Answer:
18.37%
Explanation:
The internal rate of return is the return at which the net present value comes to zero
Here the net present value is the value at which the present cash inflows after discounting factor is exceeded then the initial investment. If this thing happens then the project would be accepted otherwise it would be rejected
The computation of the range of the plant IRR is to be shown in the attachment below.
Please find the attachmentHence, the internal rate of return is 18.37%
Answer:
a) equilibrium price to rise, fall, or stay the same and equilibrium quantity to rise.
Explanation:
Substitute goods are goods that can be used in place of each other.
If the price of rice rises, consumers shift to the consumption of potatoes. Price and quantity demanded of potatoes increases
The bumper harvest increases supply of potatoes. Price falls and quantity increases.
The effect on equilibrium quantity of potatoes would be indeterminate but equilibrium quantity would rise.
I hope my answer helps you
B. Serena should focus on a certain amount and track her spending
Answer:
Price of bond=948.8583731
Explanation:
<em>The value of the bond is the present value(PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV).
</em>
Value of Bond = PV of interest + PV of RV
Semi-annual interest = 8.6% × 1,000 × 1/2 =43
Semi-annual yield = 9.4%/2=4.7
%
<em>PV of interest payment</em>
PV = A (1- (1+r)^(-n))/r
A- 43, r-0.047, n- 20
= 43× (1-(1.047)^(-10)/0.047)
= 549.7724893
<em>PV of redemption Value</em>
PV = F × (1+r)^(-n)
F-1000, r-0.047, n- 20
PV = 1,000 × 1.047^(-20)
PV = 399.0858837
Price of Bond
549.772 + 399.085
=948.8583731
