Simple interest means that you only need to find the interest once and then keep adding it on every year. In this case, the interest would be 5.5% of $5000 every year, which is 275.
In 6 years, you'll have $1650, which is the amount earned from interest, plus $5000, which is the original investment.
So you'll have $6650 in 6 years.
Answer:
$15.625
Explanation:
The computation of the no-arbitrage U.S. price of one ADR is shown below:
= Euro U.S. dollar spot exchange rate × closing price per share × number of shares
= €.625 × €5 per share × 5 shares
= $15.625
Simply we multiply the Euro U.S. dollar spot exchange rate with the closing price per share and the number of shares so that the correct price of one ADR can be come
Answer:
Social Benefit / Positive Externality
Explanation:
Each economic transaction has benefits & costs to society.
Eg: Vaccinations purchase by patients- benefits patients by preventing them from a disease for which they pays monetary cost to the doctor, which is latter's income benefit.
However, these both are patient's & doctor's private benefit & costs.
Externalities imply extra harm or benefit to other un-indulged parties, without any monetary exchange for that harm or benefit. Socially Beneficial are positive externalities, Socially harming are negative externalities.
Eg - In this case, vaccination is the positive externality : It has extra benefit for other people who are less probable to transmitting illness, without having paid for that prevention in any way.
But, Individual consumers (here patients) & producers (here doctors) decisions are based on their private benefit & cost. So, consumers' (here patients') willingness to pay will depend only on their private benefit of disease prevention & ignore the extra social benefit from the positive externality vaccination - as society less illness probability.
Answer:
minutes of grinding= 60,468 minutes
Explanation:
Giving the following information:
Grinding minutes per unit:
Product A= 3.80
Product B= 5.30
Product C= 4.30
Product D= 3.40
Monthly demand in units:
Product A= 4,260
Product B= 4,260
Product C= 3,260
Product D= 2,260
A total of 54,900 minutes is available per month on these machines.
minutes of grinding= Total product A + Total product B + Total product C + Total product D
minutes of grinding=4260*3.80 + 4260*5.3 + 3260*4.3 + 2260*3.4= 60,468 minutes
