In October 2017 a pound of apples cost $1.61, while oranges cost $1.25. Two years earlier the price of apples was only $1.40 a pound and that of oranges was $1.11 a pound. a. What was the annual compound rate of growth in the price of apples? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) b. What was the annual compound rate of growth in the price of oranges? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) c. If the same rates of growth persist in the future, what will be the price of apples in 2030? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

In October 2017 a pound of apples cost $1.61, while oranges cost $1.25. Two years earlier the price of apples was only $1.40 a pound and that of oranges was $1.11 a pound. a. What was the annual compound rate of growth in the price of apples? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) b. What was the annual compound rate of growth in the price of oranges? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) c. If the same rates of growth persist in the future, what will be the price of apples in 2030? (Do not round intermediate calculations. Round your answer to 2 decimal places.)

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter3: Evaluation Of Financial Performance

Section: Chapter Questions

Problem 3P

See similar textbooks

Similar questions

In October 2017 a pound of apples cost $1.47, while oranges cost $1.11. Four years earlier the price of apples was only $1.26 a pound and that if oranges was $0.97 a pound. What was the annual compound rate of growth in the price of apples? What was the annual compound rate of growth in the price of oranges? if the same rates of growth persist in the future, what will be the price of apples / oranges in 2030?
In 2007 and 1880 silver dollar sold for $14,007 what was the rate of return on investment? Answer as a decimal fraction to four decimal places.
Is It Thanksgiving Break Yet? (TBY) had ROI in the last year of 15%. For every $1.00 of assets invested, $5.00 of sales is generated. What is the profit margin? For dollar amounts, enter the number to two decimal places ($5 is 5.00). For percentages, enter the number as a decimal (80% is 0.80)
Last year Delightful Desserts had a quick ratio of 2.2, a current ratio of 5.0, an inventory turnover of 8, total current assets of $285,000, and cash and equivalents of $36,000. If the cost of goods sold equaled 80 percent of sales, what were Bailey's annual sales and days' sales outstanding (DSO)? Assume there are 360 days in a year. Round your answer for annual sales to the nearest dollar and answer for DSO to one decimal place. Annual sales: $ DSO:
In 2012, every dollar (100¢) spent on grocery items was broken down as follows: Labor = 38.5¢ Farm value of food products = 19.5¢ Advertising and packaging = 12¢ Transportation = 7.5¢ Rent and insurance = 7¢ Taxes = 6¢ Depreciation and repairs = 5¢ Profit = 4.5¢Assume the transportation cost increases by 10% per year and the labor cost increases by 4% per year for five years, with all other costs remainingconstant. Determine the percent profit in the years 2012 and 2017, assuming the profit amount remains at 4.5¢.
An antique index started at 100 and returned 16.67% per year over the next 20 years. What is the ending value of the index? A basket of groceries Increased at a rate of 4.28% a year, from $605 to $1000. What is the length of time over which the change in price was measured?
Ten years ago, an item cost Php2,500. The rate of inflation for the first 4 years was 4%, during the next 3 years 6% and for the last 3 years 9%. Assuming that the increase in price were due to inflation alone, what is the average inflation rate during the 10 years?
The Korean manufacturing output per hour index is given for years 2014–2018 as follows: a. For each year from 2015 to 2018 determine the rate of increase in Korean manufacturing output per hour to two decimal places. b. Because this index, like inflation, is compounded from period to period (e.g., year to year), estimate the overall annual rate of increase in Korean manufacturing output per hour from 2015 to 2018. Suggestion! Do not simply average the rates of part (a).
Smith Corporation had Sales of $2,350,000 in 2021 and $2,125,000 in 2020. Cost of Good Sold were $1,400,000 in 2021 and $1,325,000 in 2020. a. What was the percentage change in Sales year to year? b. What was the percentage change in Cost of Goods Sold year to year? c. Relative to the percentage in Sales, would you say the percentage change on Cost of Goods Sold was favorable or unfavorable? d. Is this an example of horizontal or vertical analysis?
In March 2012, the second year of production, the cost of producing an iPad 2 fell to an estimated $249.41. What markup percentage would Apple need to use to maintain its $620.00 sales price? (Round answer to 1 decimal place, e.g. 25.2%.) The gross margin in the previous question was 59% Markup percentag
In December 2020, a pound of lemons cost $1.52, while a pound of bananas cost $1.16. Two years earlier, the price of lemons was $1.31 a pound and that of bananas was $1.02. What was the annual compound rate of growth in the price of lemons? What was the annual compound rate of growth in the price of bananas? If the same rates of growth persist in the future, what will be the price of lemons in 2030? What about the price of bananas? An engineer in 1950 was earning $6,400 a year. In 2020, she earned $84,000 a year. However, on average, prices in 2020 were higher than in 1950. What was her real income in 2020 in terms of constant 1950 dollars?
During year 1, the sales and Cost of goods sold were GHS 6,00,000 and GHS 4,30,000 respectively. Next year, the sales are expected to increase by 10%. The Cost of goods sold for next year would be