Answer:
$169.07
Explanation:
Data provided in the question:
Loan amount = $29,000
Time = 10 years
Interest rate = 7% compounded monthly
Therefore,
Interest rate per period, r = 7% ÷ 12 = 0.583% = 0.00583
number of periods, n = 10 × 12 = 120 months
Now,
Loan amount = Monthly payments × [ { 1 - (1 + r )⁻ⁿ } ÷ r]
on substituting the respective values, we get
$29,000 = Monthly payments × [ { 1 - (1 + 0.00583 )⁻¹²⁰ } ÷ 0.00583]
or
$29,000 = Monthly payments × 171.53
or
Monthly payments = $169.07
Answer:
C,<em> Brain drain</em>
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Explanation:
<em>What is brain drain?</em> Brain drain according to Wikipedia is a problem described as the process in which a country loses its most educated and talented workers to other countries through migration. Negative effects include loss of tax revenues by the home country, and a loss of key health and education service professionals. <em>A brain drain can result from turmoil within a nation, the existence of favorable professional opportunities in other countries, or from a desire to seek a higher standard of living. </em>Johanna's brain drain came as a result of more favorable conditions in the U.S.
If the market price is above or equal to the average variable cost, but below the average total cost the firm should keep producing in the run even though it does so at a loss.
<h3>When should a firm shut down production?</h3>
A firm should continue production in the short run if the price is above the average variable cost even if price is below the average total cost. The short run is a period when at least one or more factors of production are fixed.
To learn more about when a firm should shut down, please check: brainly.com/question/13034691
Answer:
(A) 8.22%
(B) 7.5%
Explanation:
The first step is to calculate the average nominal return
Average nominal return= R1 + R2 + R3 + R4 + R5/5
= 16 +(-5) + 19 + 13 + 10/5
= 16-5+19+13+10/5
= 53/5
= 10.6%
(A) The average real return can be calculated as follows
= (1 + average nominal return)/(1+ inflation) -1
= (1+ 10.6/100)/(1+2.2/100) -1
= (1+0.106)/(1+0.022)-1
= 1.106/1.022-1
= 1.08219-1
= 0.08219 × 100
= 8.22%
(B) The average nominal risk premium can be calculated as follows
Average risk free rate= Nominal average t-Bill rate-inflation
= 5.3% - 2.2%
= 3.10%
Average nominal risk premium= average nominal return -average risk free rate
= 10.6% - 3.10%
= 7.5%
