Answer:
the amount of money that must be invested now is $21068.87
Explanation:
Given that:
Nominal interest = 10%
Annuity = 7000
n = 8 years
The Effective interest rate is calculated by using the formula:
Effective interest rate = 
Effective interest rate = 
Effective interest rate = 0.1045
Effective interest rate = 10.45 %
Thus ; the the amount of money that must be invested now is the present value with the annuity of $7, 000 per year for 12 years, starting eight years from now.
PV = 7000 × 6.666056912 × 0.4515171371
PV = $21068.87
Thus; the amount of money that must be invested now is $21068.87
Answer:
B. The service can be transported
Explanation:
Service relates to providing an intangible form of work which is performed for others to yield a benefit or satisfy a want. An important aspect of a service being, it is intangible or something which cannot be touched or felt.
For example, service provided by a doctor or services provided by a waiter at a hotel. Services are consumed, the moment they are produced. For instance, services of a waiter arise when a customer enters the hotel and a want for the service is created.
Services cannot be resold as for instance the receiver performs the same service to another, the provider would change.
As services are intangible, they cannot be stored since they arise only when a want arises and are consumed immediately.
Thus, the correct option is B. The service can be transported.
Answer:
NPV = (53,222.44)
Explanation:
Net fixed asset 345,000
Working capital
160,000 inventory + 35,000 Ar = 195,000
short term deb (110,000)
net working capital 85,000
Total investment 430,000
salvage value 345,00 x 25% = 86,250
release of the working capital 85,000
Cash flow at end of project 171,250
annual cash flow
sales 550,000
cost (430,000)
depreciation 69,000
EBT 51,000
tax expense 35%
(17,850)
net income 33,150
+ dep 69,000
cash flow 102,150
Now we calculate the present value of the net cash flow and the present alue fothe end of the project
C 102150
time 4
rate 0.15
PV $291,636.04
Principla (sum of salvage and released Working capital 171,250.00
time 5.00
rate 0.15
PV 85,141.52
NPV = 291,636.04 + 85,141.52 - 430,000 = (53,222.44)
Hanif will supply less tutoring now, shifting supply to the left as he is expecting this price increase in the future.
<h3>What is a supply curve?</h3>
A supply curve, in economics, is a graphic illustration of the connection between product charges and the quantity of product that a vendor is inclined and able to supply.
Product price is measured on the vertical axis of the graph and the number of products provided on the horizontal axis.
Therefore, Hanif will supply less tutoring now, shifting supply to the left as he is expecting this price increase in the future.
learn more about supply curve here:
brainly.com/question/516635
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