Answer:
He will have to invest $17,624 today to reach his goal
Explanation:
Accumulated value = Future Value =FV = $25,000
Rate of Interest = r = 6.35% = 0.0635
Number of Year = n = 6 years
Amount Invested today = PV = ?
FV = PV x (1+r)^n
$25,000 = PV ( 1 + 0.0635 )^6
$25,000 = PV ( 1.0635 )^6
$25,000 = PV x 1.41852
PV = $25,000 / 1.41852
PV = $17,624.01
PV = $17,624
Answer:
A. 3,789
B. 100%
C.5,000
Explanation:
(a) Total market ($'000) = 310 + 725 + 405 = 1,440
Firm 1 share = 310 / 1,440 x 100 = 21.53%
Firm 2 share = 725 / 1,440 x 100 = 50.35%
Firm 3 share = 405 / 1,440 x 100 = 28.12%
HHI = (21.53)2 + (50.35)2 + (28.12)2 = 3,789
(b) Since there are only 3 firms in market, therefore the four-firms concentration ratio will be 100% b
(c) Total revenue share of the two firms = (310 + 405) / 1440 x 100 = 49.65%
Post-merger HHI = (49.65)2 + (50.35)2 = 5,000
Yes. If the guideline considers any post-merger HHI above 1800 as highly concentrated market, this merger will be probably attempt to block a horizontal merger between two firms with sales.
Answer:
Net Income 516,000
Explanation:
Net income = revenue - expenses
sales revenue 1,318,000
COGS (549,000) (A)
Operating expenses <u> (253,000) </u>
Net Income 516,000
(A)
<u>To calculate the COGS we will use the inventory identity</u>
50,000 + 554,000 = 55,000 + COGS
50,000 + 554,000 - 55,000 = COGS
COGS = 549,000
Answer:
NO , 100 shares purchase of GMS is not included in GDP
Explanation:
GDP is gross value of final goods & services produced by an economy in its domestic territory during a financial year .
Purchase of 100 Shares of General Motor stock is not included in GDP : Because it does not lead to any new production of goods & services , is mere transfer of ownership from company to shareholders . Similarly , Debenture selling is also not included
It is analogous to the rule of excluding second hand goods from GDP , since they have not lead to any new goods / services & are mere transferred from one owner to another .
However , any Brokage fee / commission paid related to either of these is included because it is factor income for a productive intermediary service. Also , returns on shares i.e Dividend (or even Interest on debetures) are included - since these are factor income to factors of production (capital component share) .