Answer:
d. $175,380.
Explanation:
Net present value for Project Nuts = (Net annual cash inflow*PV of annuity at 10%, 6 period) - Initial investment
Net present value for Project Nuts = ($156000*4.355) - $504,000
Net present value for Project Nuts = $679,380 - $504,000
Net present value for Project Nuts = $175,380
Answer:
8.27%
Explanation:
Data provided in the question:
Current price = $36.72
Annual dividend paid, D0 = $2.18
Dividend growth rate, g = 2.2% = 0.022
Now,
Cost of Equity = [ (Dividend For Next Year) ÷ Current Price ] + Growth rate
= [ ( D0 × ( 1 + g ) ) ÷ $36.72 ] + 0.022
= [ ( $2.18 × ( 1 + 0.022 ) ) ÷ $36.72 ] + 0.022
= [ 2.22796 ÷ $36.72 ] + 0.022
= 0.06067 + 0.022
= 0.08267
or
= 0.08267 × 100% = 8.267% ≈ 8.27%
Answer:
The answer is: the real gain in real GDP between 2010 and 2000 is 18.34%
Explanation:
First we have to determine the real GDP using the GDP deflator.
GDP deflator = (nominal GDP / real GDP) x 100
For year 2000:
24 = ($672 billion / real GDP ) x 100
2,400 = $672 billion / real GDP
real GDP = $0.28 billion
For year 2010:
51 = ($1,690 billion / real GDP ) x 100
5,100 = $1,690 billion / real GDP
real GDP = $0.331 billion
To calculate the real gain between real GDP from year 2000 to year 2010, we divide real GDP 2010 over real GDP 2000 and subtract 1:
($0.331 billion / $0.28 billion) -1 = 0.1834 x 100% = 18.34%
<h3>Question:</h3>
List 3 characteristics of a mixed economy system.
Answer:
♦A mixed economy has three of the following characteristics of a market economy.
<h3> </h3><h3>♦First, it protects private property. </h3><h3>♦Second, it allows the free market and the laws of supply and demand to determine prices. </h3><h3>♦Third, it is driven by the motivation of the self-interest of individuals.</h3>
Explanation:
<h3>#Let's Study</h3><h3>#I Hope It's Help</h3><h3>#Keep On Learning</h3><h3>#Carry On Learning</h3>
Answer:
Transaction demand rises as income or GDp rises and falls as income or DP falls. Also high interest rate causes more to be left as asset, thereby reducing money demand
Explanation:
1. Asset demand for money is money that is kept aside for a person holding it to earn interest on. A high interest rate on money asset reduces the demand for money. This increased rate of interest is the opportunity cost of having money as assets. It has a negative relationship with interest rate of an economy.
2. Transaction money is that which is used for the day to day expenditure. This has a positive relationship with GDP. It increases as income or GDP increases and falls as it falls.