Answer:
$120
Explanation:
Given:
• Geometric growth rate of existing financial security:
$4 to $8 to $16 to $32 to $64 to $128
• Arithmetic growth rate of underlying assests:
$4 to $6 to $8 to $10 to $12 to $14
From the values, when the price of the underlying assests is $14, the price of the existing financial security is $128.
We are told to that when values of financial secrities increased from $4 to $128, that of underlying assests also increased from $4 to $14. If patterns hold for decreases as well as for increases. Therefore to get the value of financial securities decline if the value of underlying assests suddenly and unexpectedly fell by $6, we have:
Price of underlying assests when decreased by $6 =
$14-$6 = $8.
Therefore, price of existing financial security decline wil be:
$128-$8 = $120
Answer:
d. To find a project's IRR, we must solve for the discount rate that causes the PV of the inflows to equal the PV of the project's costs
Explanation:
The internal rate of return, will be the rate at which the net present value of a project is zero.
net present value = present value fo the cash inflow - investment
using the IRR on the cash inflow we have a present value equal to the investment made, which makes the net present value equal to zero.
Therefore, the IRR is the maximun rate the project can yield
Answer:
One-way commute times may be long because affordable housing is distant from the job.
A working spouse could affect all three variables.
People might be very satisfied with their career as long as the income is high.
People may have a career following their passion, but have a low income or a long commute.
Explanation:
As we know that the study in college for graduation generally includes the three types of variables i.e. level of the income, job satisfaction and the one way commute
Now there are some ways that may be cofounded such as the one way commute could belong as if the house is far from the job, for the working spouse the above three variables could be impacted, when the income of the people are high they feel very satisfied and they follow their passion but they have the low income or long commute travelled at the same time
Answer:
b. $3,000
Explanation:
Jed was refused payment of $5000, the court awarded only $2000, rest $3000 is a loss for Jed. He can only deduct $3000 and not full $5000 as $2000 has been realized.
Therefore, The amount of loss may Jed deduct in the current year is $3,000.
Answer:
INCREASE
Hope I help!!!
