1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
n200080 [17]
3 years ago
11

Everything else equal, an asset's value is:

Business
1 answer:
Harrizon [31]3 years ago
7 0

Answer:

The correct option is A, an asset's value is inversely related to the rate of return investors require to purchase it

Explanation:

The asset value is the initial purchase price determined by discounting the future cash flows from the asset to present values using a the required rate of return.

Ultimately, the higher the required return, the lower the present value of the investment whose price is being determined and the lower the discount the rate of return used in discounting relevant cash flows to present values the higher the present values.

You might be interested in
If the French euro devalued by 17% against the U.S. dollar, this is equivalent to a revaluation of the dollar against the euro b
jenyasd209 [6]

Answer:

C) 20.48%

Explanation:

I will use an example to show this:

1€ = $1

if the euro depreciates by 17%, then the exchange rate will be 0.83€ = $1

in order for the euro to recover its previous value against the dollar, it needs to increase 0.17€ / 0.83€ = 0.2048 = 20.48%

in other words, a 17% depreciation is equivalent to a 20.48% revaluation.

3 0
3 years ago
Gardner electric has a beta of 0.88 and an expected dividend growth rate of 4.00% per year. the t-bill rate is 4.00%, and the t-
coldgirl [10]
Aaaaaaaaaaaaaaaaaaaaaaaaaaa
8 0
3 years ago
Suppose you just won the state lottery, and you have a choice between receiving $2,575,000 today or a 20-year annuity of $250,00
Shkiper50 [21]

Answer:

Ans. rate of return= 7.37%

Explanation:

The easiest way to find this discount rate is to set a MS Excel sheet and use the function "Find Goal". In the attachments, there is a spreadsheet that I got ready for you. There are 2 cells in color, one is yellow and the other one is green. You just go ahead and replace the value of the green cell with any percentage that you want, for example, 2%, then use the function "find goal" and set the objective cell to be the yellow cell (B5), changing the cell in green (B7), and hit enter.

Best of luck.

Download xlsx
8 0
3 years ago
Labor Recruiters, Inc., has been ordered to appear at a hearing before an administrative law judge of the National Labor Relatio
Vinil7 [7]

Answer:

A significant difference between a trial and an administrative hearing is thtat a hearsay con be introduced as evidence, in an administrative hearing.

8 0
3 years ago
The process that falls between buying for a new need and making a routine repurchase is called
Archy [21]

Answer:

Modified Rebuy

Explanation:

Modified rebuying is the process whereby an individual or an organization makes a purchase that have been previously purchased but this times makes changes to some elements different from the previous purchase like change of suppliers, terms, price and so on. In this case, the buyer reviews the buying situation. Here, the buyer is interested in modifying the specifications of goods previously purchased.

7 0
3 years ago
Other questions:
  • The Physical Inventory Worksheet is used when: Multiple Choice inventory items are physically placed in the warehouse All of the
    5·1 answer
  • Taco Hut purchased equipment on May 1, 2018, for $15,000. Residual value at the end of an estimated 8-year service life is expec
    12·1 answer
  • G.R. Dry Foods Distributors specializes in the wholesale distribution of dry goods, such as rice and dry beans. The firm’s manag
    5·1 answer
  • Matching the characteristics of a product to a customer's needs and wants is called
    9·1 answer
  • The three variables which affect saving money are:
    12·1 answer
  • Any single people over 15 talking comments please ​
    10·1 answer
  • You are employed by Company A, which makes motorcycles. You have been asked to write a brief report (following a report format)
    6·1 answer
  • Pls help me and thank you
    9·2 answers
  • a manufacturing company has been facing codification challenges caused by fluctuating levels of stock.stires departments must ma
    12·1 answer
  • Damian invests $5,000 today in an account earning 6% per year. How much is the investment worth in 4 years?
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!