Answer:
The present value, when interest rates are 8.0 percent, of a $160 payment made every year forever is $2,000.
Explanation:
Payments each year = Cash flow = C = $160
Rate of Interest = r = 8% = 0.08
Present value of Perpetuity = Cash flow / rate of return
Present value of Perpetuity = C / r
Present value of Perpetuity = $160 / 0.08
Present value of Perpetuity = $2,000
So, the present value, when interest rates are 8.0 percent, of a $160 payment made every year forever is $2,000.
Answer:
$5,775
Explanation:
The computation of the interest payment is shown below:
= Note payable amount × rate of interest × number of months ÷ total number of months in a year
= $110,000 × 9% × 7 months ÷ 12 months
= $5,775
We simply multiplied with the note payable , interest rate, and the given number of months to find out the interest expense
And, the seven months is calculated from June 1, 2013 to December 31, 2013
Answer:
research four other examples of inferior goods.
There are many examples of inferior goods. Inferior goods are al those goods whose demand rises in times of economic recession. Some examples are:
Cheap food substitutes like supermarket coffee, instantaneous ramen, or canned vegetables.
Cheap clothes.
Flights in low-cost airlines.
Consider the impact of economic recessions and expansions on normal goods.
Economic recessions impact normal goods negatively because people have less income to spend, and they opt to substitute the normal goods for inferior goods.
discuss how revenues of inferior goods producers are expected to be affected by economic recessions and expansions.
In economic recessions, revenues for producers of inferior goods are expected to rise because demand for inferior goods grows. However, because inferior goods are precisely cheaper, this does not necessarily mean that every inferior good producer will make a lot of money.
In economic expansions, revenues for producers of inferior goods will fall, because people, with more income, will flock to normal goods or even luxury goods.
Answer:
See below
Explanation:
Given the above information, margin is computed as;
Margin = Net operating income / Sales
Sales = $37,880,000
Net operating income = $3,508,960
Then,
Margin = $3,508,960 / $37,880,000
Margin = 9.26%
Therefore, the division's margin used to compute ROI is closest to 9.26% approximately
<span>Cross-sell is the practice of selling or suggesting related or complementary products to a prospect or customer. Cross selling is one of the easiest and most effective methods of marketing.</span>
