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spin [16.1K]
3 years ago
12

The annual profit from an investment is $ 25 comma 000 each year for 5 years and the cost of investment is $ 75 comma 000 with a

salvage value of $ 40 comma 000. The cost of capital at this risk level is 14​%.
Business
1 answer:
REY [17]3 years ago
5 0

Answer:

Year Cashflow [email protected]%             PV

            $                         $

0         (75,000)                1  (75,000)

1-5          25,000          3.4331     85,828

5               40,000          0.5194             20,776

                                                   NPV     31,604

Explanation:

In this question, we need to consider the initial outlay in year 0. The cashflows for year 1 to year 5 will be discounted at present value of annuity factor of 3.4331, which could be obtained from present value of annuity table. The salvage value will be considered in year 5 and discounted at the discount factor for year 5, which could also be obtained from present value table. Thus, net present value is calculated by adding the present value of cash inflows for year 1 to 5 to the present value of salvage value and deduct the initial outlay.

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Answer:

A. The existence of a religious life

Explanation:

The creatures which are half-animal and half-human or have features from animal ofter represent goods(Seth, Tiamat) or sons of goods (Horus)

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3 0
3 years ago
When interest rates are high, consumers have a greater incentive to ______ more, but when interest rates are low, consumer have
viva [34]

When interest rates are high, then the consumers have a greater incentive to save more, but when interest rates are low, consumer have a greater incentive to borrow more.

<h3>What is Interest Rate? </h3>

This refers to the charge which is given for a particular loan which is replayed after a certain time.

With this in mind, high interest rates are not appealing to customers so they rather save and then borrow when the interest rates are low.

Read more about interest rates here:

4 0
1 year ago
The natural rate of unemployment will help determine
kotykmax [81]
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4 0
3 years ago
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A person is planning to open a savings account with the intent to buy a house in 5 years. They will invest an equal amount each
lisov135 [29]

Answer:

The correct answer is C: $4300

Explanation:

Giving the following information:

They will invest an equal amount each month for 5 years.

This account will earn 6% per year(0.5% per month)and will have $300,000 at the end of the 5-year term

We need to use the following formula:

final value= {A[(1+i)^n-1]}/r

A= cuota

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3 0
3 years ago
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stepan [7]

Answer:

0.75 wheat

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18 / 24 = 0.75 wheat

7 0
2 years ago
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