Answer:
Yes it does. Yes it does.
Answer:
$1.92 million
Explanation:
The value of the subsidy per year = $12,000,000 x 3% = $360,000
Now we have to find the present value of the cash flows using an excel spreadsheet and the net present value function =NPV(discount rate,series of cash flows)
discount rate = 10% (market rate)
cash flows = 8 cash flows of 360,000 each
=NPV(10%,360000,360000,360000,360000,360000,360000,360000,360000) = $1,920,573 ≈ $1.92 million
Answer:
A. Review the budget to identify other areas where costs can be cut.
Explanation:
In the case when the vendor increased the material cost that planned and the increased cost would also be placed in your project i.e. over budgeted so the first thing you should do is review the budget by identifying the areas where the cost cutting to be done
Therefore as per the given situation, the option A is correct
And, the rest of the options are incorrect
In the recent years, investors and hoteliers have been increasingly made aware of how the environment and social life impacts hotel operations and developments. Factors that have contributed to this awareness include the desires of hotel owners and operators to reduce costs of operations, change required for sustainable development, increased regulations that pay attention to development and operations and the way attitudes of investors are changing towards the environment. Sustainability is still a difficult task to measure in the hospitality industry. Business environment faces many challenges because of its dynamic nature
Given Information:
Real GDP growth = Y = 3%
Money growth = M= 7%
Real interest rate = r = 2%
Velocity = constant = 0%
Required Information:
Nominal interest rate = ?
Answer:
Nominal interest Rate = 6%
Explanation:
The quantity theory of money (QTM) equation is given by
ΔM + ΔV = ΔP + ΔY
ΔP = ΔM + ΔV – ΔY
Substituting the percentages given in the problem,
ΔP = ΔM + ΔV – ΔY
ΔP = 7% + 0% – 3%
ΔP = 4%
The fisher equation which relates real and nominal interest rate is given by
Real interest rate = Nominal interest rate - Inflation rate
Re-arranging the equation to find nominal interest
Nominal interest rate = Real interest rate + Inflation rate
Nominal interest rate = 2% + 4%
Nominal interest Rate = 6%
