Answer:
The question is not complete,it is missing the rate if return on investment of
Y Toys is planning a 30,000 square foot expansion to their manufacturing facility to prepare for the introduction of their Barney Babies line of stuffed animals. They will start construction on the $700,000 building in 3 years from now. What is the annual amount of toy sales revenue needed to pay for the building? Assume that Y Toys uses an interest rate of 19% per year. Show all steps in Excel.
The amount of sales required each year is $194,115.53 which is the same as the yearly savings to be made.
Explanation:
In arriving at the answer,I used PMT formula is excel.The PMT formula is given as PMT(rate,nper,,-fv) where r is the rate of return on yearly basis,nper is the period of investment and fv is future value of investment given as $700000 here, the amount payable on the facility in three years.
It is important to note that double commas are placed in the formula before pv and that the pv has a negative sign.
Kindly find attached spreadsheet for detailed computation on the PMT.
Answer:
Point C and G. Refer to the attached image.
Explanation:
According to the attached image, the price and quantity combination the government would regulate this firm to get as close as possible to the most efficient point for society is C and G because, this is the point where marginal cost MC and Average Total Cost intercept and form lower equilibrium point.
This means that if company sell at this point they will not run at shortage and also for buying society, the quantity they will buy is also at the increase making it the most efficient point for the society.
Answer:
the required rate of return for Barker's investor is 10.17%
Explanation:
<u><em>First, We have to calcualte the CAPM </em></u>
(Capital Assets Pricing Model)
risk free = 0.02
premium market = (market rate - risk free) 0.047
beta(non diversifiable risk) = 1.1
Ke 0.07170
now we add the inflation premium:
0.0717 + 0.03 = 0.1017 = <em>10.17%</em>
No one can write down a vision for your future, its your vision and future.
A business plan is a formal document that states the goals of the business as well as the intended process for reaching those goals. This provides a market analysis. This basically provides the investors an idea of how the company will make use of its money and conduct business.