Answer:
5.09%
Explanation:
The internal rate of return is the discount rate that equates the after tax cash flows from an investment to the amount invested.
IRR can be calculated using a financial calculator.
Cash flow in year 0 = $-600,000
Cash flow each year from year 1 to 29 = $48,000 - $16,000 = $32,000
Cash flow in year 30 = $32,000 + $500,000 = $532,000
IRR = 5.09%
To find the IRR using a financial calacutor:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. After inputting all the cash flows, press the IRR button and then press the compute button.
I hope my answer helps you
Answer:
b) surplus; shortage; up; fall
Explanation:
If the bond market and money market start out at equillibrum, and money supply is increased there will be an excess (surplus) of money over bonds.
That is more money to buy less bonds. The relative scarcity of bonds will result in a shortage (bond supply cannot meet demand).
As a result of the shortage price of bonds will increase because more people are looking for the scarce bonds.
Price of bonds has an inverse relationship with interest. As price increases interest rates will fall.
For example consider a zero coupon bond of $1,000, being sold for low price of $850. On maturity it will yield gain of $150.
If the price rises to $950 the yield will only be $50.
So as price increases and interest (yield) decreases, it will no more be attractive to investors and demand will reduce to meet the available supply of bonds.
Answer:
$20,000
Explanation:
GDP is the market value of <u>all final goods and
</u>
<u>services</u> produced within a country in a given period of time.
The GDP includes only the value of final goods, <em>the value of manufactured automobile in this question</em>, not the value of intermediate goods used in it, <em>the windshield, tires, and others.</em>
Reason: The price of intermediate goods (windshield, tires, CD player) is already included in the final price of $20,000.
Hence, GDP discourage to include these intermediate goods value as it will lead to double counting given that they're already included in final price of $20,000.
Answer: should be protected due to the fact that their account is insured by FDIC.
Explanation:
From the question, we are informed that after Xavier and Alyssa deposited nearly $55,000 in a savings account at Bigbux Bank, the bank failed and filed for bankruptcy but that the Bigbux was an FDIC member bank.
Based on the above scenario, Xavier and Alyssa should be protected due to the fact that their account is insured by FDIC. Since the bank is insured, their money is safe.
Answer:
The answer is B.
Explanation:
Marginal Productivity can be described as when every variable in the equation is held constant, it is the amount of productivity gained for every extra hour of labor that is put in.
And according to the information about Joey and his productivity cutting the lawns, we are provided the equation q = 0.2*L which means that for every extra hour Joey works cutting the lawns, Joey's marginal productivity is going to decrease by 0.2 or 20% so the answer is B.
I hope this answer helps.
