Answer:
7.42%
Explanation:
Value = 500 million
Amount of debt = 200 million
Time = year
Volatility = 6%
Risk free rate = 0.05
Nd1 = 0.9720
Nd2 = 0.9050
We have to calculate the value =
500 - (500 x 0.9720 - 200 x e^-0.05 x 0.9050)
= 186.17 million
We now calculate the yield
(200/186.17)^1 - 1
= 0.0742
= 7.42%
The term that best fits the blank above is HOT SITE. A hot site is very useful once a business experiences disaster in the recovery service. This allows the business to still resume in utilizing computer operations when a disaster happens. Therefore, it would be a great advantage to have a hot site or any equivalent to this.
Answer:
The monthly payment is $2184.52
Explanation:
Given




Required

Firstly, the loan amount has to be calculated
The Question says; of the total amount spent, only 60% was borrowed;
So;


The monthly payment can then be calculated using the following formula

Where P = Loan Amount = 132,000
r = rate of payment = 5.95% = 0.0595
n = duration (in month)
n = 6 years
n = 6 * 12 months
n = 72 months;
Substitute the above parameters in the formula;
becomes










<em>Hence, the monthly payment is $2184.52</em>
Answer:
Perfect price discrimination
Explanation:
Perfect price discrimination or first degree discrimination is defined as one in which the maximum price possible is charged for each unit of product sold to the customer.
This is aimed at capturing all consumer surplus for the monopoly.
This can occur for example in cases where the zip code of clients is located in an area where wealthy people reside.
The monopolist can charge the highest possible price based on the location.
Why should mary ann and nana create a business plan is to enables the aim and objective of their business to be realistic.
Mary ann and Nana should create a business plan due to the following reasons:
- Creating a business plan will help them to achieve their core business goals.
- Business pan will help both mary ann and nana to determine the strategy they need to achieve their aims.
- Creating a business plan will help to highlights all the vital information concerning the business so as to make their business succeed.
- Creating a business plan will help in maximizing their profit or in managing their cash.
Inconclusion why should mary ann and nana create a business plan is to enables the aim and objective of their business to be realistic.
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