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DiKsa [7]
3 years ago
9

Fox Co. has identified an investment project with the following cash flows. Year Cash Flow 1 $ 1,150 2 1,030 3 1,520 4 1,880 a.

If the discount rate is 11 percent, what is the present value of these cash flows
Business
1 answer:
bonufazy [111]3 years ago
6 0

Answer:

The answer is $4,221.77

Explanation:

Present value = Cash flow/(1+r)^n

where n is the number of years

Cash flow 1:

$1,150/1.11^1

=$1,036

Cash flow 2:

$1,030/1.11^2

=$835.97

Cash flow 3:

$1,520/1.11^3

=$1,111.41

Cash flow 4::

$1,880/1.11^4

=$1,238.39

Present Value of all the cash flows is

$1,036 + $835.97 + $1,111.41 + $1,238.39

=$4,221.77

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The cost, in dollars, to produce x designer dog leashes is C ( x ) = 8 x + 3 , and the price-demand function, in dollars per lea
Rzqust [24]

Answer:

Profit maximising price = 48

Explanation:

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Profit maximisation is where Marginal Cost (MC) = Marginal Revenue (MR)

MC = d TC / d Q  =   d (8x + 3) / d x = 8

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Equating MR & MC ,

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Putting value in demand curve,

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3 0
3 years ago
Preferences are characterized generally by: A. income. B. consumption bundles. C. indifference curves. D. budget constraints.
damaskus [11]

Answer:

B. consumption bundles

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Rather it is dependent on consumption bundle. That is the set of goods that will give highest satisfaction to the buyer.

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