Answer:
Explanation:
the minimun value is expressed by the present value of the investment using a 7% rate, lets recall the formula for finding present values:

where, PV is present value, FV is the future value, and n is time elapsed. So applying to this problem we have:


So the minimun value which is profitable to pay is 5,083.49 today, in that sense you will get a return on 7% compounded after 10 years
Answer:
B. Is easier to train new employees
Explanation:
Employment specialization is characterized as a procedure of appointing a lot of individuals or people who have extraordinary aptitude in a specific zone to finish the work and train other employees. Job specialization is an effective way that helps to train new employees. It is an effective way to help new employees to work efficiently and effectively.
Answer:
$118.83 per month that Zach must save.
Explanation:
This is a future value annuity as we know the cruise will cost $16500 in 4 years time as estimated by Zach for the cruise.
Fv is the future value for the annuity which is $16500
we also have i the interest rate which is 3.99% monthly
n is the number of periods in which the monthly amount is saved 4 x 12 =48
now we will substitute to the following formula and solve for C the monthly payments that Zach saves for the cruise:
Fv =C [((1+i)^n -1)/ i] now we substitute
$16500 = C[((1+3.99%)^48 -1)/3.99%)] then solve for C
$16500/[(1+3.99%)^48 -1)/3.99%] = C
C = $118.83 that Zach must save per month for 4 years to afford the cruise.
Answer:
d.$5,000
Explanation:
In order to find the maximum amount of possible expansion in the money supply we will have to find the money multiplier. The formula for the money multiplier is
1/reserve ration =1/0.2=5
Now that we know that the multiplier is 5 we will multiply is by 1000 which is the initial deposit, to get the total possible expansion in the money supply, 1000*5= 5000
The answer will be C. find a way to lower your costs