The interest rate that should be used when evaluating a capital investment project is sometimes called the appropriate discount rate and cost of capital.
The cost of capital refers to the minimum rate of return needed from an investment to make it worthwhile, whereas the discount rate is the rate used to discount the future cash flows from an investment to the present value to determine if an investment will be profitable. Appropriate Discount Rate means, at any time, the real (i.e., not inflation adjusted) weighted average cost of capital (after taxes payable by the concession business).
Cost of Capital = (Risk-Free Rate of Return + Credit Spread) × (1 – Tax Rate)
To know more about cost of capital here
brainly.com/question/16031467
#SPJ4
Answer: The correct answer is "A. bilateral.".
Explanation: Windsor, the owner of Windsor's Sandwiches, contacts Gary, a new supplier. He promises Gary that he will pay him $375 if Gary delivers 20 pounds of cheese the following morning. Gary promises to make the delivery as requested by Windsor. This creates a<u> BILATERAL </u>contract between them.
It is a bilateral contract because it produces effects and obligations for both parties, Gary is obliged to deliver 20 pounds of cheese the next morning and the owner of Windsor is obliged to pay Gary $ 375 for it.
If a $1,000 increase in income leads to an $800 increase in consumption expenditures, then marginal propensity to consume is 0.8.
Given that a $1,000 increase in income leads to an $800 increase in consumption expenditures.
We are required to find the marginal propensity to consume.
Marginal propensity to consume is the ratio of increase in consumption and the increase in income. It is also known as MPC.
MPC=ΔC/ΔI
ΔC=Change in consumption
ΔI= Change in income.
MPC=800/1000
=0.8
Hence if a $1,000 increase in income leads to an $800 increase in consumption expenditures, then marginal propensity to consume is 0.8.
Learn more about marginal propensity to consume at brainly.com/question/17930875
#SPJ4
Answer:
there would be a decrease in the equilibrium quantity and an increase in the equilibrium price of soybeans
Explanation:
if equilibrium price of corn increases, farmers would want to plant more corn. Due to the fact farmers can grow either soybeans or corn, farmers would choose to grow corn. Thus the supply of soybeans would fall. this would shift the supply curve for soybeans to the left. As a result, here would be a decrease in the equilibrium quantity and an increase in the equilibrium price of soybeans
The owner of a business invested $5000 in the business: Assets increase by $5000; Liabilities, no effect; owner's equity increases by $5000. A debit may signify a decrease in Liability, Capital, and Revenue accounts.
Business typically refers to organizations that are searching for earnings by offering items or services in trade for a charge. but, corporations do not need to show a profit to be considered a business. The pursuit of income, in and of itself, makes an organization a commercial enterprise.
Commercial business improves the fine of existence in two ways. first of all, it affords goods and services to the people required for amusement, consolation, and fitness. Secondly, a business offers employment opportunities to human beings by way of which they could generate income and enhance their high quality of life.
“One element successful agencies have in common is … a sturdy client focus,” said John Stevenson, advertising professional at My GRE exam coaching. “they create a subculture that is targeted around their customers and awareness of their techniques, services, and products around their services needs.
Learn more about business here brainly.com/question/26106218
#SPJ4