Using chapter content, what ultimately determines the present value of assets? In determining the present value of an asset, what is the role of future benefits? What is the role of the interest rate (how those future benefits are valued)?
Q: how will cancelling student debt harm the economy
A: The objective of the question is to understand the potential negative impacts on the economy if…
Q: view picture
A: Options C and D correctly describe the factors related to economic development. Option C is true…
Q: am. 123.
A: By increasing the amount of money that the government spends by $80 billion, the multiplier would…
Q: Solve all problems ...
A: In order to calculate marginal revenue (MR) at each quantity, we can use the…
Q: Negative externalities and fast food Task 6b Explain the concept of negative externalities Point…
A: 6b. Task 6b | Explain the concept of negative externalities Explanation of Negative Externalities:…
Q: important organizational goal in public and nonprofit organizations? How can you, a current or…
A: Public and nonprofit organizations' organizational goalsOrganizational Goal: To maximize societal…
Q: Please check the answer and add explanation properly at every steps and solve steps wise
A: The question asks us to determine the quantity of labor and capital that the firm should use in…
Q: Two alternatives for a construction project are being considered. Both projects have a 5-year life.…
A: The problem requires the determination of the incremental rate of return. To calculate the…
Q: (Figure: Market Demand Schedule 0) Price Individual Quantity Demanded Market per Unit Jan Rose $24 2…
A: To find Rose's quantity demanded, we can first calculate the total quantity demanded by subtracting…
Q: Kermit is considering purchasing a new computer system. The purchase price is $148,165. Kermit will…
A: Loan amount = 0.25 * 148,165 = 37,041.25 Annual loan payment for 3 yrs = 37,041.25 * (A/P,10%,3) =…
Q: A situation in which the Marginal Social Cost is greater than the Marginal Private Cost is a.…
A: The cost incurred by people who produce a good or service to produce a new unit is known as the…
Q: Consider palletizer at a bottling plant that has a first cost of $140,855, has operating and…
A: Part 2:Explanation:Step 1: Calculate the future worth factorThe future worth factor (F/P) at 8%…
Q: The coal mining company is the d of labor.
A: Coal mining can be a dangerous profession, and there have been many historical conflicts between…
Q: A country may specialize in the production of a good that it can produce at a lower opportunity cost…
A: Step 1: Step 2: Step 3: Step 4:
Q: 35. The demand for money: a. Varies inversely with the interest rate. b. Is the desire to be…
A: The relationship between the demand for money and the interest rate is normally inverse, but not…
Q: The beauty of an expert Hand written solution is not allowed please dear
A: Let's break down the process of calculating the deadweight loss (DWL) due to a zero-emissions…
Q: O Macmillan Learning The graph represents consumption (C) as a function of disposable income (DI).…
A: Remember the formula:MPC = Change in consumption (C) / change in disposable income (DI) Looking at…
Q: Vikarm bahi
A: Equivalent units of production for conversion is calculated as:(Beginning WIP units × Percent…
Q: help me with draw the illustrations out for the parts. and help me with a,b,c,d.
A: Detailed explanation:a. Banks reducing the reserve ratio:i) Impact on Money Supply: When banks opt…
Q: The market demand for a type of carpet has been estimated as P = 400 25Q, where P is price (S/yard),…
A: Part 2: Approach to solving the questionTo derive the market supply curve, we need to understand how…
Q: 19 The Federal Reserve decides to sell $300 million in government debt to households paying with…
A: If fed sell government securities in market it absorbs money from the circulation money will be…
Q: Answer with explanation
A: Taxable income is the fraction of an individual's or entity's income that is taxed after accounting…
Q: Assume the required reserve ratio is 20%, and a bank's excess reserves are $50 million. Which of the…
A: Some banks want to hold some excess reserves instead of making loans: Banks don't necessarily lend…
Q: Assignment 14 Use the graph from class to find Marginal Cost at 100; Total Cost at 100; Variable…
A: This graph illustrates the connections that exist between the many cost ideas that are covered in…
Q: Which of the following statements is true regarding the situation in the federal funds market…
A: This appears to be a graph depicting the situation in the federal funds market. The vertical axis…
Q: None
A: The following details regarding the U-4 measure are available from the search results:"U-4 Total…
Q: Select the correct option Whenever the contract is actuarially equitable: Group of answer choices…
A: If a contract is considered actuarially equitable, it means that the insurer's premium closely…
Q: how will cancelling student debt help impact the economy
A: The economy may benefit from student loan cancellation in a number of ways. First and foremost,…
Q: 2. (17) Bob and Joe both own convenience marts on opposite corners. Both firms are considering…
A: 2.If Bob decides to expand, Joe has a great profit(smaller loss of $1000, when it expands as well.)…
Q: Keep Quota Firm Y Cheat 2 Keep X profit $25,000 X profit--$2,000 Quota Y profit $25,000 Y profit -…
A: The above scenario represents a repeating game, in which the choice to cheat or maintain the quota…
Q: What are multinational corporations (MNCs) and what economic roles do they play?
A: Multinational corporations (MNCs) are business enterprises that manage production or deliver…
Q: Using only numbers 0 and 1 for payoffs, construct a 4x4 game that has a solution through iterated…
A: Let's construct a 4x4 game matrix that has a solution through iterated elimination of dominated…
Q: Question 2 (1 point) Si un petit pays a un PIB nominal actuel de 20 milliards de dollars et un…
A: The objective of the question is to calculate the real GDP of a country given its nominal GDP and…
Q: Chapter 07: Price 68 64 60 56 52 Supply 48 44 40 36 32 28 24 20 16 12 Demand 12345 7 8 9 10 11 12 13…
A: A price ceiling is a government-imposed maximum price that can be charged for a particular good or…
Q: A professional couple wishes to purchase a new home costing $750,000, make a 20 percent down…
A: Let's examine the computation in greater detail: 1. Original Loan Amount: Representing 80% of the…
Q: Table 4-1 below sets out cost information to produce volleyballs. Some values are missing. Which of…
A: In economics, a cost table is a fundamental tool used to analyze the costs associated with producing…
Q: please answer in text form and in proper format answer with must explanation , calculation for each…
A: key references, you can refer to textbooks or online resources on international economics, currency…
Q: = 2. The market demand and supply functions for liquor are: Q = 2000 - 20P and Q 200 + 10P. To…
A: Demand function: Q = 2000 - 20PSupply function: Q = 200 + 10P Step 1: Find the equilibrium price and…
Q: am. 136.
A: The objective of this question is to derive the constant growth rate equation, which is a…
Q: Cost-benefit analysis A local college is deciding whether to conduct a campus beautification…
A: In cost-benefit analysis, accurately estimating the willingness to pay (WTP) is crucial for…
Q: 3. The currency stabilization fund Suppose the Brazilian government recognizes that its reliance on…
A: For the first graph, we are to show the new exchange rate resulting from higher coffee prices. Given…
Q: * *8) The numbers reveal the opportunity costs of providing 10 piano lessons of equal quality.…
A: Detailed Explanation:The table shows the opportunity costs of six different piano teachers for…
Q: None
A: The supply and demand curves are two fundamental concepts in economics that describe the…
Q: 2. Suppose a perfectly competitive firm's current output level is less than its profit-maximizing…
A: In a perfect competition, marginal revenue and marginal costsBusinesses maximize profit when…
Q: Question 2 (1 point) Si un petit pays a un PIB nominal actuel de 20 milliards de dollars et un…
A: The objective of the question is to calculate the real GDP of a country given its nominal GDP and…
Q: Suppose an economy has four sectors: Mining, Lumber, Energy, and Transportation. Mining sells 15% of…
A: The rows of the table represent the purchases made by each sector, while the columns represent the…
Q: You want to take a dream vacation in 3.5 years. You plan to save up $5,000 in your vacation sinking…
A: In the above answer, to determine the amount needed to deposit in order to reach a future goal of…
Q: please answer in text form and in proper format answer with must explanation , calculation for each…
A: As observed from the graph, equilibrium exists at a point where Demand for towels = Supply of…
Q: Give me answer properly
A: Answer:
Q: please answer in text form and in proper format answer with must explanation , calculation for each…
A: To determine the current GDP gap, we need to compare the economy's actual GDP to its potential GDP.…
Step by step
Solved in 2 steps
- Why do we use the present value of an asset or investment as basis for its value?Compounding refers to: Select one: a. the increased value of an investment that arises from the payment of periodic interest. b. the process of earning interest on both the interest and the principal of an investment. c. the paying back of both interest and principal during the life of a fixed-payment loan. d. the calculation of interest rates after the compounding effect of taxes has been allowed for.Consider that you were given a US savings bond that will pay $100 when it matures in ten years. What happens if the interest rate rises to the present value of this bond payment?Why happens if the interest rate rises to the present value of this bond payment? A. Increases in present value B. The current value is unaffected. C. A decrease in present value
- Question 1 a. What is the significance of a demand curve and a supply curve? b. Suppose $2,000 is borrowed at a simple interest rate of 8%. Calculate (i) the principal plus interest at the end of the 6th year? (ii) what will be the future value if the interest was compounded within the stated period? c. What is meant by the terms discounting and compounding? Why are these important in investment analysis? d. What is the difference between simple and compound interest? e. Compare the interest earned on $1,500 over: (i) 10 years at an interest rate of 8%, compounded yearly, and (ii) 10 years at an interest rate of 8%, compounded quarterly. f. Calculate the future value of the following investments. (1) $1,000 in 10 years at an interest rate of 8%, compounded annually. $15,000 in 8 years at an interest rate of 8%, compounded monthly. (ii)Optimizing economic agents use the real interest rate when thinking about the economic costs and returns of a loan. Suppose the average rate paid by banks on savings accounts is 0.80% at a time when inflation is around 1.95%. For the average saver, the real rate of interest on his or her savings is ___%.6. A) If a company will pay $100,000 for a truck that will increase deliveries to be made, giving an additional $15,000 in revenue each year for 10 years, should the company buy it? Interest rates are 5%. Show your math. B) Now revenue is estimated to be only $12,000 a year for 10 years. Same interest rate, should the truck be purchased? C) Explain where interest rates come from, using details.
- Suppose you received a US savings bond as a gift, and the bond pays $100 at maturity, which is ten years from now. What happens to the present value of this bond payment if the interest rate increases? A. Present value increases B. Present value is not affected C. Present value declinesAli invests a certain amount of money today. The process of determining how much money that investment will produce in the future is called Select one: a. present value b. discounting 10 c. Compounding d. annuitizing the cash flowHow is cost of capital used to make financial decisions? Why do you think funds generated through retained earnings may have a cost? Give an example.
- Akhisha wanted to buy a cell phone which will have a price of P13,000 for 90 days from now due to the increase in prices of 12 percent simple interest. What is the present worth of a cell phone? a. P15,621 b. P12,621 c. P13,621 d. P14,621Economics You are planning to take out a 5 hundred thousand dollar fixed-rate mortgage with a 30- year term and a stated annual mortgage rate of 5.7 percent. Your lender offers to lower your stated annual interest rate by one-quarter of a percentage point for each discount point you buy. What will your monthly payment be if you buy 3 discount points? Round your answer to the nearest dollar. Answer the following based on the information from the previous question. Approximately how many months do you need to stay in the mortgage to make it worthwhile to pay the discount points? Round your answer to two decimal places."Knowing how to secure your financial well-being is one of the most important things you'll ever need in life. You don't have to be a genius to do it. You just need to know a few basics, form a plan, and be ready to stick to it. No matter how much or little money you have, the important thing is to educate yourself about your opportunities. At the SEC [Securities and Exchange Commission], we enforce the laws that determine how investments are offered and sold to you. These laws protect investors, but you need to do your part, too. No one can guarantee that you'll make money from investments you make." Use the excerpt from the SEC's Guide to Saving and Investing to answer the following. Be sure to write in complete sentences. Explain different types of investments and savings accounts and how they help your money grow over time. Describe the importance of government agencies, like the SEC, in protecting your investments.