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Licemer1 [7]
3 years ago
14

Which one of the following will produce the highest present value interest factor? A. 6 percent interest for five years B. 6 per

cent interest for eight years C. 6 percent interest for ten years D. 8 percent interest for five years E. 8 percent interest for ten years
Business
1 answer:
disa [49]3 years ago
3 0

Answer:

The correct answer is A

Explanation:

The formula to compute the present value interest factor using excel is as:

= 1/(1+r)^ n

where

r is the rate

n is number of years

So, in case of A,

The present value interest factor is:

= 1/(1+0.06)^5

= 0.74725

In case of B,

The present value interest factor is:

= 1/(1+0.06)^8

= 0.62741

In case of C,

The present value interest factor is:

= 1/(1+0.06)^10

= 0.55839

In case of D,

The present value interest factor is:

= 1/(1+0.08)^5

= 0.68058

In case of E,

The present value interest factor is:

= 1/(1+0.08)^10

= 0.46319

Therefore, it is highest in option A.

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Functional departmentalization -

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hence , from the question ,

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8 0
3 years ago
Faldo Corp sells on terms that allow customers 45 days to pay for merchandise. Its sales last year were $425,000, and its year-e
antoniya [11.8K]

Answer:

Faldo Corp

Customers are paying late by 6.5 days (51.5 - 45)

Explanation:

DSO = Accounts Receivable/Sales last year * 365 days

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= 51.5 days

Customers are paying late by 6.5 days (51.5 - 45)

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2 years ago
Soft drink sales are declining as more consumers are concerned about their health. This represents a change in the __________. A
Firlakuza [10]

Answer:

product concept

Explanation:

The definition of the product concept implies that customers prefer goods that have higher quality, price, and functionality than a standard product. In some niche markets such as computers and mobile phones, the definition is really true.

The product concept relates to a compulsory philosophy to provide the consumer with the best model possible according to need and requirement. A product is not sufficient on its own and needs the performance of many other market aspects such as advertising, shipping, sales, operation, etc.

6 0
3 years ago
The difference between a​ firm's operating income and income before taxes is​ _____. The difference between a​ firm's ​before-ta
monitta

Answer: Option A

Explanation: Operating income refers to the income that the company earns from performing its core operations. It is also denoted as EBIT. Thus, the difference between operating income and income after tax is the tax that has been deducted from the operating income.

While calculating accounting profit, opportunity cost is not deducted from the revenue hence before tax and after tax depicts the investments that were made to earn that profit.

3 0
3 years ago
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Why do traditional ad/marketing agencies struggle with digital marketing? check all that apply Group of answer choices Hard to c
VikaD [51]

Answer:

Hard to change ; No digital skills among staff

Explanation:

Traditional ad / marketing agencies are the agencies promoting brands through offline ways. Eg : Banners, Pamphlets etc

Digital Marketing agencies are agencies promoting through online ways. Eg : E mail marketing, Social media marketing etc.

Digital Marketing needs more technical expertise than traditional, conventional marketing. So, traditional marketers & their staff face adaptability issues in adapting to the new technically upgraded marketing approaches. Such because their team & staff members have low techno - digital skills, are accustomed to conventional marketing practices.

8 0
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