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arlik [135]
2 years ago
14

Your company will generate $67,000 in annual revenue each year for the next seven years from a new information database. if the

appropriate interest rate is 8.75 percent, what is the present value of the savings?
Business
1 answer:
zimovet [89]2 years ago
4 0

Answer:

Present Value= $340,055.22

Explanation:

Giving the following information:

Cash flow= 67,000

Number of years= 7

Interest rate= 8.75 percent

To calculate the present value, first, we need to calculate the final value using the following formula:

FV= {A*[(1+i)^n-1]}/i

A= cash flow

FV= {67,000* [(1.0875^7)-1]} / 9.0875

FV= $611,722.28

Now, we can calculate the present value:

PV= FV/ (1+i)^n

PV= 611,722.28 / (1.0875^7)

PV= $340,055.22

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Answer:

d. Many firms are working together to eliminate pollution

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Coase theorem is a private solution for the two parties who agree to reduce externalities, i.e., pollution. They negotiate in such a manner that the costs are low as one party takes over other party's polluted assets to reduce pollution. When there are more parties or firms involved to eliminate pollution, it will pose high transaction costs. Therefore, the Coase theorem will not work in that case. So, the option "D" is the correct choice.

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3 years ago
Melba receives most of her income from wages from her job as a high school teacher. She also receives supplemental income from f
kiruha [24]

Send a notarised letter to her employer requesting that they withhold additional amounts from her pay each month.

Option C

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A certificate approved by a notary public is a notarised text. The notary public is a public officer who confirms the identity of everyone who signs the document, observes the signatures and seals the document.

If at the flat rate or the low marital rate they withhold.

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3 years ago
Inflation in the developing country of terbia has been rising over the last few years and is currently at a very high level. two
gtnhenbr [62]

Answer:

C) The central bank has been increasing the target interest rate at regular intervals and it is now at its highest level in eight years.

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Since the central bank has been increasing the interest rates in Terbia, this means that it has been engaging in a contractionary monetary policy. In other words, the central bank has been decreasing the money supply in Terbia. If the money supply has been decreasing constantly during the last 8 years, then the high inflation rate cannot be caused by an increase in the money supply.

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3 years ago
Kate contracts Ofc Depot Inc. to install air conditioning units for each office in her company. Kate wanted the work to be done
PtichkaEL [24]

The answer is, Ofc Depot is entitled to a partial recovery under the contract.

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7 0
2 years ago
The _____ is an agency of the federal government that offers both managerial and financial assistance to small businesses.
Reil [10]

Answer:

D. Small Business Administration.

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<em>Basically, SBA provides services such as entrepreneurial development, access to funds, advocacy and contracting to small businesses (entrepreneurs) in the United States of America. </em>

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