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Archy [21]
3 years ago
9

(Disregard income taxes in this problem.) Compute the following:a.An investment of $10,000 has an investment/inflow ratio of 6.2

and a useful life of12 years. What are the annual cash inflow and internal rate of return?b.The internal rate of return for an investment expected to yield an annual cash inflowof $2,000 is 14 percent. How much is the investment if the investment/inflow ratiois 6.14?c.What is the maximum investment a company would make in an asset expected toproduce annual cash inflow of $5,000 a year for seven years if its required rate ofreturn is 16 percent?d.How much investment per dollar of expected annual operating savings can a com-pany afford if the investment has an expected life of eight years and its required rateof return is 14 percent?
Business
1 answer:
aleksandrvk [35]3 years ago
4 0

Answer:

Explanation:

a) Investment/flow ratio =10000/annual cash flow=6.2

So, the annual cash flow is 10000/6.2=1613

b) Investment/flow ratio =investment/2000=6.14

So, the investment is 2000*6.14=12280

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A seller sold a house to a buyer allowing the buyer to take over the loan on a "subject to" basis. After 2 years, the buyer defa
lubasha [3.4K]

Answer:

A. The seller would be primarily liable.

Explanation:

Subject to basis is a form of home buying options in real estate. It is a situation where the buyer takes over existing loan of a seller and make commitment to seller to continue repaying the loan to the lender.

Though the buyer will taken over the loan from the seller and make repayment to the lender, there is no legal obligation on buyer`s part that makes him/her liable to the lender. The seller still remain liable despite the the taking over. So  option A is right while B to D is wrong because it`s only the seller that is primarily liable to the lender.

4 0
3 years ago
Scenario: Fiscal Policy Consider the economy of Arcadia. Its households spend 75% of increases in their income. There are no tax
nika2105 [10]

Answer:

less than the government spending multiplier

Explanation:

Given :

Percentage spends  by a households for the increase in the income = 75%

So the mpc = 0.75

Potential output = 600 billion arcs

The government multiplier is = $\frac{1}{1-0.75}$

                                                $=\frac{1}{0.25}$

                                                = 4

The tax multiplier is = $\frac{c}{1-c}$

                                 $=\frac{0.75}{0.25}$

                                 = 3

Thus we see that the tax multiplier is less than the government spending multiplier.

7 0
3 years ago
Electronic scanners that track consumer purchases are examples of the ________ method of marketing research.
Marta_Voda [28]
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6 0
3 years ago
Bradley snapp has deposited $7,000 in a guaranteed investment account with a promised rate of 6% compounded annually. he plans t
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P = $7,000, principal
r = 6% = 0.06, rate
n = 1, compounding interval
t = 4 years

Calculate the value after 4 years.
A = 7000*(1 + 0.06)⁴
   = $8,837.34

Answer: d. $8,837.34
5 0
3 years ago
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