Answer:
the total benefit of the fireworks display to the town of Bayport is $390
Explanation:
The computation of the total benefit is given below:
= Shen residental value + valerie resident value + antonio resident value
= $60 + $150 + $180
= $390
Hence, the total benefit of the fireworks display to the town of Bayport is $390
We simply add all 3 resident value
Answer:
Juan is a small-business owner. He has some cash flow and wants to invest in a new project. Juan’s assistant provides an evaluation and estimates the nominal returns that Juan would earn if he invests in the project. Juan reads the evaluation and makes the decision based on the real terms after factoring in inflation - Yes, this is a good financial decision.
Explanation:
The annual percentage of profit earned on an investment, adjusted for inflation is known as the real rate of return.
The nominal interest rate is the interest rate before taking inflation into account
Inflation reduces the value of money. Thus, calculating a rate of return in real value rather than nominal value, especially during a period of high inflation, gives a clearer picture of an investment's success.
The real rate of return adjusts profit for the effects of inflation, thus, it is a more accurate measure of investment performance than nominal return.
Usually, nominal rates are higher than real rates of return except in times of zero inflation or deflation.
Juan actually considered inflation rate, and made his decision on investment based his on real rate of return , and not nominal rate of return. Thus, he made a good financial decision.
I feel stressed reading this question as it has no context but the question is asking for your opinion. there really is no wrong answer
Answer:
The correct answer is "-$7200 (Unfavorable)".
Explanation:
Given:
Actual quantity,
= 54000 pounds
Standard price,
= $3 per pound
Standard quantity,
=
=
As we know,
⇒ By substituting the values, we get
⇒
⇒
⇒
Answer:
The annual YTM will be = 6.133735546% rounded off to 6.13%
Explanation:
The yield to maturity or YTM is the yield or return that an investor can earn on the bond if the bond is purchased today and is held till the bond matures. The formula to calculate the Yield to maturity of a bond is as follows,
YTM = [ ( C + (F - P / n)) / (F + P / 2) ]
Where,
C is the coupon payment
F is the Face value of the bond
P is the current value of the bond
n is the number of years to maturity
Coupon payment = 1000 * 0.06 * 6/12 = 30
Number of periods remaining till maturity = 11 * 2 = 22
semi annual YTM = [ (30 + (1000 - 989 / 22)) / (1000 + 989 / 2)
semi annual YTM = 0.03066867773 or 3.066867773% rounded off to 3.07%
The annual YTM will be = 3.066867773% * 2 = 6.133735546% rounded off to 6.13%