Answer:
$5,000
Explanation:
A perpetuity pays $250 every year
The appropriate interest rate is 5%
= 5/100
= 0.05
Therefore the present value of the perpetuity can be calculated as follows
= 250/0.05
= $5,000
Hence the present value of the perpetuity is $5,000
Answer:
(B) Management
Explanation:
Management audits are a means of evaluating the effectiveness and efficiency of various systems within an organization, showing how well the management is deploying and applying its strategies in the interests of shareholders, employees, and the organization's reputation.
If the economy is at potential output and the fed increases the money supply, in the long run real gdp will likely decrease.
<h3><u>
What is supply?</u></h3>
- A basic economic notion called supply refers to the total amount of a particular commodity or service that is made available to consumers.
- When shown as a graph, supply can refer to the quantity that is offered at a particular price or the quantity that is offered over a range of prices.
- This is strongly related to the demand for an item or service at a particular price; all other things being equal, the supply offered by producers will increase if the price rises because all businesses aim to maximize profits.
Trends in supply and demand are what underpin the modern economy. Based on price, utility, and personal choice, any particular commodity or service will have its own unique supply and demand patterns.
Know more about supply with the help of the given link:
brainly.com/question/13296654
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Answer:
(b). <u>Increase</u> ;<u> Decrease</u>
Explanation:
When the price of a substitute good rises, then it becomes more profitable for suppliers to shift to the other good. Therefore the supply of given good decreases, and the supply curve shifts leftward.
For example, if you're a textile manufacturer who produces cotton and silk clothes if the price of silk rises you'll reduce cotton production to divert resources towards silk. Therefore the demand for cotton clothes reduces.
Due to the leftward shift of the supply curve, the equilibrium price increases and equilibrium quantity decreases.
So we can conclude that an increase in the price of a substitute good will cause the equilibrium price of its substitute to <u>increase</u> and the equilibrium quantity to <u>decrease.</u>
Hence, the option (b) is the correct option.
Hi pupil here's your answer ::
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✴The full form of WAN is =》 Wide Area Network .
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hope that it helps. . . .
