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Pani-rosa [81]
3 years ago
12

A zero coupon bond pays no interest-only it face value of $1,000 at maturity. One such bond has a maturity of 18 years and an in

itial price of $130. What annual interest rate is earned if the bond is bought when issued and held to maturity?
Business
1 answer:
Ne4ueva [31]3 years ago
3 0

Answer:

12%

Explanation:

FV = PV*(1+i)^n

FV = 1000, PV = 130, i = annual interest rate, n = 18

∴ 1000 = 130*(1+i)^18

==> (1+i)^18 = 1000/130

==> 1+i = (1000/13)^(1/18)

i = 1.12001895 - 1

i = 0.12

i = 12%

Thus, the annual interest rate is 12%

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Using all of their resources, Company A can make either 100 computers or 50 cell phones while Company B can make either 200 comp
KIM [24]

Answer:

company B

company B

Explanation:

A company has comparative advantage in production if it produces at a lower opportunity cost when compared to other companies.

Opportunity cost of producing cell phones

company A = 100 / 50 = 2

company B = 200 / 150 = 1.3

The opportunity cost of company B is lower than that of company A. Company B has a comparative advantage in the production of cell phones

A company has absolute advantage in the production of a good or service if it produces more quantity of a good when compared to other countries

Company B produces 200 computers while company A produces 100 computer. Company B has an absolute advantage in the production of computers

4 0
3 years ago
Which of the following is considered the process in the systems thinking example of a decision support system?
LuckyWell [14K]

Answer: C. Optimization

Explanation:

In the decision making system, TPS is considered to be the input in the systems thinking example.

In the decision making system, optimization is considered to be the process in the systems thinking example.

In the decision making system, TPS is considered to be the input in the systems thinking example.

In the decision making system, a forecast is considered to be the output in the systems thinking example.

7 0
3 years ago
JudyJudy hires students at ​$5050 a day to mow lawnsmow lawns. SheShe leases equipment that costs ​$8080 a day. Suppose that Jud
Vsevolod [243]

Answer:

D. slopes upward

Explanation:

if Judy experiences diseconomies of scale this means the return for adding further factor into the economy decreases. Therefore the marginal cost increase more than the marginal revenue from the added factor.

His average cost curve will shift upwards. Each time Judy adds equipment and workers his cost increase more than the previous worker or equipment.

<u>Resuming:</u>

Producing an additional units is more expensive than the previous unit therefore, the average cost increases through units output.

5 0
3 years ago
CarPro is an automobile dealer selling only new cars. CarPro sells three types of vehicles: sedans, SUVs and trucks. CarPro plac
netineya [11]

Answer:

14 truck and 1 suv produce 21,800 profit

Explanation:

We have to solve for the contribution margin considering the constraing resourse which, is the ordering cost:

\left[\begin{array}{cccc}&sedan&SUV&truck&\\$NRV&19000&21850&20425&\\$Cost&-18000&-20500&-19000&\\$CM&1000&1350&1425&\\$Constrain resource&18000&20500&19000&\\$CM per constrain&0.05556&0.0659&0.075&\\\end{array}\right]

The card models revenue is calcualted using the net realizable value for each card, which is their sales price less the 5% sales commission.

Then we solve for how many truck will it purchase:

300,000 / 19,000 = 15,78

So the company will purchase 15 trucks

giving 15 x 1,425 = 21,375

This will require 2.5 x 15 = 37.5 hours thus 5 sales man (40 labor)

This creates 2.5 hours unsured

and also 300,000 - 15,000 x 19,000 = 15,000 dollar which are not productive

So, we will try to make a better use to purchase the SUV which is the second best option instead of the 15th truck:

giving 14 x 1,425 + 1350 = 21,300

we subtract the 500 dollar of sales man and get a 21,800 profit

with less unproductive dollar. So this will be the answer

7 0
4 years ago
A company purchased an asset for $3,600,000 that will be used in a 3-year project. The asset is in the 3-year MACRS class. The d
suter [353]

Answer:

$266,760

Explanation:

According to the problem, calculation of the given data are as follows,

Purchase value =  $3,600,000

Depreciation for 1st year = 33.33%

Depreciation for 2nd year = 44.85%

Depreciation for 3rd year = 14.81%

So,  Book value = Purchase value × ( 1 - depreciation of all years)

By putting the value we get,

Book Value = $3,600,000 × ( 1 - 33.33% - 44.45% - 14.81% )

= $266,760

6 0
3 years ago
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