How are the three economic conditions (Growing, Stable, and Declining) called in the Decision Table?

The slope of the budget line is: negative, since to purchase more of one good means giving up some of the other good. zero, sinc

34kurt

Answer:

Negative, since to purchase more of one good means giving up some of the other good.

Explanation:

A budget line illustrates the number of goods, consumers are able to buy with lower income. Thus the price of goods and customers income to be spent on goods determine the budget line.

The slope of the budget line measures the opportunity cost of consuming Commodity A forgetting Commodity B. In order to get more of Commodity A, the consumer will have reduce the consumption of Commodity B Forefeiting the opportunity to consume Commodity B is the true opportunity cost of Commodity A and this measured by the slope of the budget line.

The slope of the budget line shows the amount of a commodityB the consumer must forfeit to purchase one more unit of a commodity A and the slope is usually Negative.

5 0

4 years ago

A bond that pays interest semiannually has a price of $941.35 and a semiannual coupon payment of $26.00. If the par value is $1,

zalisa [80]

Answer:

5.52%

Explanation:

Calculation to determine the current yield

Current yield = ($26.00 × 2)/$941.35

Current yield=$52/$941.35

Current yield= .0552*100

Current yield= 5.52%

Therefore the Current yield is 5.52%

8 0

3 years ago

Truck drivers for a hauling company, while loading a desk, found a $100 bill that had fallen out of the desk. They agreed to get

Novosadov [1.4K]

Find the given attachments

3 0

4 years ago

Please explain to me how to solve .169 x 6.3

tankabanditka [31]

First take away the decimals and multiply 169 x 63 = 10647

then you place the decimal on the 4th digit from the right since there's 3 places on .169 and 1 on 6.3 thus 1.0647

5 0

3 years ago

The city of Modesto, California needs more water. The town engineer has selected two plans for comparison: a gravity-based plan

o-na [289]

Answer:

a pumping plan (pump water from a closer water source to the city) is prefered.

the breakeven investment cost in year 10 is $1311018. 802 in order to make these two projects equally preferable

Explanation:

From the given information; we are to :

(a) Use an annual cash flow analysis to find out which plan is preferred

(b) What is the breakeven investment cost in year 10 to make these two projects equally preferable?

The two plans selected by the engineer are:

a gravity-based plan (divert water from the Sierras and pipe it by gravity to the city)

a pumping plan (pump water from a closer water source to the city).

In order to achieve that; let's find out the Present Value for each plan.

The Present Value (PV) of cost related to a gravity-based plan is:

$PV = 2800000 +1000 a_{40} _{\urcorner}$ at 10%

$PV = 2800000 +97790.50$

PV = $2897790.5

The Present Value (PV) of cost related to a pumping plan

$PV = 1400000+ \dfrac{200000}{(1+i)^{10}}+ 25000 a_{40}_{\urcorner}+5000 a_{10}_{\urcorner} + \dfrac{100000 a_{30} _{\urcorner}}{(1+i)^{10}}$ at 10%

PV = 1400000 + 77108.66 + 244476.27 + 307228.36+363448.36

PV = $2392261.65

Thus; we consider the PV with lower value in order to determine which plan is prefered.

Thus; a pumping plan (pump water from a closer water source to the city) is prefered.

(b).

What is the breakeven investment cost in year 10 to make these two projects equally preferable

Let assume that I = the break even investment cost in year 10 for the prefered pumping plan.

Then;

$2897790.5 = $2392261.65 + (I/(1+i)¹⁰) at 10%

$2897790.5 - $2392261.65 = (I/(1+i)¹⁰) at 10%

$505528.85 = (I/(1+i)¹⁰) at 10%

0.3856 I = 505528.85

I = 505528.85/0.3856

I = $1311018.802

Thus; the breakeven investment cost in year 10 is $1311018.802 in order to make these two projects equally preferable

3 0

3 years ago