Answer:
2865.09
Explanation:
V0 = #Shares * Price per Share
V0 = 100 * 25.8 = 2580
V1 = Today´s Value
V1 = 2865
Return Year 1 = (V1 - V0) / V0
Return Year 1 = (2865 - 2580)/2580
Return Year 1 = 11.05%
New Investment
Abby's desire is to get the same return of 11.05%. So for the next year her investment should be 2580 * (1 + return) --> 2580 * (1 + 0.1105) = 2865.09.
Remember that we are assuming that the 50 are part of the purchase price and we are assuming that she did not add any money.
Answer:
Consider the following explanation
Explanation:
Option A, B and D are correct, It will reduce the profit of the company who is loosing the monopoly, and fewer drugs will be invented in the market and firms are loosing the monopoly, and the sunk cost will increase.
Answer:
d. Both results are approximately the same
Explanation:
As there is no interaction
One-half factorial will give half of the result of the experiment.
When there is a lack of resources, we also do the one-half factorial to complete the full factorial experiment.
Hence, both provide the approximately same outcomes of the experiment.
Answer:
-39.3%
Explanation:
Calculation for the IRR of his retainer offer
First step is to find Opportunity Cost
Opportunity Cost= 8 hours × $250 per hour
Opportunity Cost = $2,000
Since we have known the monthly Opportunity Cost the second step will be to compute IRR
Present Value= $30,000
N = 12
PMT = -2,000
FV = 0
Now let compute the IRR
IRR= -3.276502% × 12
IRR= -39.3180% Approximately - 39.3%
Therefore the IRR of his retainer offer is closest to: - 39.3%
