Answer:
The correct answer is E.
Explanation:
Giving the following information:
Yoga Center Inc. is considering a project that has the following cash flow.
Year 0= -1200
Year 1= 400
Year 2= 425
Year 3= 450
Year 4= 475
Cost of capital= 14%
To calculate the Net Present Value we need to use the following formula:
NPV= -Io + ∑[Cf/(1+i)^n]
Cf= cash flow
For example:
Year 3= 450/(1.14^3)
NPV= $62.88
Answer: D
Explanation:
Behavioral economics studies the impact of cognitive, psychological, cultural, emotional and social factors on individuals economic decisions. Behavioral economics is concerned with the extent of rationality of individuals, firms and governments. The study includes how market choices are made and the components that propel public choices.
Behavioral economics is important because it gives us an idea about how the mind of humans work. The greater the supply of a particular good, the more we use the good, the less we appreciate it. There are oceans of water and we always get water easily but there are fewer diamonds embedded and hidden in rocks which are not cheap and readily available.
Answer:
New Beta = 1,17
Explanation:
Portfolio # Beta NEW Beta
$ 5.000 1 1,00 2,00
$ 5.000 2 1,12 1,12
$ 5.000 3 1,12 1,12
$ 5.000 4 1,12 1,12
$ 5.000 5 1,12 1,12
$ 5.000 6 1,12 1,12
$ 5.000 7 1,12 1,12
$ 5.000 8 1,12 1,12
$ 5.000 9 1,12 1,12
$ 5.000 10 1,12 1,12
$ 5.000 11 1,12 1,12
$ 5.000 12 1,12 1,12
$ 5.000 13 1,12 1,12
$ 5.000 14 1,12 1,12
$ 5.000 15 1,12 1,12
$ 5.000 16 1,12 1,12
$ 5.000 17 1,12 1,12
$ 5.000 18 1,12 1,12
$ 5.000 19 1,12 1,12
$ 5.000 20 1,24 1,24
$ 100.000 1,12 1,17