So the total cost of establishing the portfolio is $2054.95.
Answer:
Results are below.
Explanation:
Giving the following information:
Miles Driven Total Cost
January 10,000 $17,000
February 8,000 13,500
March 9,000 14,400
April 7,000 12,500
<u>To calculate the variable cost per unit and the total fixed cost, we need to use the following formula:</u>
Variable cost per unit= (Highest activity cost - Lowest activity cost)/ (Highest activity units - Lowest activity units)
Variable cost per unit= (17,000 - 12,500) / (10,000 - 7,000)
Variable cost per unit= $1.5
Fixed costs= Highest activity cost - (Variable cost per unit * HAU)
Fixed costs= 17,000 - (1.5*10,000)
Fixed costs= $2,000
Fixed costs= LAC - (Variable cost per unit* LAU)
Fixed costs= 12,500 - (1.5*7,000)
Fixed costs= $2,000
Answer:
Explanation:
Present value of Annuity will be used for this as the future payments are given after equal intervals.
PV of an Annuity = C x [ (1 – (1+i)^-n) / i ]
Where,
C is the cash flow per period
i is the rate of interest
n is the frequency of payments
add given Values in the formula:
$1,000 x [ (1 – (1+4%)^-12) / 0.04 ]= $9387.5 is the Answer
Answer:
The correct answer is a) Sponsorship.
Explanation:
When it comes to sponsorship between two companies, it refers to the agreement they make so that one of the companies helps the others to promote its brand or product, benefiting from an economic incentive or the same product.
For example, in the case of the Livesheer company, they help sponsor the music festival with the agreement that the organizers promote their clothing brand at the festival through advertisements, as well as let them deliver a sample of their product to potential customers. This strategy is achieved through the sponsorship that Livesheer will give to the event organizers.
<em>I hope this information can help you.</em>
Answer:
Individual branding policy
Explanation:
Individual branding often referred to as single product branding, flanker labels or multi branding, is "an advertising technique under which goods are assigned brand names which are newly formed and usually not related to existing franchise names that the business is selling.
Individual branding is by far the most successful when a corporation offers various unrelated goods differing in price and quality and targeting specific areas of the market. It is also helpful when presenting to the industry a recent high-risk commodity to handle hazards to established products if the new model fails.
Thus, from the above we can conclude that the given case depicts individual branding policy.
