Answer:
USING 0% DISCOUNT RATE
PROJECT E
Year Cashflow [email protected]% PV
$ $
0 (23,000) 1 (23,000)
1 5,000 1 5,000
2 6000 1 6,000
3 7000 1 7,000
4 10,000 1 10,000
NPV 5,000
PROJECT H
Year Cashflow [email protected]% PV
$ $
0 (25,000) 1 (23,000)
1 16,000 1 16,000
2 5,000 1 5,000
3 4,000 1 4,000
NPV 2,000
Project A should be accepted
USING 9% DISCOUNT RATE
Year Cashflow [email protected]% PV
$ $
0 (23,000) 1 (23,000)
1 5,000 0.9174 4,587
2 6000 0.8462 5,077
3 7000 0.7722 5,405
4 10,000 0.7084 7,084
NPV (847)
PROJECT H
Year Cashflow [email protected]% PV
$ $
0 (25,000) 1 (23,000)
1 16,000 0.9714 15,542
2 5,000 0.8462 4,231
3 4,000 0.7722 3,089
NPV (138)
None of the projects should be accepted because they have negative NPV
Explanation:
The question requires the computation of NPV using 0% and 9%.
The cashflows of the two projects will be discounted at 0% and 9%.
The discount factors for each project can be calculated using the formula (1+r)-n. The cashflows of the projects will be multiplied by the discount factors to obtain the present values. NPV is the difference between present values of cash inflows and initial outlay.
Answer:
40 students
Explanation:
The cost of the bus is $480
For x students, the cost of each ticket will be 35 - 0.30x
The total cost of the tickets for x students will be x(35 - 0.30x)
To find the number of students that will make the cost per student equal to $33, we solve for x:
<u>480+ x(35 - 0.30x)</u> =35
x
480+ x(35 - 0.30x<u>)</u> = 35x
480 + 35x - 0.30x² = 35x
480 = 0.30x²
1,600 = x²
40 = x
The cost per student will be $35 if the number of students is 40; it will be less than $35 if the number of students is greater than 40.
The answer to this question is Risk;Resources
The risk levels will affect your choice in choosing the market because the higher the risk levels, the fewer competition you will tend to face.
The resource requirements, on the other hand, affect your choice by considering which product could be produced in your area that has a competitive advantage compared to other products
Answer:
labor force that is unemployed.
Explanation:
Unemployment rate refers to the percentage of the total labor force in an economy, who are unemployed but seeking to be gainfully employed.
The unemployment rate is divided into various types, these include;
1. Cyclical unemployment rate (CU).
2. Frictional unemployment rate (FU),
3. Structural unemployment rate (SU).
4. Actual unemployment rate (AU).
5. Natural Rate of Unemployment (NU).
Hence, the unemployment rate is the percentage of the labor force that is unemployed.
Answer:
$143
Explanation:
The computation of the demand forecast is shown below:
= Weightage × demand observed + Weightage × demand observed + Weightage × demand observed
= 0.1 × 120 + 0.4 × 140 + 0.5 × 150
= $12 + $56 + $75
= $143
Basically we multiplied the weighatge with its demand observed so that the demand forecast could come
