Answer: $ 10 billion
Explanation: The equation needed to find the values of export and import is given by :
Y = C + I + G + (X - M)
Where;
Y -GDP
C - consumption
I - investment
G - government spending/ public sector spending
X - exports
M - imports
The following values are given from the question:
Y - $75 billion
C - $ 25 billion
I - $ 15 billion
G - $ 25 billion
X - ?
M - ?
75 = 25 + 15 + 25 + (X-M)
Making (X-M) the subject of the formula
(X-M) = 75 - 25 - 25 - 15
= 10 billion
The value of exports and imports is $ 10 billion
Answer:
Machine A = $ 1.22 million
Machine B = $ 0.70 million
Explanation:
The Equivalent Annual Annuity of the machines is as follows
Machine A = $ 1.22 million
Machine B = $ 0.70 million
Thus the Machine A with a higher Equivalent Annual Annuity of $ 1.22 Million is the better machine.
If the company accepted the better machine which is Machine A, the value of the company increases by $ 3.57 Million (Which is the net total of discounted cash Inflows = Net Present value of Machine A)
See attached file for details.
Answer: c. managers
Explanation:
The Sarbanes-Oxley Act of 2002 was passed into law after several accounting frauds rocked the nation in the early 2000's which included the Enron and the WorldCom sagas. These companies had engaged in fraudulent accounting recording practices that deceived investors and ultimately caused massive harm when they were discovered.
As a result, the aforementioned act was passed. One of it's key points is that Management will now be responsible for the accuracy of a firm's financial statements. This logic here is that they will scrutinize the statements more and ensure the accuracy of statements before they are released.
A table is a systematic arrangement of data implementing columns and rows to display information which make it easier for better understanding.
Table number: A table should always be numbered for easy identification
Title of the table
Stubs: These refer to the headings of horizontal rows.
Captions: these refer to the headings of vertical columns
Clear, to the point and a suitable font/ size for the text. Information must be inserted in the same format into the appropriate cells
Answer:
The answer is: The current share price is $47.96.
Explanation:
The current share price is equal to the present value of its expected dividend stream discounting at required return rate of 16%.
We have the dividend stream as followed:
Year 1: $22.00; Year 2:$10.00; Year 3: $8.20; Year 4: $2.80; Year 5: $2.80 * 1.05 = $2,94 and will be growing at 5% constantly afterward ( as dividend will be growing at 5% per year from Year 4 afterward).
So, the current share price is equal to:
22/1.16 + 10/1.16^2 + 8.2/1.16^3 + 2.8/1.16^4 + [Present value as at the end of year 4 of growing perpetuity which is dividend payment after year 4] / 1.16^4 = 33.20 + [ 2.94 / ( 16% - 5%) ] /1.16^4 = $47.96.
So, the current share price is $47.96.