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Contact [7]
3 years ago
11

5. Which lottery payout scheme is better? Suppose you win a small lottery and have the choice of two ways to be paid: You can ac

cept the money in a lump sum or in a series of payments over time. If you pick the lump sum payout, you get $2,750 today. If you pick the payments over time payout, you get three payments: $1,000 today, $1,000 one year from today, and $1,000 two years from today.
Business
1 answer:
Yanka [14]3 years ago
7 0

Answer: PAYMENTS OVER TIME

Explanation:

To know the better option we would have to compute the Present Value of the Payments overtime payouts. That way we can equate it to the lump sum today.

To calculate the Present Value we will discount at the interest /discount rate of 6% except for the payment today which should not be discounted as this is the present.

= 1000 + 1000/(1+0.06) + 1000 / (1+0.06)^2

= 1000 + 943.396226415 + 889.996440014

= 2833.39266643

=$2,833.39

The PV of the Payments overtime Option is higher than the lump sum payment today therefore winner would be better off accepting the PAYMENTS OVER TIME.

If you need any clarification do react or comment.

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In recent years the cost of producing organic produce in the United States has decreased largely due technological advancement.
Harrizon [31]

Answer:

The correct answer is option D.

Explanation:

Suppose technological advancement has helped in decreasing the cost of producing organic produce. This means that the farmers can now produce more at the same cost. As a result, the supply of organic produce will increase. This will cause a rightward shift in the supply curve.  

At the same time, the demand for organic produce has increased. This will lead to a rightward shift in the demand curve.  

The rightward shift in both demand and supply curve will lead to an increase in the equilibrium quantity. The change in the price level depends on the extent of the change in demand and supply.

7 0
3 years ago
Which of the following are the names given to the two types of stock purchasers?
AlekseyPX

Answer: Common and Preferred Stock Purchasers

Explanation:

6 0
2 years ago
Dottie Beauchamp recently was hired by PetSmart to help recruit, select, and train new employees to work in its stores. Beaucham
WINSTONCH [101]

Answer:

option A

Explanation:

Human resource administration refers to the the systematic approach to managing people effectively within a company or industry so they can help their business gain an edge. It is intended to increase the efficiency of workers in relation to the strategic goals of an enterprise.

HR practitioners monitor an organisation's human resources, and concentrate on strategies and procedures being implemented. Such managers specialize in discovering, hiring, education and workforce growth as well as retaining employee relationships or rewards. Specialists in skills training assure that workers are educated and also have sustained growth.

7 0
3 years ago
Barney, a manager, is very conventional, resistant to change, habitual, and does not accept new ideas very easily. This implies
xxMikexx [17]

Answer:

This implies or states to low openness to experience

Explanation:

Low openness to experience, it is related to people who are mostly dedicated to work they do and make sure that their tasks or work through to the end.

So, in this case, Barney, who is the manager is very resistant to adapt the change, very conventional and does not accept the new ideas so easily. This states that the manager, is very low for experiencing the openness or to the new ideas.

4 0
4 years ago
One of the disadvantages of investing in real estate is A) investors need expert help. B) pyramiding. C) equity buildup. D) leve
mixer [17]

There are many disadvantages of investing in real estate and one of it is A) Investors need expert help.

<h3>What is Real estate?</h3>

The investment in property is known as real estate investment. There are many investors who invests in such assets, and earn rentals and capital gains.

The investment in real estate needs expert advice as the person who is the advisor should have the market information so that the perfect price can be quoted in order to purchase or sell an asset.

Learn more about Real Estate at brainly.com/question/27237569

#SPJ1

8 0
2 years ago
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