Answer:
12.44%
Explanation:
Internal rate of return is the discount rate that equates the after-tax cash flows from an investment to the amount invested
IRR can be calculated with a financial calculator
cash floe in yer0 = 200
cash flow in year 1 = -80
cash flow in year 2 = - 70
cash flow in year 2 = - 60
cash flow in year 2 = - 40
irr = 12.44%
To find the IRR using a financial calculator:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. After inputting all the cash flows, press the IRR button and then press the compute button.
Answer:
The present value of the annuity is $73,091.50
Explanation:
Use the following formula to calculate the present value of the annuity
Present value of annuity = ( Annuity Payment x Annuity factor for first 6 years ) + [ ( Annuity Payment x Annuity factor for after 6 years ) x Present value factor for 6 years ]
Where
Annuity Payment = $1,000
Annuity factor for first 6 years = 1 - ( 1 + 16%/12 )^-(6x12) / 16%/12 = 46.10028344
Annuity factor for after 6 years = 1 - ( 1 + 13%/12 )^-((17-6)x12) / 13%/12 = 70.0471029820
Present value factor for 6 years = ( 1 + 16%/12)^-(6x12) = 0.385329554163
Placing values in the formula
Present value of annuity = ( $1,000 x 46.10028344 ) + [ ( $1,000 x 70.0471029820 ) x 0.385329554163 ]
Present value of annuity = $46,100.28 + $26,991.22
Present value of annuity = $73,091.50
Answer:
E. The Small business Administration
Explanation:
The small business administration is an agency that supports small business and entrepreneurs with setting up of their business. The small business administration helps with the provision of counseling to aid individuals trying to start and grow businesses.
Therefore Angela should meet the Small business Administration for financial and managerial assistance.
Answer:
wheat, wheat
Explanation:
In the field of economics, absolute advantage may be defined as the ability of a producer to produce a particular goods or services at large amount or quantity at the same price or the same quantity at a very low price as compared to other producers. It means producing goods efficiently.
Whereas a comparative advantage of a product is defined as the ability of a producer to produce more goods and and consumes less of it at a lower opportunity cost when compared to its competitors.
Thus in the context, Country A has both an absolute advantage as well as comparative advantage in production of wheat.
Answer:
<u>Real Property </u>
Explanation:
Capital markets refer to the market which trades in long term securities whose maturity is more than an year. The instruments traded in capital markets are usually stocks and bonds.
In private equity real estate, public and private investments are pooled together and invested in the real estate property markets. So here the underlying asset whose price fluctuates is property. If property prices soar, the investors stand to gain.
This kind of investment involves high risk but is also capable of generating a higher return as greater the risk involved, greater the return.
