Answer:
The second project should be chosen. Because the present value of the second project is greater than that of the first project.
Explanation:
The project that should be chosen can be determined by comparing the present value of both projects.
Present value is the cash flows from a project discounted at the discount rate.
Present value can be found using a financial calculator;
For project 1,
Cash flow each year from year one to six is $52,000
Discount rate = 15%
Present value =$196,793.10
For project 2,
Cash flow each year from year one to eight is $48,000
Discount rate = 15%
Present value =$215,391.43
The second project would be chosen because its present value is greater than that of the first project.
I hope my answer helps you
No, Walmart won't be able to offer such low prices if they were a different type organization
Walmart might soon follow in the footsteps of Borders booksellers, Sam Goody's record stores, and other once-dominant retailers whose market share shrank and finally collapsed as online sales got steadily larger if it didn't keep its pricing low enough to compete with e-commerce behemoths like Amazon.
Walmart has kept operating costs down since its inception in the early 1960s by heeding the advice of its late founder and namesake Sam Walton. Even after becoming a multi-millionaire, Walton is infamous for still using an old pickup vehicle for transportation. by using low-cost travel choices for executives and by maintaining a simple in-store design.
To learn more about Walmart refer to:
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Answer:
The correct answer is B
Explanation:
Export is the term which is defined as the goods and the services which are produced in one country and the residents of the other country purchased or bought it.
In short, it means that produced domestically, and then sold it to the foreign country.
Under this situation, the world price of the steel is $1,000. And the Russia started to export the steel so, it will lead to exporting the steel and the price would be $1,0000.
Answer:
1. Stagflation.
2. $110;$110
Explanation:
Stagflation can be defined as a short-run economic outcome resulting from the increase in production costs.
Supposing the government decides not to take any action in response to the short-run economic impact of the higher oil prices. In the long run, when the government does nothing, the output in the economy will be $110billion and the price level will be $110.
Hence, resulting in an equilibrium price in the economy.