Bonds are a type of investments that is categorized as a fixed-income instrument which symbolizes loans that investors make to a borrower. Bonds can be made by a corporation or a government. Bonds always have end dates, and they generally have lower risks compared to stocks.
However, there are still some risks associated with this type of instrument, which is (C) the issuer could go bankrupt.
Answer:
Variables names cannot include a percent sign (%).
Explanation:
Answer:
expect the customer to wait = 6.74 sec
1 car would expect to see in the system.
Explanation:
given data
arrive rate λ = 300 per hour
verify the debit card u = 1 card per 5 second = 720 card per hour
solution
L(q) = 300² ÷ ( 2 × 720 (730-300) )
L(q) = 0.1453
L(q) = 2.0833
and
L(s) = 0.1453 + 300/720
L(s) = 0.5619 W(s)
so
expect the customer to wait = 0.5619 ÷ 300
expect the customer to wait =0.001873
expect the customer to wait = 6.74 sec
and
L(s) 0.5619 = 1 cars
so 1 car would expect to see in the system.
Answer: Old machine should be replaced.
Explanation:
The variable manufacturing cost will reduce by:
= 624,000 - 524,000
= $100,000
Over a period of 5 years this will be:
= 100,000 * 5
= $500,000
Selling the old machine would bring in $32,000:
= 500,000 + 32,000
= $532,000
The cost of the new machine would reduce this gross benefit by:
= 532,000 - 455,100
= $76,900
<em>Net income will increase by a total of $76,900 over the 5 year period if the new machine is bought so it should be bought. </em>
Answer:
Lower.
Explanation:
The capitalization rate is mainly used in real estate and is a measure of the rate of return on a property, based on the net operating income it is expected to generate.
Johnson in appraising two parcels of property, leased one to the government for use as a post office while the other parcel of property, is leased to a private owner for use as a hardware store. Having the knowledge that the parcels have recently started long-term leases. The capitalization rate of the post office property used by the government as compared to the capitalization rate of the hardware store property used by the private owner will be lower.
The capitalization rate of the post office property would be lower because, real-estate investors will not expect much returns on the investment as it's a less risky investment. The post office is less likely than a hardware store to run out of business or go bankrupt by virtue of being a governmental agency or public company.
Hence, the hardware store will need a higher capitalization rate in comparison with post office property.