I would think money,supply or demand?
Use the formula of the present value of an annuity ordinary which is
Pv=pmt [(1-(1+r)^(-n))÷r]
Pv present value 4500
PMTthe actual end-of-year payment?
R interest rate 0.12
N 4 equal annual installments
Solve the formula for PMT
PMT=pv÷[(1-(1+r)^(-n))÷r]
PMT=4,500÷((1−(1+0.12)^(−4))÷(0.12))
PMT=1,481.55
Answer:
See below
Explanation:
a. Earnings per share
= After tax earnings / Number of common shares outstanding
= $3,000,000 / 761,000
= $3.9 per share
b. Assuming that a share of Bozo Oil's company has a market value of $40, then, the firm's price earning ratio would be:
= Common stock market value / Earnings per share
= $40 / $3.9
= 10.26
c. The book value of a share of Bozo Oil's common stock
Book value = (Assets - Liabilities) / Number of shares outstanding
= ($15,000,000 - $9,000,000) / 761,000
= $6,000,000 / 751,000
= $7.88
Answer:
The answer is $53,699
Explanation:
Discount = 2%
Discount days = 15 days
Net days = 40 days
Gross purchase is $800,000 per year
Discount on the purchase is $16,000(2% of $800,000)
Therefore net purchase is $784,000($800,000 - $16,000).
Net per day is:
Net purchase ÷ 365 days
$784,000 ÷ 365 days
= $2,147.95
Total trade credit = Net per day x Net days
$2,147.95 x 40 days = $85,918
Free credit = Net per day ×Discount days
=$2,147.95 x 15= $32,219
Therefore, Costly trade credit = Total credit −Free credit
$85,918 - $32,219
= $53,699
Answer:
tspecialize in being a surgeon because its opportunity cost is lower
Explanation:
A person has comparative advantage in production if it produces at a lower opportunity cost when compared to other people.
Implicit cost is the cost of the next best option forgone when one alternative is chosen over other alternatives
What the surgeon would give up to pratice as a surgeon would be lower compared than if he decided to specialise in cleaning pools
thus he should specialize in being a surgeon because its opportunity cost is lower
