3 years ago

2 economy questions ..

1 answer:

3 0

To protect consumers from potentially dangerous manufactured goods, the us government is most likely to use : Regulation
For example, the Government will put safety regulations to ensure that all the goods are fulfilling the standard

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Trahan Lumber Company hired you to help estimate its cost of capital. You obtained the following data: D1 = $1.25; P0 = $27.50;

lubasha [3.4K]

Answer:

B. 9.84%

Explanation:

Given that

D1 = 1.25

P0 = 27.50

g = 5%

F = 6%

Recall that

Cost of equity raised = (D1/P0 - [F × P0]) + g

Thus,

= 1.25/27.50 - [0.06 × 27.50] + 0.05

= 1.25/ 25.85 + 0.05

= 0.04835 + 0.05

= 0.09835

= 0.0984

=9.84%

8 0

3 years ago

Read 2 more answers

A step out is a pricing practice in which a firm:

Katen [24]

I would say the answer is D

3 0

3 years ago

Calculate marginal cost

Vsevolod [243]

Answer:

Ok but where is the question?

6 0

3 years ago

Your uncle is about to retire, and he wants to buy an annuity that will provide him with $75,000 of income a year for 20 years,

Nataly_w [17]

Answer:

The annuity will cost him $963,212.95.-

Explanation:

Giving the following information:

Cash flow= $75,000

Interest rate= 0.0525

n= 20

First, we need to calculate the final value. We will use the following formula:

FV= {A*[(1+i)^n-1]}/i + {[A*(1+i)^n]-A}

A= annual cash flow

FV= {75,000*[(1.0525^20) - 1]/0.0525} + {[75,000*(1.0525^20)] - 75,000}

FV= 2,546,491.88 + 133,690.82= $2,680,182.70

Now, the present value:

PV= FV/(1+i)^n

PV= 2,680,182.70/(1.0525^20)

PV= $963,212.95

4 0

3 years ago

When the rate of inflation is equal to the interest rate on beth's deposit, the purchasing power of her depositrises over the co

Readme [11.4K]

Her purchasing power over the year remains the same.

Since the prices (inflation) rise with the same pace as the value of the money (interest rate), Beth can keep buying the same amount of products. Her purchasing power remains equal.

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3 years ago