Answer:
Fair price =$635.23
Explanation:
<em>Th fair price that he should be willing to pay is the present value of the $1000 expected in 5 years time.</em>
<em>Present value (PV) is the worth today if a future amount is discounted at a particular rate of interest.</em>
PV = FV × (1+r)^(-n)
PV - present value = ?
FV -Future value - 1000,
r- discount rate - 9.5%,
n - future date - 5
PV = 1,000 × (1.0950^(-5)
PV = 1,000 × 0.6352
PV =635.2276653
Fair price =$635.23
Answer:
14.4%
Explanation:
Calculation for what will be your expected rate of return on the stock.
Expected rate of return on the stock=12% + 1(5%-4%) + .7(8%-6%)
Expected rate of return on the stock=12%+1(1%)+.7(2%)
Expected rate of return on the stock=12%+1%+1.4%
Expected rate of return on the stock=14.4%
Therefore your expected rate of return on the stock is 14.4%
Answer:
Alpha Technology
Outstanding Computer's consumption ratio for setup hours is:
b. 0.48
Explanation:
a) Data and Calculations:
Overhead activities and costs:
Setting up equipment $3,000
Machining $15,000
Excellent Outstanding
Laptops Computers
Direct Labor $25,000 $10,000
Direct Materials $20,000 $5,000
Expected Production in Units 3,000 3,000
Machine Hours 850 2,000
Setup Hours 80 75
Total setup hours = 155 hours
Outstanding Computer's consumption ratio for setup hours = 75/155 * 100
= 48%
Answer:
the answer is A. exchange
hope this helps
I believe the answer is: c. to make the loan look more attractive and competitive now
By offering it at low initial rate, the people who borrow money would experience low burden if they plan to return the money within short period of time. This would make them much more likely to obtain a loan, and it also would make the bank that create the loan program looks better compared to their competitors.
