Answer:
John should opt for the 30 annual end-of-the-year payments of $4 million as that gives the highest present of value of $49,636,164.73 as shown below.
Explanation:
The options are evaluated as follows:
Option 1 $46,000,0000 today
Option 2
The present of value of this option is calculated using the below formula:
Present value of annuity = ((1-(1/((1+i)^n))/i) X PMT
where i=rate=7%
n=10years
PMT=$7m
PV=((1-(1/((1+0.07)^10))/0.07) X 7000000
PV=$ 43,834,929.21
Option 3
The present value of this option using the formula in option 2 is:
PV=((1-(1/((1+0.07)^30))/0.07) X 4000000
PV=$49,636,164.73
Hence, the last option is preferable.
Answer: diminishing marginal product
Explanation:
A. When a firm in the market increase its level of production it results in reduction of cost which is called economies of scale.
B. Increase in cost that resulted due to unnecessary increase in level of production is called diseconomies of scale.
C. Increasing marginal product can be defined as the increase in output resulting due to employment of one more unit of input such as labor.
D. Diminishing marginal product can be defined as the decrease in output resulting due to employment of one more unit of input such as labor.
From the above explanation we can conclude that right answer is diminishing marginal product .
Answer:The last 100 years have seen a massive fourfold increase in the population, due to medical advances, lower mortality rates, and an increase in agricultural productivity made possible by the Green Revolution.
Thats how much product was produced and sold in the united states
Answer:
government actions that reduce competition from international firms.
Explanation:
