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Lesechka [4]
2 years ago
13

Calculate the present worth of a geometric gradient series with a cash flow of $35,000 in year 1 and increases of 5% each year t

hrough year 6. The interest rate is 10% per year.
Business
1 answer:
Zielflug [23.3K]2 years ago
8 0

Answer:

$145,038.567

Explanation:

Solution

Let

g = gradient percent (as a decimal in calculations)

i = interest percent (as a decimal in calculations)

n = number of periods

A1 = payment at EOY 1

A1 = $35,000; g = 5%; i = 10%; n = 6

Hence:

P = A1 ( P/ A1, g, i, n ) = 100 [ 1 – ( 1 + 0.05 )^5( 1 + 0.1 )^ –5 ] / ( 0.1 – 0.05 )

= $35000 [ 1 – 1.276815625 * 0.6209213230] / (0.05)

= $35000 [ 0.2071979529] / (0.05)

Therefore the present value  or worth of the geometric gradient series is

= $145,038.567

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Answer would be A for this
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The calculation of portfolio beta is done by simply multiplying the percentage of each portfolio with each beta and summing up all the products afterwards.

For intel:
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    = ($12,000/$50,000)(1) = <em>0.24</em>

For Con Edison:
   Portfolio of Con Edison = $50,000 - ($20,000 + $12,000) = <em>$18,000</em>
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5 0
2 years ago
Suppose a monopoly concrete contractor builds 20 driveways per month for $10,000 each. In order to increase sales to 21 driveway
wariber [46]

Answer: Marginal revenue is -$500.

Explanation: The marginal revenue is calculated as the change in total revenue subtracted by the change in quantity.

Total revenue is calculated by multiplying the price by the quantity:

At a quantity of 20 driveways, the total revenue is = 20 × $10,000 = $200,000

At a quantity of 21 driveways, the total revenue is = 21 × $9,500 = $199,500

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4 0
2 years ago
Vaughn Manufacturing's accounting records reflect the following inventories: Dec. 31, 2020 Dec. 31, 2019Raw materials inventory
pychu [463]

Answer:

$2,090,000

Explanation:

The computation of the total manufacturing cost is shown below:

Total manufacturing cost = Cost of direct materials used + direct labor cost + manufacturing overhead  cost incurred

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So, the total manufacturing cost equals to

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2 years ago
Effectiveness of a solution is equal to:_______
OlgaM077 [116]

Answer:

a. Quality of a Solution 20% (x) Acceptability of the Solution 80%

Explanation:

We say that a solution is effective i.e 100%, when it has a 20% of its quality and 80% of its acceptability.

A solution is effective when it has a 100% effect. The application of a solution to a problem which yields 100% effect is said to be effective and acceptable.

The scale used is the relationship given as:

Effectiveness of a solution = Quality of a Solution 20% (x) Acceptability of the Solution 80%

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