Answer:
Explanation:
the present value of the future cash flows is the the value of the bond we calculate the present value as follows
Cash flow 4% = 40000 per year for 4 year p.v using annuity
Cash flow = 1000000 at year four present value using compound formula
Present value at yield rate 7.7%
Cash flow Discount Factor Present Value
1000000 0.743253883 743253.8831
40000 3.334365155 133374.6062
876628.4893
Compound = 1000000/(1+7.7%)^4
Annuity = 40000* (1-(1+7.7%)^-4) / 7.7%
Answer:
The correct answer is letter "C": Over time, the United States switches from being an exporter of a product to an importer of the product.
Explanation:
The life-cycle theory proposes that the United States boosted worldwide economic trade exporting their products. At first, the products were delivered to other world developed countries. Over time, those developed countries started to study American products to become manufacturers. This implies competition so to spend fewer costs, the developed countries took their operations to developing nations.
After some time, it is believed that those developing countries are likely to become manufacturers as well at even cheaper costs provoking that the United States begin to import products from the developing nations.
Answer and Explanation:
Efficiency and equality:
We have given the information that there are two areas one has many small school and another has few large schools. The area which has many small schools faces a large competition as there are large numbers of school in that area. In order to maintain equality and efficiency the voucher system should announced in the area which has few large schools. Introducing the voucher system in this few large school region help to maintain equality as there is less competition. Whereas the introduction of the voucher system in an area which has many large schools increases the inequality as there is high competition and this inequality also stimulated by the migration factor. So, these are the effects of voucher system in different areas.
Replacement rule would apply if an agent knows an applicant is going to cash in an old policy and use the funds to purchase new insurance.
Insurance refers to a type of risk management in which the insurer provides the insured with protection from risks of all kinds - financial, health, accidental, etc.
The insured is also called the policyholder, and he makes a payment called premium to be insured. If the specified event for which the insurance cover is provided takes place, the insurer is bound to compensate the insured financially.
A replacement rule delineates the process in which the premium payments on existing policy is discontinued or forfeited, and a new policy is purchased.
To learn more about the replacement rule: brainly.com/question/27922977
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