Suppose that the cash-generating machine you are considering buying in Question 6 has stopped for improvement. It will resume generating cash flows in two years from now, with an initial cash flow of $10. Cash flows will then grow at a rate of 4% each year thereafter. The discount rate is 12% per year. You are still interested in purchasing this machine, and the current owner of the machine asks you to pay today if you want to buy it. How much would you be willing to pay?
Answer (show the steps/calculation toward your results):
Answers
Therefore, you would be willing to pay approximately $132.77 for the cash-generating machine.
To determine how much you would be willing to pay for the cash-generating machine, we need to calculate the present value of its future cash flows.
Given:
The machine will resume generating cash flows in two years.
Initial cash flow after the two-year pause: $10.
Cash flows will grow at a rate of 4% each year thereafter.
Discount rate: 12% per year.
We need to find the present value (PV) of the cash flows starting from year 2.
Step 1: Calculate the present value of the growing perpetuity from year 2 onwards:
PV = Cash flow / (Discount rate - Growth rate)
PV = $10 / (0.12 - 0.04)
Step 2: Calculate the present value of the initial cash flow after the two-year pause:
PV_initial = Initial cash flow / (1 + Discount rate)^2
PV_initial = $10 / (1 + 0.12)^2
Step 3: Sum up the present values:
Total PV = PV_initial + PV
Now, let's calculate the values:
PV = $10 / (0.12 - 0.04) = $125
PV_initial = $10 / (1 + 0.12)^2 ≈ $7.77 (rounded to 2 decimal places)
Total PV = $7.77 + $125 = $132.77
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Related Questions
All of the following are MNC complaints about host countries EXCEPT:a) profit limitations.b) overpriced resources.c) interference with government.d) exploitative rules.
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The MNC complaints about host countries are profit limitations, overpriced resources, interference with government, and exploitative rules. However, the term "EXCEPT" in your question indicates that you are looking for the option that does not apply to the complaints. Therefore, the option that does not apply is "d) exploitative rules".
Multinational corporations often face challenges when doing business in foreign countries. These challenges include government regulations, restrictions on profits, high prices for resources, and political interference. However, the option "d) exploitative rules" does not fit into this category as it is not a complaint that MNCs typically have about host countries.
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capital and drawings are classified as
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Answer:
Since the capital account and owner's equity accounts are expected to have credit balances, the drawing account (having a debit balance) is considered to be a contra account. In addition, the drawing account is a temporary account since its balance is closed to the capital account at the end of each accounting year.
Explanation:
Please Mark me brainliest
How do producers and consumers think similarly and differently about price?
Answers
Answer:
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Explanation:
jqbavsysuaiqjqnabahahai
Shakeria wants to start investing. She decides to put $1,000 in her investment account and then decides to add $5,200 (which is one hundred dollars per week) into the account at the end of each year. She expects her investments to earn an average of 9% over the next 30 years. How much will she have at the end of the 30 years?
A. $689,364.25
B. $254,369.25
C. $674,689.33
D. $356,543.89
E. $701,055.34
F. $722,066.88
Answers
Match the job titles with career clusters executive secretary survey researcher Storage and distribution manager loan officer cargo and freight agent general manager
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Answer:
Accountant - Finance
Survey Researcher - Science, Technology, Engineering and Mathematics
Loan Officer - Finance
Cargo and Freight Agent - Transportation, Distribution and Logistics
General Manager - Business Management and Administration
Executive Secretary - Business Management and Administration
Storage and Distribution Manager - Transportation Distribution and Logistics
Purchasing Agent - Manufacturing
Explanation: i took the test and got 100
Matching the job titles with career clusters are Executive Secretary in Business Management and Administration, Survey Researcher in Science, Technology, Engineering and Mathematics.
What are career clusters?Career Clusters provide students with a context for studying traditional academics and learning the skills specific to a career, and provide U.S. schools with a structure for organizing or restructuring curriculum offerings and focusing class make-up by a common theme such as interest.
In the U.S. Department of Education model, 17 Career Clusters link to 70+ more specific Career Pathways each having its knowledge and skills requirements. Within the 70+ career pathways, 1800 Career Specialties are defined. The structure has evolved and may vary by state. Matching more job titles with career clusters are Storage and Distribution Manager - Transportation Distribution and Logistics, Loan Officer Finance, and Cargo and Freight Agent - Transportation.
Further, Distribution and Logistics, General Manager - Business Management and Administration.
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are a cellular phones appropriate and suitable for the market and for the customers today? why?
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Explanation:
they are suitable since because they help different people to communicate
Answer:
i think this will help you
Patents and copyrights are considered to be what type of resource?
A. Structural/cultural
B. physical
o
C. intangible
D. financial
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Answer:
The answer to your question is C.
Explanation:
3
Select the correct answer.
Which is true when you rent?
O A.
B.
C.
You build equity in your house.
You are responsible for any repairs.
You pay fewer up-front costs.
Answers
Answer:
A
Explanation: A because when you do repairs you give the goverment money
Assume uber planned to cut losses by 40% by withdrawing from counties like china and singapore. A year has now passed since they have withdrawn and the company determines that losses have actually increased. Which step in the planning/control cycle does uber need to now execute?.
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Consider a scenario in which Uber intended to reduce losses by 40% by leaving nations like China and Singapore. After a year has gone after their withdrawal, the business concludes that losses have increased. Uber must now carry out the planning/control cycle's control the direction phase.
control the direction was the goal. Even if operations were stopped in several nations, losses grew. To achieve its goal, Uber must manage the direction.
With the Driver app, you may control the direction to take you to your house, the store, or wherever else you need to go. The program then looks for other riders who are going in the same direction and who you might meet along the way.
How a company may meet these needs through planning and monitoring is covered in planning and control, which is also referred to as production. Production also refers to the control and planning processes.
In reality, Uber has reframed the problem. It was started in 2009 in order to deal with the planning and control issue of instantaneous transportation. Making transportation safer with autonomous vehicles is described as one of the challenges.
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Which of the following occurs when a company sells its products to buyers in a target market without going through intermediary companies?
a. export through local distributors
b. export through agents
c. sale through export management companies
d. sale through export trading companies
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d. sale through export trading companies. Export trading companies (ETCs) are businesses that specialize in selling products to buyers in a target market without involving intermediary companies.
ETCs work with manufacturers to find markets for their products and help them complete international transactions. In general, ETCs are established with the objective of assisting exporters to access global markets in the most efficient manner. They undertake many of the risks involved in exporting goods, such as securing finance, carrying out market research, arranging for transportation, and organizing product distribution in the target market.
ETCs can be either privately owned or owned by government agencies. They provide value to both exporters and importers by reducing transaction costs and providing expertise in navigating the complexities of international trade regulations. ETCs offer many benefits, including increased market access and lower export costs, which makes them an important player in the global trade landscape.
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A portion of the stockholders equity section from the balance sheet of Walland Corporation appears as follows: Assume that all the stock was issued on January 1 and that no dividends were paid during the first two years of operation. During the third year, Walland Corporation paid total cash dividends of $736,000. Compute the amount of cash dividends paid during the third year to each of the three classes of stock. Compute the dividends paid per share during the third year of each of the three classes of stock. What was the average issue price of each type of preferred stock?
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A. The computation of the cash dividends paid during the 3rd year to each of the three classes of stock is as follows:
Cumulative Dividends: $540,000Non-Cumulative Dividends: $96,000Common Stock: $100,000.B. The computation of the dividends paid per share during the 3rd year for each of the 3 classes of stock is as follows:
Cumulative Dividends- Per Share: $13.50Non-Cumulative Dividends- Per Share: $12.00Common Stock- Per Share: $0.25.C. The average issue price of each type of preferred stock is as follows:
Cumulative preferred stock: $50Non-cumulative preferred stock: $100.How the dividends are computed:Total cash dividends paid = $736,000
9% Cumulative = $540,000 ($2,000,000 x 9% x 3 years)
12% Non-cumulative = $96,000 ($800,000 x 12%)
Common Stock = $100,000 ($736,000 - $540,000 - $96,000)
Dividends per share:9% Cumulative = $13.50 ($540,000 ÷ 40,000)
12% Non-cumulative = $12.00 ($96,000 ÷ 8,000)
Common Stock = $0.25 ($100,000 ÷ 400,000)
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Question Completion:Preferred stock, 9% cumulative, $50 par, 40,000 shares authorized, issued, and outstanding- $2,000,000
Preferred stock, 12% non-cumulative, $100 par, 8,000 shares authorized, issued, and outstanding- $800,000
Common Stock, $5 par, 400,000 shares authorized, issued & outstanding- $2,000,000
Total paid-in capital- $4,800,000
Entrepreneurial mind frame permits the entrepreneur to see things in a very positive and optimistic light.True or false?
Answers
When an entrepreneur has a very positive and optimistic vision, he adjusts to the entrepreneurial mental framework (True)
The entrepreneurial mind frame is a term that refers to the human way of thinking that takes any situation in a very positive and optimistic way.
This mentality is characterized by seeing the positive factors in difficult situations or crises. On the other hand, it is a mind frame that allows the individual to take advantage of negative situations to devise innovative solutions.
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Suppose the government imposes a price ceiling of $80. This price ceiling is (not binding/binding) and the market price will be $_____. The quantity supplied will be______, and the quantity demanded will be_______. Therefore, a price ceiling of $80 will result in (a shortage/a surplus/neither a shortage nor a surplus)
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Suppose the government imposes a price ceiling of $80. This price ceiling is (not binding/binding) and the market price will be $80. The quantity supplied will be less than the quantity demanded, and the quantity demanded will be more than quantity supplied. Therefore, a price ceiling of $80 will result in a shortage.
What is the market price?When the government imposes a price ceiling of $80, the market price will be at $80, while the equilibrium price will be above $80. The price ceiling will be binding since it will affect the market equilibrium. The equilibrium price will be at $100, which is above the price ceiling of $80. Therefore, the price ceiling of $80 will result in a shortage in the market.
Therefore, the quantity supplied will be less than the quantity demanded when the price is set below the market equilibrium price. A price ceiling will result in a shortage in the market because the sellers are not willing to supply enough goods at the price ceiling of $80 to satisfy the demand. The shortage arises because the quantity demanded exceeds the quantity supplied at a price ceiling.
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In which of the following situations is a good NOT scarce?
A. Consumer give up nothing to obtain more of the good.
B. Consumer can purchase as much of the good as they want at its current market price.
C. Large quantities of the good are available in the marketplace.
D. There is a surplus of the good at some positive price.
E. There is a shortage of the good at some positive price.
Answers
Assignment Questions
1. Describe the attitude you have toward technology. Describe at least two ways in which
technology has affected your life. (2-4 sentences. 1.0 points)
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Answer:
I see technology as an essential part of life nowadays. Importance of technology has drastically increased in past 5 years.
For me technology is now a basic need as i obtain the latest updates on my phone rather than a newspaper.
The study i do for my subjects is done on my phone as well on a soft copy document.
Explanation:
If you wait until you're 45 to begin investing, how much money will you need to invest, just for retirement, per
year
Answers
Answer:
It is difficult to give a specific amount that you would need to invest per year if you start investing at age 45 for retirement, as this will depend on a number of factors such as your retirement goals, the amount of money you will need to live on during retirement, the age at which you plan to retire, and your expected investment returns.
In general, it is recommended to start saving and investing for retirement as early as possible, as this will give you more time to grow your money through compound interest. The longer you have to save, the less you will need to save each year to reach your retirement goals. For example, if you start investing at age 25 and plan to retire at age 65, you will have a longer time horizon than someone who starts investing at age 45 and plans to retire at the same age.
To determine how much you should be investing for retirement, you can use a retirement calculator to input your specific retirement goals and assumptions about your investment returns. This will give you an idea of how much you should be saving each year to reach your retirement goals.
It is also a good idea to consult with a financial planner or advisor, who can help you develop a personalized retirement plan based on your individual circumstances and goals.
Explanation:
If actvity level increases 25 percent and specific cost increase from 40000 to 50000 this cost would be classified as a:__________
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If the activity level increases 25% and a specific cost increases from $40,000 to $50,000, this cost would be classified as a fixed cost.
Increase in activity level = 25%
Specific cost increases from $40,000 to $50,000
Increase in cost = $10,000
Increase in cost (%) = Increase in cost/Beginning cost
= 10,000/40,000
= 25%
Since due to a 25% Increase in activity level, specific cost also increases by 25%, hence the cost must be a variable cost.
Variable cost varies in the same proportion to output. Within the given range of activity, fixed cost remains the same.
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Which best describes the facilities involved in the Healthcare cluster?
Some facilities are privately owned, some are funded and run by the government, and some are run by nonprofit organizations.
Some facilities are privately owned businesses that are owned by people who want to make money, and some facilities are nonprofit hospitals.
Most facilities are funded by taxes and run by the government, while a small few are privately owned facilities run by people who want to make money.
Many facilities are nonprofit clinics with the rest of the facilities owned and operated by private individuals to make a profit.
Answers
Answer: (C) Most facilities are funded by taxes and run by the government, while a small few are privately owned facilities run by people who want to make money.
Answer:
C. government
What is the so-called efficiency-equity trade-off in
policy considerations?
Please explain briefly.
The subject is about government policies toward
business.
Answers
The efficiency-equity trade-off is the challenge policymakers face in balancing economic efficiency and social equity. Efficiency aims to maximize productivity and growth through policies like deregulation, while equity focuses on fairness through measures like progressive taxation. Striking a balance requires careful consideration of trade-offs to achieve sustainable and inclusive development.
The efficiency-equity trade-off refers to the dilemma faced by policymakers when they have to balance the goal of achieving economic efficiency with the goal of promoting social equity. In the context of government policies towards business, this trade-off becomes particularly relevant.
Efficiency in this context refers to the allocation of resources in a way that maximizes productivity and economic growth. It involves policies that encourage competition, innovation, and market efficiency. For example, reducing regulations and taxes on businesses can promote efficiency by allowing them to operate more freely and invest in new technologies.
On the other hand, equity refers to fairness and equality in the distribution of resources and opportunities. Policies aimed at promoting equity may include progressive taxation, social welfare programs, and regulations that protect workers and consumers.
These measures can help address income inequality and ensure that the benefits of economic growth are shared more equally.
However, the efficiency-equity trade-off arises because policies that promote efficiency may inadvertently exacerbate inequality, while policies that promote equity may hinder economic growth and efficiency. For instance, reducing regulations on businesses might lead to increased profits but also widen income disparities.
On the other hand, implementing stricter regulations to protect workers' rights might lead to increased costs for businesses, potentially affecting their competitiveness and efficiency.
Finding the right balance between efficiency and equity is a complex task for policymakers. It requires considering the potential trade-offs and evaluating the impact of different policies on both economic growth and social equity. Ultimately, the goal is to design policies that promote both efficiency and equity to achieve sustainable and inclusive economic development.
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How much interest will an account earn if you deposited \( \$ 615 \) at the end of every six months for 10 years and the account earned \( 3.00 \% \) compounded semi-annually? Round to the nearest cen
Answers
A. The interest earned on the account can be calculated using the formula for compound interest.
B. The formula for compound interest is given by:
\[ A = P \left(1 + \frac{r}{n}\right)^{nt} - P \]
where:
- \( A \) is the final amount or balance in the account
- \( P \) is the principal amount or the initial deposit
- \( r \) is the interest rate (in decimal form)
- \( n \) is the number of compounding periods per year
- \( t \) is the number of years
In this case, the principal amount \( P \) is \$615, the interest rate \( r \) is 3.00% (or 0.03 in decimal form), the compounding periods per year \( n \) is 2 (since it is compounded semi-annually), and the number of years \( t \) is 10.
Substituting these values into the formula, we can calculate the final amount and then subtract the principal amount to find the interest earned.
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From 2013 to 2014, nominal gross domestic product (gdp) in the united states increased by?
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From 2013 to 2014, Nominal Gross Domestic Product (GDP) in the united states increased by 2.2 percent. Nominal gross domestic product is GDP calculated using the most recent market prices. GDP measures the monetary worth of all the goods and services a nation produces.
Nominal Gross Domestic Product differs from real GDP in that it takes inflation into account, which represents how quickly prices are rising in an economy. One way to gauge an economy's health and well-being is to look at its gross domestic product. It is the total worth of all things and services produced over a specific time period less the value of those who worked on those goods and services.
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Write a biography about a famous person of Nepal...
Answers
Explanation:
Parijat (Nepali: पारिजात) was a Nepalese writer. Her real name was Bishnu Kumari Waiba (Waiba is a subgroup of Tamang) but she wrote under the pen name Parijat (Parijat is a night-flowering fragrant jasmine flower). Her most acclaimed publication is Shiris Ko Phool (The Blue Mimosa), which has also been adapted in the literature curriculum of some colleges in some English-speaking countries like United States, England etc. Some of the notable universities where Parijat's Shirish Ko Phool was adopted as curriculum in the University of Maryland, USA.
Answer:
● Gautama Buddha. 0563 BC. Founder of Buddhism.
● Tenzing Norgay. 29 May 1914. Mountaineer.
● Anatoli Boukreev. 16 January 1958. Mountaineer.
● Gyanendra Bir Bikram Shah Dev. 07 July 1947. ...
● Chandra Bahadur Dangi. 30 November 1939. ...
● Birendra of Nepal. 28 December 1945. ...
● Sandeep Lamichhane. 02 August 2000. ...
● Amrita Acharia. 31 July 1987.
Explanation:
I HOPE IT'S HELPQuestion 2(Multiple Choice Worth 5 points)
(02.06 MC)
In general, what kind of people earn the most money?
O People with skills that are in high demand and high in supply
O People with skills that are in high demand but low in supply
O People with skills that are in low demand and low in supply
People with skills that are in low demand but high in supply
Answers
They earn the most money since skills also follow the law of supply and demand, so consumers are willing to pay more due to low supply
Design, construction, tests, and use of eye and face protection must be in accordance with
ANSI
Answers
Hope this helps have an excellent day!
what is the first step in creating the federal budget?
Answers
Answer:
The President Submits a Budget Request The president sends a budget request to Congress each February for the coming fiscal year, which begins on Oct. 1. 5
Which of the following is an example of promotion?
A The quality of a product
B. The price of a product
C. An advertisement
D. An employee who works for your company
Answers
Answer:
A. An advertisement
Explanation:
Answer:
it is c
Explanation:
on edg 2021
find out what has happened to UK Industry over the past 10 year
and why is this?
Answers
our self-talk consists of words pictures and emotions. as we imprint our affirmations we
Answers
Self-talk is your inner voice or the way you speak to yourself. Although you almost probably are doing it without realizing it, you almost certainly are. In order to produce an internal monologue throughout the day, this inner voice mixes conscious thoughts with ingrained beliefs and biases.
What are the four categories of self-talk?Your inner discourse is known as self-talk.
Personalizing. You own all of the guilt for yourself.
Magnifying.
Catastrophizing.
Polarizing.
What are the five tiers of one's own self-talk?Helm Stetter outlines the "Five Levels of Self-Talk" (Negative Acceptance, Recognition and Need to Change, Decision to Change, The Better You, and Universal Affirmation) and offers advice on how to navigate each level for significant life changes.
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the effectiveness of monetary policy is in part due to selected answer will be automatically saved. for keyboard navigation, press up/down arrow keys to select an answer. a the lack of political influence. b the long implementation lag. c the zero limit on interest rates. d the short effectiveness lag. e all of the above.
Answers
The effectiveness of monetary policy is attributed to various factors, including the lack of political influence, the long implementation lag, the zero limit on interest rates, and the short effectiveness lag.
One of the main reasons why monetary policy is effective is due to the lack of political influence. Central banks are typically independent of political influence, which allows them to make decisions based on economic data and analysis rather than political pressure. This independence ensures that monetary policy decisions are made in the best interest of the economy as a whole. Another factor that contributes to the effectiveness of monetary policy is the long implementation lag. It can take several months or even years for monetary policy decisions to have their full impact on the economy. However, once the effects do kick in, they tend to be significant and long-lasting.
In summary, all of these factors contribute to the effectiveness of monetary policy in stimulating economic growth and stability.
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2 Consider Figure 2.11. Undertake a similar exercise for different markets (e.g. Germany, United
States, China) and reflect on the implications of the brand positioning in terms of facilities and
services on board.
Answers
Brand positioning gives customers the reasons to buy one product over another.
How is branding important?It should be noted that brand positioning can be affected by aspects such ad style and, brand personality, customer types, and company reputation
A brand positioning statement is the description of your target market that includes a holistic picture of how you will like your brand to be perceived by customers.
You can use brand positioning to influence what a consumer thinks of your product or brand. Then the resulting consumer mental image has an impact on purchasing decisions.
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