Answer:
FCF years 1 is $43,000
NPV is $13,300
Explanation:
The free cash flow for the first year=net income+depreciation-Capital exp
net income is $13,000
depreciation is $30,000
capital exp for the first year is nil
the free cash flow=$13,000+$30,000+$0=$43,000
FCF year zero=-$90,000
the FCF for year1 applies to years 2 and 3 as well
NPV=-$90,000+$43,000/(1+12%)^1+$43,000/(1+12%)^2+$43,000/(1+12%)^3=
$13,278.74
The closest option is $13,300
Answer: A. Expansionary fiscal policy, increase government expenditures by $100, or cut taxes by $200.
Explanation:
Recessionary gap = $200
Marginal Prospensity to Consume = 0.5
Spending multiplier will them be calculated as:
= 1/(1-0.5)
= 2
Tax multiplier will be:
= -0.5/(1-.5)
= -1
Therefore, the answer is option A"Expansionary fiscal policy, increase government expenditures by $100, or cut taxes by $200"
Answer:
2. 24-hour coverage
Explanation:
Based on the description being provided based on Bob's workers compensation coverage policy it seems that his arrangement is best described as a 24-hour coverage. This refers to a policy that covers the individual at all times, 24 hours a day. While the individual is at work as well as when they are outside of work.
Answer:
<u>it appears there's no database differentiation</u>
<u>Explanation:</u>
Remember, we are told Richardson had <em>already </em>set up his house alarm system when he moved to his new home in Seattle, meaning he had subscribed to the service.
However, because the company's database does not differentiate customers who had activated their alarm system and set their billing to be sent to their local UPS store, it has caused Richardson security concern to still see repeated offers mailed to his physical address.
Answer:
The correct option is B,only if it is in writing.
Explanation:
Such promise is not enforceable since one of key elements of enforceable agreement(contract) is missing.
The missing element is that Abner is not getting anything of value in return for the promise to pay for Claudia's trumpet.
The only way to get Abner to fulfill the promise in law parlance is get the promise documented as well as signed by Abner,that can be used as an evidence against Abner in future in order to ensure the promise is fulfilled.