Answer:
- <u>The rate of return is 8.15%</u>
- <u>This is a good investment</u>
<u></u>
Explanation:
For the first question, you need to find the rate that makes the present value of a stream of ten constant annual payments of $15,000 equal to the $100,000 investment.
The formula that returns the present value of a constant payment is called the annuity formula and is:
![Present\text{ }value=payment\times \bigg[\dfrac{1}{r}-\dfrac{1}{r(1+r)^t}\bigg]](https://tex.z-dn.net/?f=Present%5Ctext%7B%20%7Dvalue%3Dpayment%5Ctimes%20%5Cbigg%5B%5Cdfrac%7B1%7D%7Br%7D-%5Cdfrac%7B1%7D%7Br%281%2Br%29%5Et%7D%5Cbigg%5D)
In your problem you know:
- Present value: $100,000
- payment: $15,000
- r: ?
- t: 10
You cannot solve for r directly. You must guess a value and calculate the right side of the equation until to you find the rate that makes it equal to 100,000.
Try 5%:
![\$15,000\times \bigg[\dfrac{1}{0.05}-\dfrac{1}{0.05(1+0.05)^{10}}\bigg]=\$115,826](https://tex.z-dn.net/?f=%5C%2415%2C000%5Ctimes%20%5Cbigg%5B%5Cdfrac%7B1%7D%7B0.05%7D-%5Cdfrac%7B1%7D%7B0.05%281%2B0.05%29%5E%7B10%7D%7D%5Cbigg%5D%3D%5C%24115%2C826)
Then, the rate of return is greater than 5%. After several trials you will find that the rate of return is 8.15%.
Since this rate is higher than 8%, which is what the company requires, this is a good investment.
Answer:
2
Step-by-step explanation:
The formula for findining slope it y2-y1/x2-x1
so 9-5=4/ 6-4=2
4/2 is 2
the slope is 2
Find slope by calculating rise (change in y) over run (change in x).
1-(-3)/-4-0
4/-4
-1
Final answer: A
Answer:
<h3>#5</h3>
<u>Given vertices:</u>
These have same x-coordinate, so when connected form a vertical segment.
<u>The length of the segment is:</u>
The area of the rectangle is 72 square units, so the horizontal segment has the length of:
<u>Possible location of the remaining vertices (to the left from the given):</u>
and
<h3>#6</h3>
<u>Similarly to previous exercise:</u>
- (5, -8) and (5, 4) given with the area of 48 square units
<u>The distance between the given vertices:</u>
<u>The other side length is:</u>
<u>Possible location of the other vertices (to the right from the given):</u>
and
Answer:
11.26/99 12.yy x x is 77/60 13.y yyyy xxx