<span>Marginal pruduct of first worker is 3 yards. Marginal product of second worker is 4 yards. Marginal product of third worker is 5 yards.The marginal product of labor potentially increases due to specialization.</span>
Answer:
At the markets eqilibirium , the quantity demand and the quantity supplied will be equal.If there is a shortage, the quantity demand will be larger than the quantity supplied. If there is a surplus , the quantity demand will be smaller than the quantity supplied.
Explanation:
Answer:
A major problem with the implementation of an annually balanced budget is that it magnifies the fluctuations in the business cycle.
Before the 1930's most government involvement in day-to-day 4 was aimed at the free market system. Hope this helps.
Answer:
MIRR = 16.6%
Explanation:
We have the formula to calculate the MIRR of the project:
+) ![MIRR =\sqrt[n]{\frac{FV}{PV} } - 1](https://tex.z-dn.net/?f=MIRR%20%3D%5Csqrt%5Bn%5D%7B%5Cfrac%7BFV%7D%7BPV%7D%20%7D%20-%201)
In which:
- FV - terminal value, the future value of net cash inflow which is assumed to be re-invested at the rate of cost of capital = WACC = 12.25%
- PV - the present value of the net cash outflows during the investment at the rate of cost of capital = WACC
- n: numbers of years (n=4)
The future value of net cash inflow Year i = Cash inflow × (1 + Cost of capital)^(number of years reinvested)
= Cash inflow × 1.1225^(n - i)
+)
= $424.327
+)
= $403.202
+)
= $381.65
+)
= $360
<em>=> Terminal Value = 424.327 + 403.202 + 381.65 + 360 = $1569.179</em>
<em />
Present Value Year i = 
The project requires the initial investment = - $850 and there are no cash outflows during 4 years of the project
<em>=> PV of the project = PV Year 0 = </em>
<em> = 850</em>
=> MIRR =
= 0.166 = 16.6%