Answer:
The present value of the future cash inflows from this investment is $19,740
Explanation:
Profitability Index is a useful tool for ranking project because we can know the amount/ value created by per unit of investment.
Profitability Index = Present value of future cash flow/ Initial Investment
↔ 0.329 = Present value of future cash inflow/ $60,000
↔ Present value of future cash inflow = 0.329 * $60,000 =$19,740
Answer:
Explanation:
Return on common stockholders' equity for 2015:
(Net income - preferred stock)/Equity
(63,000-5,400)/2,400,000 = 57,600/2,400,000 = 2.4%
Return on common stockholders' equity for 2015:
(99,000-5,400)/3,000,000 = 93,600/3,000,000 = 3.12%
From these calculations, it is clear that return has improved.
Answer:
<u>Sustainable</u>
Explanation:
Sustainable development in simple terms refers to the development which can be sustained or carried forward for a long period of time.
It refers to satisfying and meeting the needs of the current generation without jeopardizing the needs and resource availability for the future generations.
Economic development refers to the rise in per capita income while sustainable development incorporates economic as well as human development.
Such development aims at judicious usage of resources , equitable distribution of resources and reduction in wastage.
Answer:
A) Country 1's PPF lies further to the right than country 2's PPF.
Explanation:
Production Possibility Curve shows the combination of two goods, that an economy can produce - by utilising given resources & technology best efficiently.
If country 1 produces twice the output of both goods compared to country 2. Then, country 1's PPF would lie further to the right than country 2's PPF. As, more quantities implies rightward shifted PPC, signifying more quantities of goods that can be produced.
Efficient or inefficient production leads to production inside or on PPC, doesn't shift PPC. Population change is also irrelevant in this case.
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.