Answer:
Task 1:
The answer is $700.
Task 2:
The answer is $130.
Task 3:
The answer is $20.
Task 4:
The answer is $10,570.
Task 5:
The answer is $110.
Explanation:
<h2>Task 1:</h2><h3>How much does each investor make on his investment with the 7% rate of return?</h3><h3>Solution:</h3>
Adrian & Clemens makes [$10,000*0.07] on their investment = $700.
<h2>Task 2:</h2><h3>How much does Adrian pay in fees for his actively managed mutual fund?</h3><h3>Solution:</h3>
Adrian owes to his broker = (10000*.013) = $130
<h2>Task 3:</h2><h3>How much does Clemens pay in fees for the index fund?</h3><h3>Solution:</h3>
Clemens owes to his broker= ($10000*.002) = $20
<h2>Task 4:</h2><h3>At the end of the year, what's the total value (AFTER FEES) of Adrian's mutual fund?</h3><h3>Solution:</h3>
Value of Adrian's stock = $10000+$570 (net of brokerage) = $10,570
<h2>Task 5:</h2><h3>What's the total value (AFTER FEES) of Clemens's index fund?</h3><h3>Solution:</h3>
Value of clemens' stock = $10000+$680 (net of brokerage) = $10,680
<h2>Task 6:</h2><h3>How much more value does Clemens' investment generate than Adrian's in one year's time?</h3><h3>Solution:</h3>
Clemens investment makes ($680-$570) than adrian's investment = $110
Answer:
Bounded Rationality
Explanation:
To begin with, it is essential to understand the concept of departmentalization.
Departmentalization centers on the idea that departments/divisions within an organization are grouped and/or sectioned, using some identified benchmarks. In extension, Departmentalizing, is simply the acts of engaging in departmentalization.
Bounded rationality, is a phenomenon that states that human reasoning and extension, logic could be threatened by a number of constraints. The constraints here could be human, material and physical resources. The implication is that an individual is not in possession of full details and information that could influence or shape his position.
Hence, by departmentalizing, an organization has placed a constraint on the amount of information accessible to that department, under the bigger context of an organization. Thus, the departments' rationality has been bounded and this could ultimately spiral into poor decision making, principally because of lack of detailed information.
Answer:
<em>The management of Elextric Corp., a computer manufacturing company, wants the employees in the organization to contribute to the quality of the firm by making gradual, continuous improvements in their departments. Given this information, Elextric Corp. embraces an approach known as </em><em><u>Six </u></em><em><u>sigma</u></em>
<em>What</em><em> </em><em>is </em><em>Six </em><em>sigma?</em><em> </em>
<em>Six </em><em>sigma </em><em>refers</em><em> </em><em>to </em><em>a level quality that is near perfection.</em><em> </em><em>It </em><em>strives </em><em>for </em><em>a </em><em>detect </em><em>level </em><em>that </em><em>is </em><em>no </em><em>more </em><em>than </em><em>3</em><em>.</em><em>4</em><em> </em><em>parts </em><em>per </em><em>million</em><em>.</em><em> </em><em>As </em><em>a </em><em>methodology</em><em>,</em><em> </em><em>Six </em><em>sigma </em><em>refers </em><em>to </em><em>DMA</em><em>I</em><em>C </em><em>or </em><em> </em><em>D </em><em>M </em><em>A </em><em>I </em><em>C </em><em>a </em><em>methodology</em><em> </em><em>for </em><em>improvement</em><em> </em><em>named </em><em>after </em><em>its </em><em>five</em><em> </em><em>phases </em><em>of </em><em>d</em><em>efine</em><em>,</em><em> </em><em>measure,</em><em> </em><em>analyze,</em><em> </em><em>improve,</em><em> </em><em>and </em><em>control.</em>
Answer: D. All of these (happy to help)
Explanation:
Answer:
Present value is nothing but how much future sum of money worth today. It is one of the important concepts in finance and it is a basis for stock pricing, bond pricing, financial modeling, banking, and insurance, etc. Present value provides us with an estimated amount to be spent today to have an investment worth a certain amount of money at a specific point in the future. Present value is also called a discounted value. It is an indicator for investors that whatever money he will receive today can earn a return in the future. With the help of present value, method investors calculate the present value of a firm’s expected cash flow to decide if a stock is worth to invest today or not.
The formula for calculating PV is shown below
PV = CF/ (1+r)n
Here ‘CF’ is future cash flow, ‘r’ is a discounted rate of return and ‘n’ is the number of periods or year.
Example
Let’s say that you have been promised by someone that he will give you 10,000.00 Rs 5 year from today and interest rate is 8% so no we want to know what the present value of 10,000.00 Rs which you will receive in future so,
PV = 10,000/ (1+0.08)5
PV = 6805.83 (To the nearest Decimal)
So present-day value of Rs 10,000.00 is Rs 6805.83
Explanation: