Which economic system has the most government control? (choose best answer)

Explain how the following events will affect the demand and supply curves for large SUVs. In each case explain whether the deman

11111nata11111 [884]

Answer:

As a result of the increase in price, it would become more expensive to own and fuel a large SUV. this would lead to a reduction in demand for large SUVs. As a result of this, the demand curve for Large SUVs would shift to the left

Explanation:

4 0

3 years ago

Which of the following statements is CORRECT? a. The present value of a 3-year, $150 annuity due will exceed the present value o

lorasvet [3.4K]

Answer:

Statement a. is correct.

Explanation:

The effective annual rate is always higher than the nominal interest rate, as the formula is clear for any number of periods, for any interest rate:

Effective Annual Rate of return = $(1 + \frac{i}{n})^n - 1$

Further if we calculate the present value of annuity due and ordinary annuity assuming 6 % interest rate, then:

Present value of annuity due =

$(1 + 0.06) \times 150 \times (\frac{1 - \frac{1}{(1 + 0.06)^3} }{0.06} )$

= 1.06 $\times$ $400.95

= $425.0089

Present value of ordinary annuity = $150 \times (\frac{1 - \frac{1}{(1 + 0.06)^3} }{0.06} )$

= $150 $\times$ 2.6730

= $400.95

Therefore, value of annuity due is more than value of ordinary annuity.

Statement a. is correct.

5 0

4 years ago

Assume that the Charleston Inc. uses the indirect method to depict cash flows. Indicate where, if at all, an inventory increase

Airida [17]

Answer:

Operating activities section

Explanation:

In the indirect method of cash flow statements, current assets and current liabilities are adjusted with net income and non-cash items. It means changes in net working capital (Current assets - Current liabilities) fit with the net income in the operating cash flow section. Therefore, any decrease or increase is stated under the operating cash flow segment. Inventory increase will deduct from the net income because we spend more cash to acquire inventory.

7 0

4 years ago

Orwell building supplies' last dividend was $1.75. Its dividend growth rate is expected to be constant at 13.00% for 2 years, af

vitfil [10]

Answer:

b. $35.02

Explanation:

The first dividends will be calculate by multiplying by the grow rate and bring them to present value:

first year:

D0 x (1+g)

1.75 x 1.13 = 1.977500

Then we calcualte the present value:

$\frac{Principal}{(1 + rate)^{time} } = PV$

1.9775/1.12 = 1.7656

second year:

D1 x (1+g)

1.9775 x (1.13) = 1.7656

$\frac{1.7656}{(1 + 0.12)^{2} } = PV$

PV: 1.7814

Finally,, we calcualte the present value of the next dividends using the dividend grow model

$\frac{divends}{return-growth} = Intrinsic \: Value$

We calcualte next year dividneds:

D2 x (1+g) = D3

1.9775 x 1.06 = 2.368650

g = 6%

and return 12%

$\frac{2.36865}{0.12-0.06} = Intrinsic \: Value$

39.47749167

then, we calcualte the present vale:

$\frac39.47749167}{(1 + 0.12)^{2} } = PV$

PV = 31.4712

Finally, we add all these values

1.7656 + 1.7814 + 31.4712 = 35,0182 = 35.02

This will be the estimate current stock price.

5 0

3 years ago

What factors are used in the rule-of-thumb methods to determine the communication budget?.

xz_007 [3.2K]

Prior sales and communication activities

To determine the current communication budget, rule-of-thumb methods use prior sales and communication activities. These methods are simple to implement, but they do have some limitations.

<h3>What is rule-of-thumb?</h3>

A rule-of-thumb is a heuristic guideline that gives simplified counsel or a fundamental rule-set for a certain subject or course of action. It is a broad principle that provides specific directions for completing or performing a task. Generally, rules of thumb emerge from practice and experience rather than scientific study or a theoretical underpinning.

To learn more about rule-of-thumb from given link

brainly.com/question/943703

#SPJ4

4 0

2 years ago