Tyler's net income is approximately $40,000 annually. He has borrowed

Suppose you've just inherited $10,000 from a relative. You're trying to decide whether to put the $10,000 in a non-interest-bear

ch4aika [34]

Answer:

a. $800

b. $1,000

Explanation:

In this case, the opportunity cost of holding the money instead of buying a U.S. Treasury bond is determined as the yearly interest payed by the bond.

a. interest rate = 8%

The opportunity cost of keeping the $10,000 is:

$C = \$10,000*0.08 = \$800$

b. interest rate = 10%

The opportunity cost of keeping the $10,000 is:

$C = \$10,000*0.10 = \$1,000$

8 0

3 years ago

Reg has just purchased a new car. The car had a list price of $22,499, and he was responsible for 7. 96% sales tax, a $2,138 veh

charle [14.2K]

The down payment that would be paid by reg is $2,800.

<h3 /><h3>What is a down payment?</h3>

A down payment is the first partial payment for the purchase of price expensive items or services, such as a car or a house. It is usually paid off in cash or equal at the time of finalizing the transaction. A loan of some kind is then asked to finance the remainder of the payment.

<u>Computation </u><u>of a down Payment:</u>

<u />

According to the question,

The total amount of car would be:

$\text{List Price + Sales Tax + Registration Fee + Documentation Fee}\\\\\$22,499+\$1,791+\$2,138+\$262 = \$26,690.$

r= 10.27%,

$r=\dfrac{10.27}{12\times100}\\\\\\r= 0.00855833$ ,

t= $12\times3\text{Years}=36 \text{Months}.$

Monthly Payment = $773.89.

Let X be the amount of payment that is given in the starting.

$\text{Monthly Payment} = \dfrac{\text{(List Price - x) r }}{1-(1+r)}}\\\\\\\$773.89 = \dfrac{(22,49-\text{x )0.0085533}}{1-(1+0.0085533)}\\\\\text{x}=$23889.84$

The amount of down payment would be:

$\text{Down Payment}=\text{Total Amount - Down Payment}\\\\\\\text{Down Payment}=\$26,690-\$23889.84\\\\\text{Down Payment}=\$2,801 \text{App.}$

Hence, Option D is correct.

Learn more about the down payment, refer:

brainly.com/question/1114543

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5 0

2 years ago

At a price of $1.00, a local coffee shop is willing to supply 100 cinnamon rolls per day. At a price of $1.20, the coffee shop w

Julli [10]

Answer:

2.2

Explanation:

The formula for calculating price elasticity using the midpoint method is:

midpoint method = {(Q2 - Q1) / [(Q2 + Q1) / 2]} / {(P2 - P1) / [(P2 + P1) / 2]}

midpoint method = {(150 - 100) / [(150 + 100) / 2]} / {(1.20 - 1) / [(1.20 + 1) / 2]}

midpoint method = [50 / (250 / 2)] / [0.20 / (2.20 / 2)] = (50 / 125) / (0.20 / 1.1)

midpoint method = 0.4 / 0.19 = 2.2

The advantage of using the midpoint method to calculate price elasticity is that we can calculate the price elasticity between two points, and it doesn't matter if the price increases or decreases.

If we calculate price elasticity using the single point formula:

price elasticity = % change in quantity supplied / % change in price = 50% / 20% = 2.5

7 0

3 years ago

Which of the following is an example of crowding out? Question 13 options: A decrease in the rate of growth of the money supply

Dmitriy789 [7]

Answer:

A budget deficit causes an increase in interest rates, which causes a decrease in investment spending.

Explanation:

In domain of economics, crowding out

can be regarded as a phenomenon which take place as a result of increased in involvement of government in market economy sector which substantially has effect on remainder of the market, this effect could be on the supply side, it could be on demand side of the market. An example of crowding out is A budget deficit causes an increase in interest rates, which causes a decrease in investment spending.

7 0

3 years ago

A pharmacy company wants to add flu shots to its list of services. It releases a code for free shots online using____ . It creat

Gnom [1K]

1 is social meadia 2 is advertising and 3 is publicity

5 0

3 years ago

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