The payback period with interest is the length of time required to recover the first cost of an investment from the cash flow produced by the investment for a given interest rate i Select one: O True False
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A: True
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A: Mainly, there are two types of interest rates, simple interest and compound interest.
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A:
Q: 2. A man is considering investing P500, 000 to open a semi-automatic auto-washing business in a…
A: Option A is correct.
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- $4250 is invested for 6 years and grows to $14 740. Find the interest rate if interest is compounded continuously. Find the future value of investment of 5000 at a 5% interest rate for 5 years if it is compounded continuously. Given the profit function ⫪=25X –X2 – XY – Y2 +30Y – 28 -find the level of output that maximizes profit, - test the second partial condition, and - evaluate the function at the critical values X and Y.A zero-coupon bond6 is a popular variation on the bond theme for some investors. What should be the price of an eight-year zero-coupon bond with a face value of $ 1.000 if similiar, nonzero-coupon bonds are yielding 6% annual interest?A large electronic retailer is considering the purchase of software that will minimize shipping expenses in its supply chain network. This software, including installation and training, would be a $10-million investment for the retailer. If the firm’s effective interest rate is 15% per year and the life of the software is four years, what annual savings in shipping expenses must there be to justify the purchase of the software?
- True/False AVC can fall even when MC is risingd. Calculate your return on investment if you invest $100 each month for 40 years at 8% compounded annually Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.What is the discounted payback period? How many percent of the initial capital is recovered after 3 years?
- The owners of a small manufacturing concern have hired a vice president to run the company with the expectation that he will buy the company after five years. Compensation of the new vice president is a flat salary plus 75% of the first $150,000 profit, and then 10% of profit over $150,000. Purchase price for the company is set at 4.5 times earnings (profit), computed as average annual profitability over the next five years. PLOT the annual compensation of the vice president as a function of annual profit?A bank pays one percent interest on savings accounts four times a year. The effective annualinterest rate is?Why return to capital is an essntial ingredient of engineering economy studies?
- Q19 solutio n nededI keep -0.967 but isn't an answer choice Note:- Please avoid using ChatGPT and refrain from providing handwritten solutions; otherwise, I will definitely give a downvote. Also, be mindful of plagiarism.Answer completely and accurate answer.Rest assured, you will receive an upvote if the answer is accurate.A study by the New York Federal Reserve Bank concludes that an engineering bachelor’s degree generates approximately a 15% return on investment over the course of a decade. Suppose the typical engineering student spends $15,000 per year for four years on his/her education. What extra annual return (in dollars) does the typical student realize during the 10 years following graduation? State your assumptions.