Answer:
Statement a. is correct.
Explanation:
The effective annual rate is always higher than the nominal interest rate, as the formula is clear for any number of periods, for any interest rate:
Effective Annual Rate of return = 
Further if we calculate the present value of annuity due and ordinary annuity assuming 6 % interest rate, then:
Present value of annuity due =
= 1.06 
$400.95
= $425.0089
Present value of ordinary annuity = 
= $150 2.6730
= $400.95
Therefore, value of annuity due is more than value of ordinary annuity.
Statement a. is correct.
Answer:
Effect on income= $115,000 decrease
Explanation:
Giving the following information:
Fixed costs= $45,000
Number of units= 20,000
Unitary contribution margin= $8
<u>To calculate the effect on income, we need to use the following formula:</u>
Effect on income= decrease in fixed costs - decrease in contribution margin
Effect on income= 45,000 - 20,000*8
Effect on income= $115,000 decrease
Answer:
The correct answer is Activity G has s slack time of 8 days.
Answer:
The correct answer is: Creative strategy.
Explanation:
The creative strategy is the marketing plan a company sets to contribute to the achievement of its goal. Before this step, a study of the target market and customer of the company is necessary so the firm's publishers have an idea of who they are dealing with to introduce the good or service of the company in an engaging form.
Answer:
We'll start by putting into consideration, the large sample variance at the numerator.
Barron's Variance will be represented using 1 as the subscript.
i.e.
1 = $583 million
2 = $489 million
So,
0: 1²= 2²
: 1² ≠ 2²
=1² / 2²=
= $583 million² / $489 million²
= 583²/489²
= 1.42
Degrees of freedom 15 and 9
Using F table, area in tail is greater than 0.10.
Two-tail p-value is greater than .20
Exact p-value corresponding to F= 1.42 is .5874 (See F table)
p-value > .10
So,we do not reject 0.
We cannot conclude there is a statistically significant difference between the variances for the two companies.
