I don’t know if they’re answer choices with this question, but I believe if she studies 10 hours on her financial investment, and 10 hours on her private bookkeeping business. She’ll have to Atleast study 4 hours on the client record keeping requirement. (hope this helps)
Answer:
Net Present Value for this project is -411,111.11
Explanation:
Net Present Value is the difference between present values of future cash flows and present value of future cash outflows. Since, the outflows are paid today, we don't need to discount them.
Since we have indefinite period of time and expected net cash inflow of 107,000$ after first year, where it is expected to grow annually at 3%, we can use following formula:
P V = F V / i-g, where g is annual growth rate of future cash inflow. Therefore, we will have P V = 1,188,888. In order to calculate N P V we need to calculate the difference between P V and initial investments. Finally, we get -411,111.11
Answer:
A. 3,789
B. 100%
C.5,000
Explanation:
(a) Total market ($'000) = 310 + 725 + 405 = 1,440
Firm 1 share = 310 / 1,440 x 100 = 21.53%
Firm 2 share = 725 / 1,440 x 100 = 50.35%
Firm 3 share = 405 / 1,440 x 100 = 28.12%
HHI = (21.53)2 + (50.35)2 + (28.12)2 = 3,789
(b) Since there are only 3 firms in market, therefore the four-firms concentration ratio will be 100% b
(c) Total revenue share of the two firms = (310 + 405) / 1440 x 100 = 49.65%
Post-merger HHI = (49.65)2 + (50.35)2 = 5,000
Yes. If the guideline considers any post-merger HHI above 1800 as highly concentrated market, this merger will be probably attempt to block a horizontal merger between two firms with sales.
