Answer:
$3,168
Explanation:
We will receive $4000 in future (after 4 years time) which means all we want to know is the amount that we Derek must deposit today.
This present value of the $4000 payment received after 4 years from today can be calculated using the following formula:
Present value = Future Value / (1 + r)^n
Here
Future Value is $4000
r is 6%
n is 4 years
So by putting values, we have:
Present value = $4000 / (1 + 6%)^4 Years
Present value = $3,168
Answer:
Option A
Explanation:
The correct answer is Option A
Outsourcing is the process of hiring the party from outside to perform certain services and goods which is not being produced by the in house company.
Outsourcing activity includes supply chain management, resource management, customer support, finance, marketing, etc.
So, Contracting noncore operations job is to an external entity is known as Outsourcing.
Answer: Russia has an absolute advantage in the mineral.
Explanation:
Absolute advantage is an economics term that means to the ability of an individual, firm, or nation to manufacture a larger quantity of a product than its competitors.
Adam Smith proposed absolute advantage of absolute advantage in international trade by using only labor as the input. Absolute advantage is derived by comparing labour productiveness between countries.
Russia has an absolute advantage because it's the nation that can produce the highest amount.
Answer: B.both stocks are equally good investments
Explanation:
The options are;
A.it is better to buy shares in Bad Firm
B.both stocks are equally good investments
C.it is better to buy shares in Good Firm
D.both stock prices react equally to the same information
From the question, we are informed that Good Firm is highly profitable and will grow rapidly in the future while Bad Firm faces the same risks but barely makes a profit and will not grow at all. It should be noted that In an efficient market, both stocks are equally good investments.