Given that: F (Future worth) = $2,500, i (nominal interest rate)
= 0.12, compounded monthly = 12 months, years of investment = 1 year, and no.
of employees = 20. Compute using the annuity formula: A=Fi/(((1+i)^n)-1).
Calculating i = 0.12/12 = 0.01, since it is compounded monthly. Calculating n
(total number of compounding) = 1 x 12 = 12, since year of investment is equal
to 1. Substituting F=2500, i=0.01 and n=12 to the annuity formula, you will get
A=$197.12. Multiply by 20, you will get $3,942.44.
The correct option is your enjoyment of the bagel
The student center on campus has burritos, bagels, or burgers for lunch, and they all cost the same. You decide to have a burger today, but if they were out of burgers, you would have bought a bagel. Your opportunity cost is your enjoyment of the bagel.
Protectionism<span> is the economic policy of restraining trade between states through certain methods. From the choices listed above, I think the correct answer is the third option. The factor that would </span>decrease because of protectionism is <span>goodwill with trade partners.</span>
Answer:
d. Mohammad cannot share with Ceries the confidential information he knows about Estay’s new product because he has a duty not to disclose confidential information he acquired during the agency.
Explanation:
Mohammad cannot share confidential information with an external competitor even when he is no longer in the service of the firm.
The only option left for Mohammad is if Estay gives him approval to share the piece of information.
Answer:
(a) What is the net present value of this potential investment?
Net present value of Investment is $(3,903)
(b) Should you invest in this machine?
We should not invest in this investment because Net present value of this investment is negative by discounting Minimum acceptable rate of return.
Explanation:
Present Values:
Revenue $144,146
O&M Cost ($48,049)
Initial Investment <u>$(100,000)</u>
Net Present value $(3,903)
Working :
Present Value Calculation = P x ( (1- ( 1 + r )^-10) / r
Revenue = $21,000 x ( (1- ( 1 + 0.075 )^-10) / 0.075 = 144,146
O&M Costs = $7,000 x ( (1- ( 1 + 0.075 )^-10) / 0.075 = 48,049
