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3 years ago

In the Investment marketplace, Investors will likely accept a high-risk investment only if it promises

Business

1 answer:

katrin2010 [14]3 years ago

6 0

Answer: C. high returns

Explanation: Risk-return tradeoff is an investing theory which indicates that as higher the risk, the greater the return reward. In order to determine an acceptable risk-return tradeoff, investors need to weigh several aspects, including total risk exposure, the ability to substitute missing capital, and more.

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Gross domestic product is the total market value of all final goods and services produced during a period of time.

Masteriza [31]

The answer is true hope i helped

4 0

3 years ago

You invest a single amount of $10,000 for 5 years at 10 percent. At the end of 5 years you take the proceeds and invest them for

FinnZ [79.3K]

Answer:

$86,166.31

Explanation:

We use future value (FV) formula as follows:

Step 1: Calculation of amount to have after five years:

Five years FV = $10,000 × (1 + 0.1)^5

= $10,000 × (1.01)^5

= $10,000 × 1.61051

Five years FV = $16,105.10

Therefore, $16,105.10 will be realized after five years.

Step 2: Calculation of amount to have after twelve years:

Twelve years FV = $16,105.10 × (1 + 0.15)^12

= $16,105.10 × (1.15)^12

= $16,105.10 × 5.35025010547371

Twelve years FV = $86,166.31

Therefore, you will have $86,166.31 after 17 years.

4 0

3 years ago

Given the following information, calculate the going-in capitalization rate for the following apartment complex. In your calcula

BaLLatris [955]

Answer:

The correct option is b. 1.01%.

Explanation:

This can be calculated as follows:

Potential gross income = Number of apartment units * Monthly rent per unit = 15 * $3,000 = $45,000

Therefore, we have:

Details Amount ($)

Potential gross income (PGI) 45,000

Vacancy and collection loss (10% of PGI) <u> (4,500) </u>

Effective gross income (EGI) 40,500

Operating expenses: 5% of effective gross income (2,025)

Capital expenditures (10% of effective gross income) <u> (4,050) </u>

Net operating income <u> 34,425 </u>

Acquisition price = 3,420,000

Going-in capitalization rate = Net operating income / Acquisition price = $34,425 / $3,420,000 = 0.0101, or 1.01%

Therefore, the correct option is b. 1.01%.

5 0

3 years ago

Give an example of a natural monopoly industry operating in South Africa.

MariettaO [177]

An example of a natural monopoly industry operating in South Africa include "Eskom".

<h3>What is natural monopoly?</h3>

A natural monopoly occurs when there is an instance in which it is economically viable and better for a single entity to be in full and sole control of the production of a product or service.

Moreover, a natural monopoly is the fact that natural monopolies have extreme economies of scale. It can only start to become profitable when one single firm is able to service the majority of the market.

Learn more about natural monopoly, refer to the link:

brainly.com/question/4417882

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4 0

2 years ago

Sam's (single taxpayer) year 2 taxable income was $175,000 with a corresponding tax liability of $30,000. For year 3, Sam expect

Dahasolnce [82]

Answer:

$33,000

To avoid penalties, if a taxpayer owes $1,000 or more in tax payments beyond withholdings, such taxpayer will need to have paid in for taxes the lesser of: 90% of the current year's tax ($50,000 x 90%) = $45,000, or 100% of the previous year's tax ($30,000 x 100%) = $30,000

However, if the taxpayer had adjusted gross income in excess of $150,000 in the prior year, 110% of the prior year's tax liability is used to compute the safe harbor for estimated payments. (Previous year's tax $30,000 x 110% = $33,000).

Explanation:

4 0

3 years ago