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hammer [34]
1 year ago
15

Which statement describes a benefit of international trade?

Business
2 answers:
melisa1 [442]1 year ago
4 0

Countries gain from exchange when trade enables each country to receive a higher price for exported goods and/or pay a lower price for imported goods. This leads to more efficient resource allocation and allows consumption of a larger variety of goods.International trade is where there is exchange of goods and services across International territories where in most countries this exchange represents a significant a share of gross domestic product(GDP). One of the most immediate benefits of this trade is lower costs to consumers


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Nikitich [7]1 year ago
4 0

im pretty sure its D.

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Leto [7]

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Kruka [31]

Answer:

Initial outflows for project X and Y is $120,000

PV for project X = $148,664.98

NPV For project X = $28,664.98

NPV for project Y = $12,170.15

PV for project Y = $132,170.15

Project X is more attractive

Explanation:

Net present value is the present value of after tax cash flows from an investment less the amount invested .

NPV can be calculated using a financial calculator:

NPV for proposal X :

Cash flow in year 0 = $-120,000

Cash flow each year from year one to 12 = $24,000

I = 12%

NPV = $28,664.98

PV = $-120,000 + 28,664.98 = $148,664.98

NPV for proposal Y :

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Cash flow in year 3, 6, 9, and 12 = $72,000

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The project X should be chosen because its NPV is greater than that of project Y.

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