<em>Profit</em><em> </em>is what is left after a firm plays its variable costs and fixed costs.
Answer:
Explanation:
Given:
- r = 9% /12 = 0.09/12 compounded monthly
we need to find the payment per month:
= 
= 
= $ 699,59
Hence, after 20th payment, she already paid:
$699,59 * 20 = $13,991.8
After we find out the Future value:
FV = PV 
=$22,000(
= $28,790.20
At the end, the total amount she must pay at that time is:
FV - The amount she has already paid
= $28,790.20 - $13,991.8
=$14,794.4
Hope it will find you well.
Answer:
Initial confidence index 66.67%
New confidence index 71.4%
Explanation:
Calculation of what would happen to the
confidence index
Using this formula
Confidence index=(Average yield for high grate bonds)/(Average yield for intermediate graded bonds)
Let plug in the formula
Initial confidence index=4%/6%
=0.6667 ×100
=66.67%
Due to increase in the yields the New Confidence Index will be;
New confidence index
=(4%+1%)/(6%+1%)
=5%/7%=0.7142857 or 0.714
0.714×100=71.4%
Hence, the New Confidence index tend to indicates slightly higher confidence and the reason for the increase in the index is the expectation of higher inflation.
Answer:
C) premium that was paid for the contract
Explanation:
One interesting feature of buying option is that you can only lose the premium.
For example: If i buy the call option for $5 with a strike price of $30. At the expiration date when the stock price is $22, i would have lost more than $5 by exercising the option. The reason is i am purchasing the stock in $30 which can be bought from market in $22. Here, it would not be the case because unlike futures, options can be left not exercised. So, in this condition i will not exercise the option, and buy the stock from market in $22. Maximum i would lose is the premium that i have paid for the option $5.
Answer:
how much surplus value do consumers who buy oranges from Smith receive in the market?
$300000
Explanation:
Smith earns $100000 25% seller
$300000 75% buyer
