Answer:
1. 2,584
Explanation:
future payments: $1,000 in 1 year and $2,000 in 3 years
the present value of alternative I (one year bond):
$1,000 / 1.06 = $943.40
the present value of alternative II (first 2 years and then 1 year):
$2,000 / 1.065 = $1,877.93 ⇒ PV at year 2
PV at year 0 = $1,877.93 / 1.07² = $1,640.26
the total present value of both options = $943.40 + $1,640.26 = $2,583.66 ≈ $2,584
Answer:
$1,398,000
Explanation:
Calculation for What is the best estimate of the total cost to Barnegat Light of the equity issue
Total cost = $68,000 + ($45 - $38)190,000 shares
Total cost = $68,000+($7)190,000 shares
Total cost = $68,000+$1,330,000
Total cost =$1,398,000
Therefore the best estimate of the total cost to Barnegat Light of the equity issue will be $1,398,000
Answer: Financial effects poses as economical risk while an improvement in career and better opportunity poses as potential economic benefit
Explanation:
One potential economic risk Lisa would have to face is that she would have issues with finances for the time being between when she resigned from her job, through her Master's and till she gets another job.
One potential economical benefit towards this decision is that she would have made an advancement in her career and would be at better place career wise and worth wise to compete for better jobs and improved pay from the place she left.
The higher a country’s gross domestic product (gdp), the more likely it is that the country is wealthy.
<h3>What is gross domestic product?</h3>
Gross domestic product is the total sum of final goods and services produced in an economy within a given period which is usually a year
The economic growth rate which measures wealth is the rate at which the nominal GDP of a country increases with the passage of time.
To learn more about GDP, please check: brainly.com/question/15225458
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Answer:
b. $14.7 million
Explanation:
In order to compute the asset retirement obligation, first we have to compute the expected cash flows which are shown below:
= Cash outflows × probability + Cash outflows × probability
= $10 million × 60% + $30 million × 40%
= $6 million + $12 million
= $18 million
Now the asset retirement obligation would be
= (Expected cash flows) ÷ (1 + interest rate)^ number of years
= ($18 million) ÷ (1 + 0.07)^3 years
= ($18 million) ÷ 1.225043
= $14.7 million