Answer:
$15,000
Explanation:
Joe has sold the house he has been living in for 10 years to the Smiths family
He sold the house at $300,000
Joe receives $50,000 more than the original price bargained 10 years ago
He pays the real estate agent a commission of 5%
= 5/100
= 0.05
Therefore the increase in gross domestic product can be calculated as follows
= $300,000×0.05
= $15,000
Hence, the transaction will increase the gross domestic product by $15,000
Answer:
C
Explanation:
This case is en example of Planned, unfunded retention because here the outcome is already known but nothing can be done about it. So this does not affect our managerial and financial decision making.
Unfunded retention is type of retention plan under which losses are paid out of cash flow or out of funds obtained by borrowing
The interest amount earned is removed from the accumulated amount of savings because the interest is simple interest.
<h3>What is Interest?</h3>
interest is the percentage amount earned over the savings made and deposited in the account, the interest is a basic market interest rate that is applied to the savings to calculate the amount of interest income for a given period of time.
The savings are deposited and they are applied for the interest rate the interest income is also included in the original savings, then for the next year the interest rate will again be only applied to the original savings amount and not the compounded amount that is the original amount of savings plus the interest earned in the first year.
That is why the interest earned in the first year is deducted from the total savings in the account to calculate the interest income for the second year.
Learn more about Interest at brainly.com/question/17072533
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So that the employees know the policy of the job and so if something does go wrong they cant be held accountable
Answer:
At a discount rate of zero percent this investment has a net present value of 6000, but at the relevant discount rate of 17 percent the project's net present value is -5739.
Explanation:
See document attached. To get the net present value, we make a cash-flow in excel.
At moment the investment is =$-36,000
Moment 1 and 2 = $12,000 /moment 3 =$18000
We calculate the Net cash flow (that is the difference between benefits and cost).
To get net present value, we use VNA formula.
=VNA(required rate of return; Net cash flow from moment 0 to moment 3 )+Net cash flow at moment 0
Situation 1
Interest rate 0%
Net Present Value (NPV) 6000
Situation 2
Interest rate 17%
Net Present Value (NPV) -5739
