Answer:
The correct option is 4 years
Explanation:
Payback period is the length of time it takes an investment to repay itself.By repaying itself I meant the time horizon taken for the initial capital outlay from a project to be recovered.
Payback period=initial investment /net annual cash inflow
initial investment is the $24,000 spent in acquiring the new machine
net annual cash flow =net income+depreciation
depreciation is added because it is not a cash flow in real sense
net annual cash flow=$2000+$4000=$6000
payback period=$24,000/$6000= 4 years
<span>Boolean is the answer. Every decision
you make in a computer program involves evaluating one or more Boolean expression.
The code behind a computer program is basically composed with a lot of Boolean expressions.
This is entirely important because computers work in binary </span><span>and Boolean logic </span>fits
nicely with the binary numbering system, in which each bit has a value of
either 1 or 0.
Answer:
The formula is
Price of the bond = [ $25 x ( 1 - ( 1 + 2.35% )^-30 )/ 2.35% ] + [ $1,000 / ( 1 + 2.35% )^30 ]
Explanation:
To calculate the price of the bond, use the following formula
Price of the bond = [ Coupon payment x ( 1 - ( 1 + Semiannual market rate )^-numbers od periods )/ Semiannual market rate ] + [ Face value / ( 1 + Semiannual market rate )^numbers of periods ]
Where
Coupon payment = $1,000 x 5% x 6/12 = $25
Semiannual market rate = 4.7% x 6/12 = 2.35%
Numbers of periods = 15 years x 12/6 = 30
Face value = $1,000
Placing values in the formula
Price of the bond = [ $25 x ( 1 - ( 1 + 2.35% )^-30 )/ 2.35% ] + [ $1,000 / ( 1 + 2.35% )^30 ]
Answer:
The correct answer is letter "B": large numbers of depositors withdrawing their deposits within a short period of time.
Explanation:
A bank run is a situation in which account holders massively withdraw their funds under the fear the financial institution will lose its liquidity. The situation gets to a point in which the bank is at risk of sensing all its reserves and fail to provide all its clients the money they deposited.
In the U.S. financial institutions with deposits between $16 and $122.3 million must have a minimum reserve of 3%. When the deposits exceed $122.3 million the minimum reserve increases to 10%. The rest of the money is reinvested by banks.
