Answer:
a. Janice must adjust the total value 2018 GDP for inflation.
Explanation:
Gross domestic product is defined as the amount of goods and services produced by a country in a particular period. It is a measure of economic growth of the country.
Real GDP is calculated from GDP by adjusting for inflation of deflation. Real GDP gives a more clear picture of the economy since it considers the reality of inflationary effect on prices.
For example when prices go up and GDP is used, it will seem the country is producing more. Which is a wrong assumption.
Real GDP give a more accurate insight into a countrie's productivity.
Answer: Option A which is the Dealership 0% financing option will be preferable if the Price of the car is less than the different of Loan monthly Payments minus Rebates.
Explanation:
OPTION 1
A buyer pays 60 monthly instalments and the interest rate is 0%. This tells us that there is no interest the value of the debt (Which is the price of 2003 Protege S hatchback) will not increase over the period of 60%, with this option time value of money is not considered.
Option 2
The buyer receives a Rebate of $3600 if the car is paid for in cash. The buyer qualifies for a loan at an effective rate of 7% per annum. The amount of a loan will be the Price of a 2003 Protege S Hatchback. Assuming the Loan will also ave a period of 60 months, The Total amount Payable over the period of 60 months equals Loan Monthly payments multiplied by 60 months. The buyer receives a rebate of $3600, therefore The Net Amount Payable for Option 2 financing is found by multiplying Loan monthly payments by 60 months then subtract the Cash Rebate received of $3600
Let us now compare the two options to find out how Large must the Car be for option A to be preferable.
Y = The Price of a 2003 Protege Hatch Back, Which also equals the amount of debt over a period of 60 years (option A has no interest)
Monthly Payments of a loan = P
number of Periods = 60 months
Debt in 60 months versus Loan payments multiplied by 60 months - rebate
Therefore Y ∠ P x 60 months - $3600
Option A which is the Dealership 0% financing option will be preferable if the Price of the car is less than the different of Loan monthly Payments minus Rebates.
Answer:
10.5%
Explanation:
Dividend yield=5.9%
Growth rate=4.6%
Required return on the stock=Dividend yield+growth rate
=5.9%+4.6%=10.5%
Answer:
$812.49
Explanation:
Given that
Sale value of ordinary annuity = $4,947.11
Time period = 8 years
Interest rate = 6.50%
So by considering the above information, the annual annuity payment is
$4,947.11 = Annual annuity payment × Present value annuity factor at 6.5% for 8 years
$4,947.11 = Annual annuity payment × 6.0888
So, the annual annuity payment is $812.49
Answer:
25.25%
Explanation:
With a fill area of
, and an installed liner cost of $8, the total cost of installation = 50,000 * 8 = $400,000.
Annual average annual cost = $400,000/4 = $100,000 (since the fill area is adequate for 4 years).
Estimated annual revenue = 
(P = Price, V = Value, p = Pick Up, d = Dump Truck, c = Compactor Truck)
= (10*2,500) + (25*650) + (70*1,200)
= $125,250.
Therefore, annual rate of return =
= 25.25%.