Answer:
2.88%
Explanation:
According to the fisher equation :
(1 + Nominal interest ) = (1 + real interest) (1 + inflation rate)
(1.07) = (1.04) x (1 + real interest)
(1.07) / (1.04) = (1 + real interest)
1.028846
real interest rate = 2.88%
Answer:
20 more tons of pollution into the air, and Firm B will emit 100 fewer tons of pollution into the air.
Explanation:
It is given that :
Amount of tons of pollutants emitted by the two firms A and B earlier = 100 tons
Cost of pollutants by firm A = $ 200 per ton of pollutions
Cost of pollutants by firm B = $ 100 per ton of pollutions
Since the cost for eliminating the pollutants into the air is more for the firm A, the ticket is also more valuable for firm A. And therefore, firm A will buy all the tickets form firm B for an amount around $ 101 to $ 199. It will do so as to have a positive consumer and also to produce surplus.
So firm A will eliminate 20 tons of pollution and will use 80 ton capacity from the tickets. And for firm B, it will eliminate all 100 tons of pollutions.
Answer:
Cash debit 1,200
Note Receivable debit 2,800
Account Receivable credit 4,000
Explanation:
The accounting will reflect the receipt of cash and the note at their principal.
The interest of the note will ge accrued with the past of time. Currently no interest was earned, so we don't have to post anything related to the interest of the note.
We just write-off the account receivable of the customer and declare how we settle.
Answer:
The $623,100 is the amount which should be used as the initial cash flow for this project
Explanation:
The computation of the initial cash flow is shown below:
= Estimated cost of a new facility on the site + market value of a lot
= $494,200 + $128,900
= $623,100
The asset value should be recorded in the market value so we took the estimated cost and the market value in the calculation part.
The other cost which is given in the question is irrelevant. Thus, it is not considered in the computation part.
Answer:
A. Lower prices can benefit the general economy.
