Answer:
Trade-off. act of giving up one thing of value to gain another. Opportunity Cost. value of the next best alternative you could have chosen. Marginal Benefit.
Explanation:
Answer:
The annualized return is 14.82%
Explanation:
The formula for annualized return is given as Annualized return = (1+ holding return)12/n - 1
Holding return is 8.4%
n is the holding period of 7 months
Annualized return =(1+0.084)^(12/7)-1
Annualized return =14.82%
It is wrong to simply calculate annualized return as 8,4%*12/7,which means one is taking the interest to annual interest by proportional method,as this gives 14.40%, in investment every basis point counts.
The difference between the two figures is 0.42% which could translate into millions depending on the amount invested as well as the duration of investment
Answer:
Explanation:
The journal entry is shown below:
Bonds payable A/c Dr $640,000
Premium on bonds payable A/c Dr $23,970
Loss on bonds redemption A/c $8,030
To Cash A/c $672,000 ($640,000 × 1.05)
(Being the redemption of bond is recorded and the remaining balance is debited to the Loss on bonds redemption account)
The Premium on bonds payable is computed below:
= Carrying value of the bonds - face value of the bond
= $663,970 - $640,000
= $23,970
<span>Marginal pruduct of first worker is 3 yards. Marginal product of second worker is 4 yards. Marginal product of third worker is 5 yards.The marginal product of labor potentially increases due to specialization.</span>
Answer:
The annual worth of the overhead costs for 7 year-period is
A = $389743.42.
<em>Then the time value of the annual worth is discounted by 8%</em>
∴ $389743.42 x 0.08 = $31179.47.
Explanation:
Using the formula
A = P(1 + r/n)
Where:
A = ?
t = 7
P = $200,000.00
r = 10%
n= 1
TVM =8%
∴ A = $200,000.00(1 + 0.10/1)
A = $200,000.00(1.10)
A = $200,000.00(1.9487171)
A = $389743.42
<em>Then the time value of the annual worth is discounted by 8%</em>
∴ $389743.42 x 0.08 = $31179.47
