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Alborosie
3 years ago
10

In a recent large PowerBall lottery, the prize was reported to be worth $590 million, which could be taken in 25 equal annual in

stallments of $23.6 million beginning today or as a single payment today of $334 million.a) What interest rate is the lottery commission using?
b) How would you decide whether to take the 25 year annuity or the lump sum?
Business
1 answer:
riadik2000 [5.3K]3 years ago
3 0

Answer:

Explanation:

Interest rate can be calculated using calculator

a) Insert N = 25, PMT = 23.6, PV = -334, FV = 0 => Compute I/Y = 5.0%

b)  

you should take the lump sum payment - IF you could earn a rate higher than 5%

you should take annuity - IF your required return is below 5%

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IrinaK [193]

Answer: D) Output decreases by more than 25 percent

Explanation:

When a firm is said to be experiencing Increasing Returns to Scale, it means that for every additional unit of a factor of production, the firm experiences a higher increase in production than the additional unit. For example, if a Firm's output increases by 1.5 every time they hire an extra worker, the firm is said to be going through Increasing Returns to Scale.

With that same logic, if factors of production were reduced, the company undergoes a reduction in output that is bigger than the reduction in the factor of production.

For this reason, option D is correct in saying that Output decreases by more than 25 percent.

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3 years ago
Car insurance that pays for your injuries when you are in an accident in your car is ? insurance?
zmey [24]

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4 years ago
research and describe an organization that you believe has been highly innovative ( excluding apple). which of the four types of
AleksandrR [38]

Answer:

The innovative Uber Company.

Explanation:

This company used disruptive innovation to disrupt the taxi industry after they started off as a ride sharing platform in 2010/2011. From humble beginnings, just after a few years after lunch, this company has over 110 million users worldwide.

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Note that disruptive innovation is marked by creating a change from the status quo; which may invariably affect the normal trend– in this case commercial taxi cab.

8 0
3 years ago
Riya has recently started a restaurant in a commercial area that already has many other establishedrestaurants and popular fast-
STatiana [176]

Answer:

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3 years ago
When creating the complete 2nd Order Model for a regression model using job tenure (years working at that job), job experience (
kobusy [5.1K]

One needs to create interactions between all of the following EXCEPT option B. high school and college. since, the model is using job tenure, it is the only option without work experience.

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Therefore, the only predictor variable in all other options is job experience. However, option C. does not have the dominating variable.

learn more about regression model: brainly.com/question/25987747

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7 0
2 years ago
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