Answer:
The correct answer is b) Product of the number of workers and the level of human capital
Explanation:
The efficiency unit of labor is determinate as a product of the total number of workers in the economy, where the human capital is the best indicator of productivity
Answer:
Here's my Macroeconomic model.
Explanation:
Thus, the five-sector model includes (1) households, (2) firms, (3) government, (4) the rest of the world, and (5) the financial sector. The financial sector includes banks and non-bank intermediaries that engage in borrowing (savings from households) and lending (investments in firms).
Answer:
explains how a firm's WACC increases with the use of financial leverage.
Explanation:
According to the MM Proposition II with taxes, the cost of equity rises with the increases use of debt in the capital structure of a firm.
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As cost of equity increases, the firm's WACC increases also
The MM Proposition I with taxes reveals how utilizing the tax shield on debt causes an increase in the value of a firm
Answer:
C $ 596.39
total payment 7,156.68
Interest expense 2,156.68
Explanation:
6,000 - 1,000 = 5,000 amount to finance
We will calcualte the cuota of an annuity of 6 years with semianual payment at 12% annual rate.
PV $5,000.00
time 12 (6 years times 2 payment per year)
rate 0.06 (12% annual we divide by 2 to get semiannual)
C $ 596.39
The total amount paid will be the cuota times the time of the loan:
Total amount paid
596.39 x 12 = 7,156.68
The interest will be the difference between the total amount paid and the principal of the loan
Interest paid
total payment 7,156.68
principal (5,000)
Interest expense 2,156.68