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Elodia [21]
3 years ago
10

The rational-ignorance effect refers to the a. lack of incentive voters have to become well-informed about candidates and issues

because their vote is unlikely to affect the outcome of an election. b. fact that most people choose to become just as well-informed when making choices as consumers as they do when making choices as voters. c. lack of rational analysis on the part of voters when they choose not to become informed about candidates and issues even though this knowledge would produce great personal benefit to them. d. problem of not enough information being supplied to voters because politicians are not spending enough on campaign adds to inform voters of their positions on issues.
Business
1 answer:
densk [106]3 years ago
5 0

Answer:A. The lack of incentive voters have to become well-informed about candidates and issues because their vote is unlikely to affect the outcome of an election.

Explanation: Rational ignorance is a term used to describe the intentional decline or refusal by a person or group of persons to gain certain knowledge,mainly after considering the cost and benefits attached to gaining that knowledge.

When people choose not to learn a particular trade,subject etc after comparing the costs to the potential gains.

RATIONAL IGNORANCE IS ALSO CONCERNED WITH THE DECISION OF VOTERS WHEN MAKING CHOICE OF NOT PARTAKING IN AN ELECTION BECAUSE THEY BELIEVE THAT THEIR VOTES DO NOT COUNT OR HAVE EFFECTS ON THE FINAL OUTCOMES ETC.

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Which of the following investments would have the highest future value at the end of 10 years? Assume that the effective annual
LenaWriter [7]

Answer:

The investment that will have the highest future value is option b.

Explanation:

First lets suposse the effective annual rate is 10%  

a. Future value= $2,500  

c. First you must obtain the net present value of all cash flows with the formula attached, for example:  

NVP= ($250/(1+10%)^1)+($250/(1+10%^2)+($250/(1+10%^3)... and so on until year 10  

With the excel formula "NPV" you can calculate the net present value specifying the interest rate, the cash flows.  

The NPV= $1,536.14  

And then you calculate the future value of this answer with this formula:  

VF=VP(1+i)^n  

VF= $1,536.14*(1+10%)^10  

VF=$3,984.36  

b. If payments are due at the beginning of every year means that at year 0 you start with $250. You must calculate the NPV in this way  

NPV= $250+($250/(1+10%)^1)+ )+($250/(1+10%^2)+($250/(1+10%^3)... and so on until year 10  

NPV= $1,786,14

And then you calculate the future value of this answer:

VF= $1,786,14*(1+10%)^10  

VF=$4,632.79

d. First, you must convert the annual interest rate into semi-annually interest

10% Annually effective is 4,88% Semi-anually effective

NPV=$125+($125/(1+4,88%)^1)+ )+($125/(1+4,88%^2)+($125/(1+4,88%^3)... and so on until period 20

NPV=$1,698.75

And then you calculate the future value of this answer:

VF= $1,698 *(1+10%)^10  

VF=$4,405.37

The investment that will have the highest future value is option b.

3 0
3 years ago
You are considering in investing one of the two options: Investment A requires a $255,000 upfront payment from you and generates
Ainat [17]

Answer:

Option (E) Never

Explanation:

NPV from Investment Project 1 = ($255,000) + $21,000 / (r)

NPV from Investment Project 2 = ($175,000) + $29,000 / (r)

The question says that find the number of years that equals the total return which means the NPV from both investments is equal:

($255,000) + $21,000 / (r) = ($175,000) + $29,000 / (r)

$21,000 / (r) - $29,000 / (r) = $255,000 - $175,000

-$8000 / r = $80,000

r = - 8000 / 80000 = -0.01 = - 10%

The negative sign shows that project A can not make a positive NPV that will be equal to that of project B and vice versa. It can also be illustrated by putting the value of r in "NPV from Investment Project 1"

NPV from Investment Project 1 = ($255,000) + 21000 / -0.01

= ($255,000) - $210,000 = ($465,000)

This shows that the company will have to make losses of $465,000 which is not possible because company will not select projects with negative NPVs.

3 0
3 years ago
Wiley Company purchased new equipment for $60,000. Wiley paid cash for the equipment. Other costs associated with the equipment
user100 [1]

Answer:

The cost recorded for the equipment=$66,500

Explanation:

When dealing with the total cost of an equipment we take the purchase cost and other additional associated costs that come with the equipment. This can be expressed as;

T=P+A

where;

T=total cost

P=purchase cost

A=additional costs(transportation cost+sales tax+installation cost)

In our case;

T=unknown

P=$60,000

A=(1,000+3,000+2,500)=$6,500

replacing;

T=60,000+6,500=66,500

The total cost=$66,500

The cost recorded for the equipment=$66,500

4 0
3 years ago
Which of the following statements is true of process​ costing? A. It tracks and assigns both period costs and product costs to u
Dahasolnce [82]

Answer:

B) It accumulates product costs by production departments.

Explanation:

Process cost is used to ascertain the cost of a product at all stages of production. Total cost is an addition of all the individual process costs. Usually this is used in companies that produce homogeneous goods.

For example manufacturers for processed foods, and chemicals.

7 0
3 years ago
Types of conclusion <br> In a nut shell, when you look
Mars2501 [29]

In a nut shell, when you look belongs to reflective type of conclusion. Hence, the type of conclusion in the phrase above is reflective conclusion. Read below about types of conclusion

<h3>What are the types of conclusion?</h3>

Majorly, the types of conclusion include: embedded, retrospective, reflective, and projective forms are four main types of conclusions applicable for different academic papers when writing.

Therefore, the correct answer is reflective conclusion. This is so, because, the introductory phrase after the transitional marker signals reflection, 'when you look...' hence, the correct address is reflective conclusion.

learn more about reflective conclusion: brainly.com/question/5012638

#SPJ1

5 0
2 years ago
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