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hjlf
3 years ago
11

a set of cash flows begins at 20000 the first year with a decrease of $2000 each year until n = 10. With an interest rate of 7%,

what is the equivalent uniorm annual cash flow

Business
1 answer:
Bezzdna [24]3 years ago
7 0

Answer:

Explanation:

Present value (PV) is sum of all cash flows discounted at 7%.

(a) Annual decrease = $2,000

PV is computed as follows.

Year Cash Flow ($)     PV Factor at 7%     Discounted Cash Flow ($)

               (A)                     (B)                     (A) x (B)

1 20,000 0.9346 18,692

2 18,000 0.8734 15,722

3 16,000 0.8163 13,061

4 14,000 0.7629 10,681

5 12,000 0.7130 8,556

6 10,000 0.6663 6,663

7 8,000 0.6227 4,982

8 6,000 0.5820 3,492

9 4,000 0.5439 2,176

10 2,000 0.5083 1,017

PV ($) = 85,041

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The type of employee that would most likely be satisfied and perform at a high level is motivated employee.

<h3>Who is Hackman and Oldham?</h3>

Richard Hackman and Greg Oldham developed a model which itself motivates employees for the jobs.

The model focuses on the perspective that if the job is not monotonous, it can  motivates the employee and would not feel discouraged to work.

Hence, the type of employee that would most likely be satisfied and perform at a high level is motivated employee.

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8 0
1 year ago
The risk premium (hence expected return) of a security is determined by its ________ risk and does not depend on its ___________
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Answer:

systematic risk ,diversifiable risk

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risk premium is the investment return demanded by an investor for buying a risky assets that an investment is anticipated to deliver it reward to those who are willing to take higher risk than investors who prefer risk free investment.

systematic risk when economic treds influence assets and the market in similr way than investment risk for similr assets are corellated Systematic risk cannot be diversified away. Non-systematic risk, or the risk unique to each individual security, meanwhile, can be mitigated through diversification.

conclusion: both the sytematic and nom systematic risk are the influencing factor of the risk premium while sytematic risk is not influenced by market but diversfiable risk are influenced by market .

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7 0
1 year ago
Which of the following is not one of the four basic financial statements?
TEA [102]

Answer:

A revenue statement is not a basic financial statement.

5 0
2 years ago
On November 1, 2021, Aviation Training Corp. borrows $51,000 cash from Community Savings and Loan. Aviation Training signs a thr
nekit [7.7K]

Answer:

1. November 01,2021

Dr Cash 51000

Cr Notes Payable 51000

2. December 31,2021

Dr Interest expense 510

Cr Interest Payable 510

3. February 01,2022

Dr Interest expense 510

Dr Interest Payable 255

Dr Notes Payable 51000

Cr Cash 51,765

Explanation:

Preparation of to record the necessary entries

1. November 01,2021

Dr Cash 51000

Cr Notes Payable 51000

(Being to Record the issuance of note)

2. December 31,2021

Dr Interest expense 510

(51,000*6%*2/12)

Cr Interest Payable 510

(Being to record the adjustment for interest)

3. February 01,2022

Dr Interest expense 510

Dr Interest Payable 255

(51,000*6%*1/12)

Dr Notes Payable 51000

Cr Cash 51,765

(510+255+51000)

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Answer:

The answer is "nothing changes because the fees would still be fixed costs."

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When the lump sum costs are still only obtained once, the long-term supply curve shall be changed.

It is because, regardless of how it is paid, this tv license has little effect mostly on low cost but only a fixed cost. Its amount of output relies on how well the cost of the profit changes. Provided these are fixed costs, their performance doesn't matter.

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2 years ago
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