Answer:
The company paid $278,031
Explanation:
Giving the following information:
A company bought a parcel of land twenty years ago. The land is currently worth $575,000. The yearly appreciation rate has been 3.7%.
<u>To calculate the past value of the land, we need to use the following formula:</u>
PV= FV/(1+i)^n
PV= present value (20 years ago)
n= 20
FV= 575,000
i= 0.037
PV= 575,000 / (1.037^20)
PV= $278,031
The economy is consider to be at full employment.
Answer:
14.58%
Explanation:
The computation of the simple rate of return is shown below:
As we know that
Simple rate of return = Annual net income ÷ Initial investment
where,
Initial investment is $32,000
And, the annual net income is
= $6,800 - ($32,000 ÷ 15 years)
= $4,667
So, the simple rate of return is
= $4,667 ÷ $32,000
= 14.58%
We simply applied the above formula
C, the money is worth less so they can pay back more
<span>An </span>incentive<span> is something that motivates an individual to
perform an action. The study of incentive structures is central to the study of
all economic activities (both in terms of individual decision-making and in
terms of </span>co-operation<span> <span>and </span></span>competition<span> <span>within a
larger institutional structure). </span>Ultimately,
incentives aim to provide value for money and contribute to organizational
success</span>. Government’s incentive is very effective among big companies
because they will be force to do better and a reward is also waiting for them.
