Telcom owns a phone network and provides phone network services to many consumers

Susmel Inc. is considering a project that has the following cash flow data. What is the project's payback? Year 0 1 2 3 Cash flo

Rashid [163]

Answer:

c. 2.42 years

Explanation:

The computation of the payback period is shown below:

<u>Year Cash flow Cumulative cash flow</u>

0 -$475 -$475

1 $150 -$325

2 $200 -$125

3 $300 $175

Now the payback period is

= 2 years + $125 ÷ $300

= 2.42 years

8 0

2 years ago

Jason Allen is planning to invest $26,000 today in a mutual fund that will provide a return of 11 percent each year. What will b

Troyanec [42]

Answer:

Value of investment after 10 years will be $738244

Explanation:

We have given that Jason Allen is planning to invest $26000 today in mutual fund

So present value P = $26000

Rate of interest r = 11 %

Time period n = 10 years

We have to find the amount after 10 years

We know that amount is given by

$A=P(1+\frac{r}{100})^n$ , here A is future value , P is present value r is rate of interest and n is time period

So amount after 10 year will be $A=26000\times (1+\frac{11}{100})^{10}$

= $26000\times 1.11^{10}$

$=260000\times 2.8394=738244$

So value of investment after 10 years will be $738244

8 0

3 years ago

Suppose you are a senator writing a bill to index Social Security and federal pensions. That is, your bill will adjust these ben

jolli1 [7]

Answer: The answer is consumer price index (CPI)

Explanation:

The consumer price index is the most popularly used price index to measure the level of inflation in the country.it is a measure of welfare which shows the amount of money needed by the people to provide for themselves a good standard of living. The consumer price index is based on the quantity of goods consumers are buying in the market, because it measures the level of changes in the consumer goods in the economy at a given period of time. It is used to measures the level at which family can afford to buy food, clothing, and live a comfortable life in the country. The consumer price index shows the percentage increase or decrease in the prices of consumer goods in the period in which it is measured. It is calculated as

CPI = current year price index / base year price index × 100%

Therefore, to adjust the social security and federal pensions to offset changes in the cost of living the consumer price index is the most appropriate measure of welfare to used. In the sense that the cost of living is the amount of money an average family will need to provide themselves with the basic necessities of life such as food, clothing ,and shelter. The consumer price index is the most appropriate to know the effect of increase or decrease in the prices of these goods on the low income earners in the country such as the people who receives social security benefits and the pensioners in the country. During inflation the purchasing power of the people in these categories is reduced which tend to have an effect on their standard of living.

6 0

2 years ago

Jermaine lives in a world where the nominal interest rate is 3% and the inflation rate is 1%. today, jermaine has $200, with whi

Assoli18 [71]

<span>Divide $200 by 80 to get $2.50 price per zap. At 3%, Jermaine's $200 would grow to $206 ($200 x 1.03) = $206 by the end of the year. At the end of one year he would have $6 more and would be able to purchase two more zaps (2 X ($2.50 X 1.03), or 2 X $2.575 = $5.15) He would have $.85 left in change.</span>

4 0

3 years ago

Using the information provided about marketing and advertising law, determine which of the following would be a violation of thi

Fofino [41]

Answer:

Publishing a sale price for an item that is not available

Explanation:

Publishing a sale price for an item that is not available will be misleading to the market and will break the law as the company must provide promotions for products that are available only

7 0

3 years ago