Answer:
Present value = $45,185,606
Explanation:
Data:
number of periods(n) = 17 years
First-year profit = $5 million
Growth rate = 2%
Interest rate = 10%
Present value = ?
Solution:
The present value of the growing annuity can be calculated as follows
Formula:
Let's denote
annual interest rate = x
annual growth rate = y
Present value = First-year profit x 
Present value = $5,000,000 x 
Present value = $5,000,000 x 9.03
Present value = $45,185,606
Answer:
the answer is a
Explanation:
An apprentice is someone following the in print 18 around and doing what they're doing just less important things
Answer:
B. Keynesian
Explanation:
Keynesian economics or theory believes that government can boost the economy and stimulate or increase demand, in times of economic downturn, by increasing spending and lowering taxes.
This increase in government activities will create jobs and reduce unemployment and lead to more spending and investment, by individuals and businesses, in the economy.
Answer:
d. Government should use fiscal policy to try to stabilize the economy.
Explanation:
Suggesting that the government should use fiscal policy to try to stabilize the economy generates the greatest amount of disagreement among economists because the process of implementing fiscal policy usually experiences lag as it is being slowed down by the political system (bureaucracy) of checks and balances.
Fiscal policy is the use of government expenditures, revenues and tax policies to influence macroeconomic conditions such as employment, inflation and Aggregate Demand (ADl in a specific country.
The benefits of fiscal policy is that investments, savings and growth is usually influenced in the long-run while it basically influences aggregate demand for goods and services in the short-run.
Answer:
Defensive Portfolio
Explanation:
Defensive portfolio consist of stocks that are protected from the market movement forces such that they perform acceptably well both during good and bad economic times, much unlike cyclical stocks. The companies within the portfolio are those that manufacture and produce essential goods and services and therefore will also thrive when the economy is in a difficult state.
Many defensive portfolio companies offer dividends with the effect of reducing capital losses.
