Answer:
b. Force majeure
Explanation:
Force majeure simply refers to unavoidable accident, unexpected incidents, or chance occurrence that impede the fulfillment of a contract by a party it.
Force majeure is a common clause that is usually included in contracts in order to free both parties to the contract from liability or obligation that may occur due the occurrence of unforeseen circumstance beyond their control.
Examples of these unforeseen incidents include a new government regulation or law, riot, war, or an act of God like earthquake, flood, hurricane, and among others.
From the question, Anker is relying on force majeure because it had sent a letter to Allegheny in 2006 claiming physical difficulties at the mine and a change in the enforcement of regulations relating to coal mining near gas wells hampered their ability to extract coal from the mine.
Answer:
13%
Explanation:
Please find attached a table containing further information needed to answer this question
According to the capital asset price model: Expected rate of return = risk free + beta x (market rate of return - risk free rate of return)
Expected rate of return = risk free + beta x market premium
Beta measures systemic risk
The higher beta is, the higher the systemic risk and the higher the compensation demanded for by investors
4% + (1.5 x 6%) = 13%
Answer:
1. In a Year 20,367 20,017
2. In a Year 21,333 21,917
3. In the case of NPW analysis Selected Target is best option because it is the better and cheaper investment while EUAM analysis states Walmart kit is better option,
4.Target is the best option because the cost difference is only around $600 which will last for 6 Years while in walmart case we will need to replace all the furniture in 3 Years .
Explanation:
1. Using NPW Analysis
Walmart Kit Target
Intial Cost 40000 65000
AMC 10000 12000
Salvage Value 12000 25000
Life Years 3 6
Total Cost
Intial Cost 40000 65000
Less Salvage 12000 25000
Balance 28000 40000
5% Interest 6000 19500
AMC PV 2.71 5.05
Amc 27100 60600
Total Cost 61100 120100
In a Year 20,367 20,017
2. Using EUAW Analysis
Walmart Kit
Target
Intial Cost 40000 65000
AMC 10000 12000
Salvage Value 12000 25000
Life Years 3 6
Total Cost
Intial Cost 40000 65000
Less Salvage 12000 25000
Balance 28000 40000
5% Interest 6000 19500
AMC 30000 72000
Total 64000 131500
In a Year 21,333 21,917
In the case of NPW analysis Selected Target is best option because it is the better and cheaper investment while EUAM analysis states Walmart kit is better option,
Target is the best option because the cost difference is only around $600 which will last for 6 Years while in walmart case we will need to replace all the furniture in 3 Years .
Hence Target product will be the best option we would advice the management to go for.
The statement is true. The present value of a future sum decreases as either the discount rate or the number of periods per year increases, other things held constant.
Future cash flows are reduced by the discount rate, so the higher the cut price fee the lower the existing fee of the destiny coins flows. A lower discount rate leads to a higher present value. As this implies, whilst the discount price is better, cash in the future will be worth less than it's far nowadays.
Preserving other factors steady, as the interest price will increase, the present cost of an quantity to be received at the end of a fixed duration decreases. This means at a higher hobby price the present value of a future cash float falls. Decrease the prevailing price is. inversely related. growing the discount price decreases the present price and vise versa. Future value of that investment.
The prevailing value of a destiny lump sum decreases as the discount fee used decreases, All else held constant. the present cost and discount rate are inversely associated. If the destiny cost and the range of periods are held steady the prevailing price will lower as the cut price rate increases.
Learn more about The present value here:-
brainly.com/question/12736329
#SPJ4
