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4 years ago

The 2-year discount factor is 0.92.

Business

1 answer:

lora16 [44]4 years ago

3 0

Answer:

a. $0.92

b. $1,840

Explanation:

a. 2 year discount factor is 0.92

Present value of $1 to be received in 2 years =

$1 * discount factor

Present value = $1 * 0.92

Present value = $0.92

b. Present value of $2000 can also be calculated in the same manner by using the 2 year discount factor.

Present value = $2000 * 0.92

Present value = $1,840

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g A decrease in aggregate demand will cause prices to fall according to classical economists, and unemployment to increase accor

Mashcka [7]

Answer:

prices to fall according to the classical economists and unemployment to increase according to Keynes.

Explanation:

The classical economists believes that a decrease in aggregate demand for goods produced would being about fall in the prices of such goods. What this implies is that as more goods are produced, if such production is not backed by corresponding demand by consumers, the prices of such goods produced will eventually fall because supply is greater than demand.

For the Keynes, their argument is that a decrease in aggregate demand will cause unemployment to increase. This is because owners of businesses or employers would lay off their employees when goods produced exceeds the demand for such production by consumers. Here, owners of businesses pays their employees through sales of goods produced. So, when the goods produced are not purchased, then there will be excess availability of such goods; hence no sale or profit, from which salaries would be paid. The next step is to start laying off employees because employers cannot cover their running costs.

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3 years ago

An individual wants to have $95,000 per year to live on when she retires in 30 years. The individual is planning on living for 2

son4ous [18]

Answer:

The amount she would be saving during her working life is $1,089,64 and the deposit required for each year is $6,624.21

Explanation:

Solution

Given that:

The amount of income needed for retirement income = P×[1-(1÷(1+r)^n)]÷r

Now,

The Interest rate per annum =6.00%

The Number of years = 2

The Number of compoundings per annum = 1

The Interest rate per period ( r)=6.00%

The period per payment (P)=$ 95,000

The Amount required for retirement income = 95000*[1-(1/(1+6%)^95000]/6% =$1,089,643

Now,

Required deposit for every year (P)=FVA÷([(1+r)^n-1]÷r)

The Interest rate per annum = 10.00%

The Number of years= 30

The number payments per per annum =1 The Interest rate per period ( r)=10.00%

The Number of periods (n)=30

Thus,

The Future value of annuity (FVA) = $1,089,643

Hence the deposit required for each year is = 1089643/(((1+10%)^30-1)/10%)

= $6,624.21

6 0

3 years ago

a blank is sent to you from the_____each month showing the transactions you made with your checking account

GaryK [48]

A (mail) is sent to you from the( bank)

5 0

3 years ago

Annual demand for a product is 40,000 units. The product is used at a constant rate over the 365 days the company is open every

pochemuha

Answer:

Order cycle time = 28.85 days

Explanation:

<em>The Economic Order Quantity (EOQ</em>) is the order size that minimizes the balance of ordering cost and holding cost. At the EOQ, the carrying cost is equal to the holding cost.

It is computed using he formula below

EOQ = √ (2× Co× D)/Ch

Co- ordering cost, Ch- Holding cost per unit per annum

D- Annual demand,

EOQ - Economic order qunatity

Co-125. Ch- 2.50, D- 40,000

EOQ= √ (2× 125× 40,000)/2.5

EOQ = 3,162.27

The cycle time = order quantity/annual demand× 365 days

= 28.85 days

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3 years ago

All else equal, imposing taxes in markets where demand and supply are price- not only causes less but also raises more .

anygoal [31]

All else equal, imposing taxes in markets where demand and supply are price inelastic not only causes less inefficiency but also raises more revenue.

What is meant by price inelastic?

Inelastic is an economic term referring to the static quantity of a good or service when its price changes. Inelastic means that when the price goes up, consumers' buying habits stay about the same, and when the price goes down, consumers' buying habits also remain unchanged.

What is inefficiency in business?

Inefficiency is defined as a lack of organization or skill that wastes time, energy, or money. For business owners, it is the practice that sparks a worst-case scenario. Every penny spent on tools and software to make the business run smoother is the cost of running an efficient organization.

What do revenue means?

Revenue is the total amount of income generated by the sale of goods or services related to the company's primary operations. Revenue, also known as gross sales, is often referred to as the "top line" because it sits at the top of the income statement. Income, or net income, is a company's total earnings or profit.

Learn more about demand and supply:

brainly.com/question/20072354

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2 years ago