Answer:
c) $18,986
Explanation:
The computation of the payment of principal is shown below:
= Annual payment - (Balance of Principal × interest rate)
= $48,986 - ($250,000 × 12%)
= $48,986 - $30,000
= $18,986
We do not consider the time period. Hence, we ignored it as it is not relevant for the computation part.
We simply multiply the principal balance with the interest rate and then deduct it from the annual payment.
Answer:
Opportunity cost
Explanation:
Dictionary Definition: the loss of potential gain from other alternatives when one alternative is chosen.
Related back to your question opportunity cost fits this definition.
Answer:
a. ($3,590)
b. ($1,119,158)
c. ($47,908)
d. ($61,446)
e. $17,714
Explanation:
We use the Time Value of Money to compute the Present Value. Present Value is the Worth in Today`s Money of the Cash Flow Streams expected or to be received in the future.
<u>Calculation of the Present Value for each case is shown below :</u>
a.
FV = $15,000
N = 15
P/YR = 1
PMT = $0
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($3,590)
b.
FV = $4,250,000
N = 14
P/YR = 1
PMT = $0
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($1,119,158)
c.
FV = $ 0
N = 6
P/YR = 1
PMT = $11,000
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($47,908)
d.
FV = $ 0
N = 10
P/YR = 1
PMT = - $10,000
I = 10 %
PV = ?
Using a Financial Calculator to Inpute the Values as above, the Present Value will be ($61,446)
e.
$ 0 CFj
$ 0 CFj
$ 0 CFj
$ 0 CFj
$ 0 CFj
$ 0 CFj
$9,000 CFj
$9,000 CFj
$9,000 CFj
$9,000 CFj
Shift NPV $17,714
This part of the question has uneven Cash Flows, so i used the CFj Function on the Financial to calculate the Net Present Value (NPV)
Answer: a.Political-legal b. General environment
Explanation:
Political-legal dimension of a company's legal environment include legal restrictions on a business as well as public uproar for that restriction.
The phase that comes after the trough and before the peak is called expansion