Given the following data, use present worth analysis to find the best alternative, A, B, or C. Use an analysis period of 12 years and 15% interest. Initial cost Annual benefit Salvage value Useful life A $10,000 6,000 1,000 2 years B с 15,000 $12,000 10,000 -2,000 3 years 5,000 3,000 4 years
Q: h the following characteristics for firms and consumers: Choices Resource Constraint Firms Consumers…
A: Firms use inputs ( land , labour , capital and entrepreneur ) to produce goods and services in the…
Q: Suppose that Bob and Cho are the only suppliers of pizza slices in a particular market. The…
A: Demand for a particular commodity is influenced by its price as well as a number of other factors. T…
Q: Consider a monopolistic business. What sort of demand curve does a monopolist face in contrast to a…
A: A monopolist company is the only one in the market selling a good that has no direct competitors. As…
Q: What are the dimenstions of Policy Implementation
A: Policy making and policy implementation are long processes. After making the policy, it is assessed…
Q: Question 11 A firm's market demand for a monopolist is given by P= 120-2Q. His marginal cost of…
A:
Q: What is the value of real GDP in 2019 if the GDP deflator is equal to 1.1 and nominal GDP is $21.5…
A: The GDP deflator:- The GDP deflator, also referred to as the implicit price deflator, is a measure…
Q: Maria Clara has started her own company, Clara Shirts, which manufactures imprinted shirts for…
A: The revenue cost is the sum of the costs incurred in producing and delivering a product to…
Q: Identify the key concepts of Economics. Discuss the key concepts of Economics\
A: The solution is provided below Explanation: Four key economic concepts—scarcity, supply and…
Q: How does a smartphone illustrate new goods bias in the CPI? Because the 13 items that cost $3,000 in…
A: CPI measures the average change in the prices of consumer goods. CPI compares the prices of the…
Q: Assume that a hypothetical economy with an MPC of 0.8 is experiencing severe recession. 1) By how…
A: A recession is a state of deteriorating economic conditions marked by protracted periods with low…
Q: The fundamentals of traditional theories (such as the Efficient Markets Hypothesis) a necessary…
A: A fresh way of thinking called "behavioural economics" looks at the typical mistakes people make…
Q: Explain the main components of time series data. Which of these would be most prevalent in data…
A: The level, the trend, the seasonality, and the noise are the four main components of time series…
Q: Consider the following national income accounting data for an economy in a recent year. All figures…
A: The gross domestic product (GDP) is a measure that attempts to capture a country's economic output.…
Q: The fact that more and more women are seeking job has only compounded the problem of unemployment.…
A:
Q: Question 2: Represent the preferences of the following people graphically: Case 1: Mary likes milk…
A: Preferences reference the consumer's willingness to consume 2 or more goods. It can be represented…
Q: Suppose that Paolo and Sharon are the only consumers of ice cream cones in a particular market. The…
A: A demand curve of a product depicts the inverse relationship between price and quantity demanded,…
Q: The data below represent a demand schedule. Product Price Quantity Demanded $ 6 0 5 1 4 2 3 3 2…
A: Disclaimer- “Since you have asked multiple question, we will solve the first three question for you…
Q: b. Classify each of the following statements as positive or normative. Explain. i. Bahamas faces a…
A: "A positive statement in economics is descriptive in nature means a statement which explains or…
Q: Question 5 Suppose there are two countries Peru and Japan that produce Food and Fuel. Peru can…
A: Since you have posted multiple subparts, as per the guidelines we can solve only first 3 subparts.
Q: Z2
A: We know that As economies and societies developed, the study of economics got more complicated.…
Q: Q1) The following table shows the demand for a good price quantity demand $40 X $50 400 By the law…
A: "Since you have asked multiple questions, we will solve first question for you .. If you want any…
Q: Which of the following is an example of a positive economic statement? a.The government should not…
A: The basic difference between the positive & normative economic statement is mentioned below:…
Q: Show on a supply and demand graph the impact of the following events on the equilibrium price and…
A: Market demand for a commodity can change as a result of a change in consumers income, their tastes…
Q: At mid-year 2018, the annual growth rate in Pakistan was 1.4%. What is your estimate of the per…
A: Gross Domestic Product (GDP) measures the value of final goods and services produced in a nation in…
Q: A significant, sustained rise in oil prices lowers the unemployment rate's natural rate. True
A: When someone is actively looking for work and is considered to be employable, they are said to be…
Q: 3. Which lottery payout scheme is better? Suppose you win a small lottery and have the choice of two…
A: A lump sum investment is depositing the whole amount at one go. Lump-sum investment is a famous…
Q: Suppose a Utah bag shop, Wagner Bag Company, faces demand of q (P) = 10,000 - 20P and total costs of…
A: q = 10000 - 20P P = 500 - 0.05q C = 10000 + 25q
Q: QUESTION 2 Cumulative Percent of Income 100 80 60 40 20 0 0 20 -Sweden 40 60 Cumulative Percent of…
A: The Lorenz curve is a graphical method for addressing the level of pay/income inequality in any…
Q: 3 You are going to invest $30,000. Your goal is to double your investment in 10 years. At…
A: Question: 3 As given Investment amount is $30000 and investment will be double in 10 years. By…
Q: The following table shows the production of cows’ milk and potatoes per unit of input in the…
A: Opportunity cost is the value of the next best alternative that has been given up in order to engage…
Q: Recently, television commercials promoting toothpaste featured a well-known chef expressing…
A: Price elasticity measures how responsive a good's supply and demand are to price changes. The…
Q: The following graph shows the market for cars in 2008. Between 2008 and 2009, the equilibrium…
A: The demand curve depicts the inverse relationship between price and quantity demanded, keeping other…
Q: Consider the supply and demand curves for taxi rides in the attached graph. At the equilibrium price…
A: Market equilibrium is achieved at the point where demand and supply curve intersects . At this…
Q: The number working full-time is 400 The number doing volunteer work is 350 The number working…
A: Given information: Total population = 3000Adult population = 1850Volunteer worker = 350Military…
Q: Which of the following statements is (are) correct? (x) The factor-endowment theory asserts that…
A: International trade means trade across the nations. Consumer goods, such as televisions and…
Q: The graph below shows the budget lines and indifference curves for a consumer. Suppose that…
A: Ans. Under Consumer theory - The budget line and indifference curve approach The indifference…
Q: Which of these graphs shows how a contractionary monetary policy in Foreign affects its exchange…
A: In all of these diagrams in the upper part we are given the market for foreign currency and in the…
Q: Kris' Kabobs: Kris decides to drop the price of his famous Kabobs from $3 to $2. Last week at $3 he…
A: Meaning of Price Elasticity of Demand: The price elasticity of demand refers to the situation…
Q: Market demand for the nuclear substance pluranium is given below, along with the TR for the given…
A: Given, Market demand for thr nuclear substance pluraniumPlunarium is supplied to the market by a…
Q: onsider the supply and demand curves for taxi rides in the attached graph. At the quantity of 240…
A: We know that the demand curve represents the consumer's marginal willingness to pay for a good or…
Q: Suppose that there are three beachfront parcels of land available for sale in Astoria and six people…
A: The willingness to pay for a consumer refers to the maximum amount the consumer is ready to pay for…
Q: How is the AD-BT-ERU curve affected by global recession ; regarding unemployment, real exchange rate…
A: The ERU curve separates inflationary states from deflationary states. The BT curve isolates…
Q: Adam and Eve live on two sides of the Garden of Eden, a small suburban development. After they move…
A: ▪︎No. A person's willingness to pay for a good or service is influenced by their income as well as…
Q: What policies (if any) should governments in more economically developed countries (MDCs) pursue to…
A: A developed country (or industrialized country, big league salary country, more economically…
Q: Part B GDP: Where and what is counted? For each of the following items, write one of the following…
A: GDP refers to the production of goods and services during an accounting year. The production in past…
Q: Commodity substitution bias _______ when the CPI is calculated in 2021 using the 2020 market basket…
A: In a market, commodity substitution bias refers to the Sita when CPI does not take a change in…
Q: 12
A: In the mentioned question, we are asked about the monopolist conditions to explain the price…
Q: If New Zealand's inflation rate is 25% inflation vs 15% inflation in our trading partners and the…
A: The real exchange rate is an inflation-adjusted exchange rate. As per PPP theory Real exchange…
Q: (A) (B) (C) (D) A B Which graph in the above figure represents the isoquants where, as the amount of…
A: The labor market alludes to the supply of and demand for labor, in which employees give the supply…
Q: If the price of a good or service changes then? a. nothing have necessarily changed - prices change…
A: In a market, price refers to the rate at which a specfiic amount of a good is exchanged between a…
Trending now
This is a popular solution!
Step by step
Solved in 4 steps
- Answer both part 1 &2 i will rate PART A: Ahmed make an annual contribution of $3,000 to his savings account at the end ofeach month for 10 months. If the account earns 7% interest monthly, how much can be atthe end?PART B:Ahmed buy a gold for $2000 and sell it for $2500. it takes 7 years, what would bethe compound annual rate of return on your investment?How much money would have to be placed in a sinking fund each year toreplace machine B at the end of 25 years if the fund yields 10% annualcompound interest and if the first cost of the machine is assumed toincrease at a 6% annual compound rate? (Assume the salvage value doesnot change.) Group of answer choices A. $3,600 B. $4,110 C. $2,400 D. $7,0005. A certain manufacturing plant is being sold and was submitted for bidding. Two bids were submitted by interested buyers. The first bid offered to pay P200,000 each year for 5 years, each payment being made at the beginning of each year. The second bidder offered to pay P120,000 for the first year, P150,000 the second year, P180,000 the third year P200,000 each year for the next 2 years, all payments being made at the beginning of each year. If money is worth 12% compounded annually, which bid should the owner of the plant accept? Show cashflow diagram.
- What is the present worth of 5 payments of $700 if the interest rate is 5% and the first payment occurs now? a. $3030.65 b. $3,182.20 c. $3,333 d. $3500The Turners have 10 years to save a lump-sum amount for their child’s college education. Today a four-year college education costs $75,000, and this is expected to increase by10%per year into the foreseeable future. a. If the Turners can earn 6% per year on a conservative investment in a highly rated taxfree municipal bond, how much money must they save each year for the next 10 years to afford to send their child to college? b. If a certain college will “freeze” the cost of education in 10 years for a lump-sum of current value $150,000, is this a good deal?PLEASE HELP ME ANSWER ASAP 5. Tonyo saves PHP 1,000 per month and increases by PHP 20 per month with the first deposit being made today, January 20, 2023. (Hint: Take 12/20/22 as time 0 so it will be an annuity immediate) His savings earn 3% effective per month. He planned to continue these deposits for 5 years. a. What is the accumulated value of his savings at the end of 5 years? b. How much is this savings account worth today if payments were to made forever under this pattern c.
- 5.59 Richard Moed wants to ensure that at least some of his descendants are well educated in perpetuity. He isplanning for 5 college students each generation at $125,000 each. He estimates that the generations will be spaced every 25 years, but the first generation will be in 10 years. If the trust will earn 6%, how much money should be deposited now?If your credit card calculates interest based on17.85% APR, compounded monthly:(a) What are your monthly interest rate and annualeffective interest rate?(b) If your current outstanding balance is $2,500 andyou skip payments for two months, what wouldbe the total balance two months from now?15) If money has a time value, then the future value will always be more than the original amount invested. Select one: True False 16) A series have the receipts in year 1 =$ 80000. If the Fees are expected to increase uniformly to a level of $200,000 in nine years. What is the possible value for the gradient? Select one: a. $20000 b. $ 15000 c. $ 30000 d. $ -20000 17) In a cash flow series regarding the gradient: Select one: a. Uniform gradient signifies that an income or disbursement changes by the same amount in each interest period b. Either an increase or decrease in the amount of a cash flow is called the gradient c. The gradient in the cash flow may be positive or negative d. All of the above is correct
- Two oil wells are for sale. The first will yield payments of $11,400 at the end of each of the next 11 years, while the second will yield $6,100 at the end of each of the next 24 years. Interest rates are assumed to hold steady at 7.9% per year over the next 24 years. Which has the higher present value? the first oil wellthe second oil well they are the samecannot be determinedRidgley Custom Metal Products (RCMP) must purchase a new tube bender. RCMP's MARR is 11 percent. The company is considering three models:ModelFirst CostEconomic LifeYearly Net SavingsSalvage ValueT$1200007 years$45000$20000A$1200006 years$80000$25000X$2100006 years$65000$110000Using the annual worth methodLOADING..., which of the three tube benders should RCMP buy? .Click the icon to view the table of compound interest factors for discrete compounding periods when i=11%. The annual worth of Model T is $ enter your response here. The annual worth of Model A is $ enter your response here. The annual worth of Model X is $ enter your response here. So, the Model ▼ ATX is the better choice to buy.]What is the price of a 3 -year, 8.1% coupon rate, $1,000 face value bond that pays interest quarterly if the yield to maturity on similar bonds is 11.9 % What is the yield to maturity of at 9.9% semiannual coupon bond with a face value of $1,000 selling for $894.71 that matures in 11 years? The annual yield to maturity of the bond is: (Select the best choice below.) A.11.62% B.11.039% C.12.201% D.13.131% E.9.528%
