Answer:
After 100 years, real GDP per person in Alpha is <u>4 TIMES</u> smaller than real GDP per person in Omega.
Explanation:
Current real GDP per capita in Alpha = $2,000
in 100 years, the real GDP per capita in Alpha = $2,000 x (1 + 1.5%)¹⁰⁰ = $5,848.87
Current real GDP per capita in Omega = $2,000
in 100 years, the real GDP per capita in Omega = $2,000 x (1 + 2.5%)¹⁰⁰ = $23,627.43
Alpha's real GDP per capita is 4 times smaller than Omega's = $23,627.43 / $5,848.87 = 4.04 times
*I used the future value formula: FV = PV (1 + r)ⁿ
Answer:
c. 11.32; reject
Explanation:
The IRR is the rate at with net present value equals zero.
![\left[\begin{array}{cc}Period&Cash Flow\\0&-152,000\\1&+60,800\\2&+62,300\\3&+65,000\\4&0.113237029\\\end{array}\right]](https://tex.z-dn.net/?f=%5Cleft%5B%5Cbegin%7Barray%7D%7Bcc%7DPeriod%26Cash%20Flow%5C%5C0%26-152%2C000%5C%5C1%26%2B60%2C800%5C%5C2%26%2B62%2C300%5C%5C3%26%2B65%2C000%5C%5C4%260.113237029%5C%5C%5Cend%7Barray%7D%5Cright%5D)
To solve it you use excel or a financial calculator:
0.1132370
Because the IRR is lower than minimun aceptable rate of return, the project should be rejected.
More accurate estimates and higher motivation are generally the results of using a(n) participative budget.
What is meant by participative budgeting?
In a budgeting procedure called participatory budgeting, those in lower levels of management take part in the creation of the budget.
What are the benefits of participative budgeting?
Participatory budgeting undoubtedly provides a number of benefits, including goal congruence, fiscal responsibility, information sharing from inferior to superior, and greater subordinate work satisfaction.
Is participatory budgeting effective?
The highest-ranking engagement strategy on the participation rung is participatory budgeting because of this. Although it necessitates thorough planning and preparation, it also strengthens the legitimacy of your decision-making and the level of confidence that the community's residents have in their elected officials.
Learn more about participatory budgeting: brainly.com/question/14473563
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Answer:
both blanks can be filled by <u>5%</u>
Explanation:
The quantity theory of money states that there is a proportional relationship between the money supply and the general level of prices. An increase in the money supply will increase the general level of prices in the same proportion (called inflation).
The Fisher equation measures the relationship between nominal and real interest rates. Real interest rate = nominal interest rate - inflation rate.
So if inflation increases, the nominal inflation rate will increase to keep the real interest rate the same.
Answer: $369,500
Explanation:
The Cost concept of accounting calls for the recording of Assets at their cost.
Clementine Repair services offered to buy the land at $350,500 when it was priced at $388,500.
The seller countered with $369,500 and Clementine accepted this.
This means that Clementine bought the land for $369,500 which makes it the cost price.
They should therefore record it at $369,500.
