Answer:
False
Explanation:
Apart from simple interest, compound interest can be used for single payments
the formula for compound interest is : future value - present value
The formula for calculating future value:
FV = P (1 + r)^n
FV = Future value
P = Present value
R = interest rate
N = number of years
The formula for simple interest : amount x time x interest rate
Assume that 1000 is to be received in 2 years at the interest rate of 10%
Simple interest = 1000 x 2 x 0.1 = 200
Compound interest
1000 x (1.1)^2 = 1210
1210 = 1000 = 210
Answer:
The Matt's EAR is 7.24%
Explanation:
The money borrowed by the company (L) = $10 million
Time period for the loan (T) = 4 months
Rate given (APR) = 5.5%
Per Month rate R=5.5%/12=0.46%
The fee of warehouse that is paid at the starting of the loan = 0.5%
Now we have to calculate the Matt’s EAR.
Warehouse fees =0.5%
So Fees F= 0.5% × L = 0.5% × $10 = $0.05 millions
Therefore, the Net amount we get N = L – F = 10 - 0.5 = $9.95 millions
Assume r be the per month EAR
N*(1+r)^4 = L*(1+R)^4
9.95*(1+r)^4 = 10*(1+0.46%)^4
r=0.58%
EAR =(1+r)^12-1= (1+0.58%)^12-1 = 7.24%
Answer: The optimal price is higher than market price by less than $0.50.
Explanation:
Since, it was given that Coase theorem doesn't hold in this situation, hence, the social marginal cost is greater than the private marginal cost by $0.50. The social marginal cost curve lies towards the left of demand curve.
Since the demand and supply curve are not perfectly elastic or inelastic, so the optimal equilibrium occurs at a point (price) which is greater than the prevailing market price, but the difference in the price is less than $0.50.
Therefore, the optimal price is higher than market price by less than $0.50.
<u>Full question:</u>
Trent runs a small business in which he manufactures hinges to be used in kitchen and storage cabinetry. He stores the hinges in his warehouse and delivers them to various cabinet makers prior to them completing the cabinets' construction. Trent is a
A. retailer.
B. intrapreneur.
C. service provider.
D. wholesaler.
E. direct marketer
<u>Answer:</u>
Trent is a wholesaler
<u>Explanation:</u>
A wholesaler acquires the goods from a producer in mass quantity and re-sells it to retailers in tiny portions. Wholesalers obtain a central position in the retailing course set-up. Warehousing is an essential marketing function offered by the wholesaler.
A wholesaler holds a huge accumulation of goods for retailers. Wholesalers support to maintain prices by regulating stocks according to demand. Many wholesalers manage their warehouses for stocking goods. . He also trades goods to the retailer on account. Thus, at both edges the wholesaler serves as a financier.
Answer:
the answer is b: none of the listed options
Explanation: