Answer:
The present value of the cash flows from the investment is $1015.85.
Explanation:
The present value of the cash flows can be calculated using the discounted cash flows approach also known as the DCF approach. Under this approach, the cash flows are discounted to the present day value using a certain discount rate.
The formula to calculate the present value of the cash flows is,
Present value = CF1 / (1+i) + CF2 / (1+i)^2 + ... + CFn / (1+i)^n
Where,
- CF are the cash flows
- i is the interest rate which is also the discount rate
Present value = 500 / (1+0.12) + 800 / (1+0.12)^3
Present value = $1015.85277 rounded off to $1015.85
The major purpose of the Federal Reserve buying government securities in open market operations is to allow banks to increase their lending. The Federal Reserve system is the central bank of the United States. It performs different functions to keep the effectiveness of the U.S. economy and the public interest operational.
Because they need to do you have any knowledge of some sort
Travel Clerk- Certification program
Construction Carpenter- High School Diploma
Transportation Manager- Technical Program
Chief Executive- Master's Degree
Answer:
correct option is d. $225
Explanation:
given data
product requires = 5 component
average number of components = 5.50
reduce average number of components = 5 per unit
cost per component = $450
solution
we get here reduction in failure costs per unit due to purchasing that is express as
reduction in failure costs per unit due to purchasing = ( average number of components - product requires ) × cost per component .......................1
put here value and we get
reduction in failure costs per unit due to purchasing = ( 5.50 - 5 ) × $450
reduction in failure costs per unit due to purchasing = $225
so correct option is d. $225
