Q: What is the present worth of Process B over 10 years?
A: In the present worth method, we calculate the present value of all the future cash flows and then we…
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A: In this question:- An investor buys a rental house for $150,000 He rents it out at an average of…
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A: Annual worth or AW is referred to as the easy way of understanding the annual amount, for instance,…
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A: In the mentioned question we have been asked what actually PW is and do the given statement is true…
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A: Initial Investment = 200,000 Annual Cost = 43,000 Income = 90,000 per year
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Q: project's simple payback period is most nearly A. 3 years. B. 4 years. C. 6 years. D.5 years.
A: The payback time frame is the timeframe it takes to recuperate the expense of a venture or the time…
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A: An annuity is a fixed amount of money invested at each time period, the time of period could be…
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A: a) Number of Periods = 1 * 12 = 12 A = $5000 , G = G So, Present value = 200,000
Q: A company is considering switching from a cash only policy to a net 30 credit policy. The price per…
A: NPV :NPV means Net Present ValueIt is the difference between Cash Inflows and Cash Outflows in…
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A: here we calculate the net value of the automobile by using the given information , so the…
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Q: $500,000 investment today, with expected positive annual returns of $95,500 each year over the…
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A: In economics, present value refers to the current value of a future stream of cash flow. Future…
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A: In the financial and economy analysis, when talking about future worth, it is the analysis of the…
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A: 22. The required rate of return is the maximum rate of return that an investment project yield be…
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A:
Q: Which of the following statements is correct? O a. MARR is set higher than the WACC b. MARR is set…
A: Note: We will answer one question as the exact one was not specified. Please resubmit a new question…
Q: Heavy Motors is taking a look at a new product line that will take a few years to create. New lab…
A: Annual worth or AW is referred to as the easy way of understanding the annual amount, for instance,…
Q: Present worth analysis is a very popular technique used by professional engineers to evaluate single…
A: Present Worth Analysis is a technique related to time value of money. It is used to determine the…
Q: A friend of yours bought a small apartment building for $100,000 in a college town. She spent…
A: The components of the seven-step procedure include: Problem recognition and evaluation Planning of…
Q: dropped. True False 22 The required rate of return is the maximum rate of return that an investment…
A: 21 - TRUE Since Fixed costs must be paid irrespective of the Price, quantity Or profitability of…
Q: What are the breakeven points and the range of profitability for below given Total profit general…
A: Break-even point refers to the point at which the total revenue is equal to the total cost. There is…
Q: The term "engineering economic decision" refers to all investment decisions relating to engineering…
A: Economic decisions are the decisions where economic entities have to choose what to do in a…
Q: The annual fixed costs for a plant are Php 5,000,000, and the variable costs are Php 7,000,000 at…
A: Given: The annual fixed cost is = Php5,000,000 The variable cost is = Php7,000,000 The utilization…
Q: What is the B/C Ratio for a firm considering an investment in a new manufacturing technology?…
A: The measure that depicts the relative benefits and costs of a project that is proposed in monetary…
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A: Investment: It refers to the allocation of the money at different areas in order to get more…
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A: (Q)Equipment costing $57,500 is being considered for a production process at Dew Chemicals. The…
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A: Cash flow: Income is the net measure of money and money reciprocals being moved into and out of a…
Q: Suppose you are Charge of procurement sheating system för factory building. Option A is quoted as an…
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Q: An investor wishes to invest P2,000,000. Venture A, requiring P2,000,000 will return 8%. Venture B,…
A: Given: An investor invest = P2,000,000 The return in Venture A is = 8% An investor B invest =…
Q: Estimate the cost of ownership in terms of present worth for a machine based on the following data:…
A: The total cost of ownership measures the value of an asset throughout the time period. The managers…
Q: Three independent project R, S, & T. If the PW of these projects at MARR is as follows: PWS=…
A: please find the answer below.
Q: Plot the AW of each alternative against MARR as the MARR varies across this range: 4%, 8%, 12%, 16%,…
A: Annual Worth (AW) Analysis is defined as the equivalent uniform annual worth of all estimated…
Q: What are the Flaws in Project Ranking by IRR?
A: IRR is nothing but an internal rate of return; it is the rate of discount which makes a project that…
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A: Answer a) Following information is given: Initial investment (P) = $250,000 Annual income =…
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A: The time period is denoted by ‘n’ and MAAR is denoted by ‘i’. The present worth (PW) for option…
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A: An annuity is the fixed amount of money invested at each time period. The time period could be…
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- Question 2Consider the case of Jonathan, who is a singlefather with one child. He can work as a serverfor $6 per hour up to 1,500 hours per year. Heis eligible for welfare and can receivegovernment support of $10,000 for notworking at all. If he works 1,500 hours, hisearnings would be______ and governmentsupport would be______.O a) 2.000; 8,000O b) 3,000; 7,000O c) 9,000; 1,000O d) 10,000; 0Actual authority is the authoritya partner appears to have to third parties external to the partnership.O. TrueO. False3Commenting on the decision, Massmart CEO Mitchell Slape said: “This is an unprecedented time forSouth Africa and the. world. As we all come to terms with the impact of the Covid-19 pandemic, we mustdo everything we can to support our customers. We are grateful to our suppliers who support thisprincipled position.’
- ) Q = 36-2P b) 44-4P-Q = 0 find TR, AR, MR and prove that slop of MR is twice than slop AR and also show the graphs. Also evaluate MR at Q = 4 and Q = 10.A baseball team has signed a draft pick to a two year contract. The player's expectedmarginal revenue product in year 1 and year 2 are $1-million and $1.7-millionrespectively. The contracted wage is $1.3-million in the first year. The interest rate is7% each year. The competitive wage in year 2 is expected to be $1.8-million. If theteam is indifferent about the player resigning with it at the end of his contract, howmuch will they pay him in the second year? Use a$ and commas.Refer to the figure above. The competitive market player will have $____ of profits. A)0 B)100 C)1800 D)4050
- The HR department is trying to fill a vacantposition for a job with a small talent pool. Validapplications arrive every week or so, and theapplicants all seem to bring different levels ofexpertise. For each applicant, the HR managergathers information by trying to verify variousclaims on resumes, but some doubt about fitalways lingers when a decision to hire or not isto be made. What are the Type I and II decision error costs? Which decision error is more likely tobe discovered by the CEO? How does this affectthe HR manager’s hiring decisions?Exercise 3.17 (competitive product market interac- tions). There is a mass 1 of identical entrepreneurs with the variable-investment technology described in Section 3.4. The representative entrepreneur has wealth A, is risk neutral, and is protected by limited liability. Denote the average investment by I and the indi- vidual investment i (in equilibrium i = I by symme- try but we need to distinguish the two in a first step in order to compute the competitive equilibrium). A project produces Ri units of goods when successful and 0 when it fails. The probability of success is pH in the case of good behavior (the entrepreneur receives no private benefit) and pL = pH − ∆p in the case of misbehavior (the entrepreneur then receives private benefit Bi). Assume that it is optimal to induce the entrepreneur to behave. The market price of output is P = P(Q), with P' 0, where Q is aggregate production (with P(Q) tend- R ≡ RS…lf a monopolist can find buyers for 23 units at a price of $800, and if the marginal revenue due to the 24th unit is $560, the highest price at which the monopolist can find buyers for 24 units must be:Select one:O a. 780O b. 785Oc. 790 O d. 794Oe. 798
- Karen goes to the casino with 1000$ and plays the following strategy: In her first game, she putsin 1$. If she wins, she finishes playing and takes her profit home. If she looses a game, she willplay another game and put in twice as much money as she did in the previous game. If she wins,she will finish playing and take her profits home. She will keep going with that strategy, untilshe either wins a game or runs out of money.(a) Create a table for n = 1, 2, ..., 10 which lists: (a) The amount of money she puts in in game n;(b) the sum of the amount of money she has put in in all games up to this game n; and (c)her overall profit if the game n is the first game she wins.(b) What is the likelihood of her loosing 8 games in a row?(c) How many games can she loose in a row before she cannot afford to continue with herstrategy of doubling her bet?(d) Given the low likelihood of loosing, is this a smart strategy for Karen to pursue?You are the curator of a museum. The museum isrunning short of funds, so you would like to increaserevenue. Should you increase or decrease the price ofadmission? Explain.You work for a pharmaceutical company that has developed a new vaccine. The patenton the vaccine will last 15 years. You expect that the drug’s profits will be $2 million in itsfirst year and that the profit will grow at a rate of 5% per year for the next 15 years. Oncethe patent expires, other pharmaceutical companies will be able to produce the same drugand competition will likely reduce growth to 1% per year. a. What is the present value of the new drug if the cost of capital is 8%? b. What is the drug’s present value if competition causes the company to havenegative growth of -5% (i.e., minus 5%) after the first 15 years?
