If a bond is upgraded, we would expect the demand for the bond to increase and the yield of the bond to decrease.
When a bond is upgraded, it means that the creditworthiness of the issuer has improved. This increased creditworthiness leads to greater investor confidence in the bond, resulting in a higher demand for the bond. As more investors seek to purchase the upgraded bond, the increased demand drives up the price of the bond. Since bond prices and yields are inversely related, the yield of the bond decreases as the price increases.
In other words, investors are willing to accept a lower yield in order to secure a bond with an improved credit rating.
Therefore, an upgraded bond is expected to experience higher demand and lower yields.
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What are the three points of comparison?
The three points of comparison on any topic can be the basic theme which is to be conveyed, the properties of the topic and the cost of commodity.
Comparison is the process in which two or more goods, services or abstract subject procured from different sources are judged and analyzed for their definition, workability, properties and usage, Apart from this, the prices or cost of the item are also considered.
Comparison helps in estimating the quality of good and whether they should be employed for use or not. In some cases, the limitations of the goods can also be compared to identify the loop holes and shortcomings of the item.
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Perpetual preferred stock from Franklin Inc. sells for $97.50 per share, and it pays an $8.50 annual dividend.If the company were to sell a new preferred issue, it would incur a flotation cost of 4.00% of the price paid by investors.What is the company’s cost of preferred stock for use in calculating the WACC?
Please show all calculations, step by step.
The right answer is B) 9.08%.The value of desired stock to a business enterprise is effectively the price it pays in return for the earnings it gets from issuing and selling the stock.
In other words, it is the amount of money the organization can pay out in a 12 months divided through the lump sum they bought from issuing the stock.
Do desired stocks fee more?Preferred stocks pay a consistent circulate of earnings that is decrease however extra secure than common stocks' dividends. Preferred shares value companies more, so they are extra probable to be recalled if the market sends inventory expenditures soaring.
These dividends are now not tax deductible, so the cost of desired inventory is usually greater than the price of debt – for which pastime repayments are tax deductible. The price of favored inventory is typically much less than the cost of common stock, for which buyers demand an even greater return on investment.
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https://brainly.com/question/28168258#SPJ4Based on the information in this memo, what kind of company is this? how do you know?.
Mrs. Bartola will draft the following documents: A note to all employees inviting her to Christmas dinner.
The required details for memo in given paragraph
A note is a short note written to remind someone of something. In many cases, this note is written to remind the author of something. The note is small. A common size is about 8×8 cm. Because many notes are so small, small notes are soon called notes (cow-animal relationship). The best-known notes are small yellow square notes that can be attached anywhere with an adhesive strip on the back (Post-it). Memo is a modern word from the English language. The "old" word for note is scribble.
The word derives from the Italian scartabello or cartabello (book or register) and is still widely used, especially in Flanders. The word is written without the intervening n, in contrast to the eponymous catbell.
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Complete question
Read the following document and answer the question that follows.
Based on the information in the memo, which one of the following documents would you expect Ms. Bartola to write?
a business letter welcoming the new vice president of sales
an e-mail inquiring about the expected shipment date on new chair runners
a procedure manual for all company employees
a memo to all staff inviting them to attend a holiday luncheon
Comparison Discounting
Comparison discounting is a tool used to motivate customers to purchase a product or service from a company.
It involves offering a lower price than the competition, either through a percentage off or a fixed dollar amount. This encourages customers to purchase from the company instead of the competition, as they are receiving a better value for their money.
Comparison discounting can be used in a variety of different ways, such as offering a price match guarantee or providing a loyalty program. It can also be used to target specific customers, such as those who have purchased from the company before or those who have been recommended by a friend.
Comparison discounting is a great way to encourage customers to purchase from a specific business, as it gives them the incentive to do so.
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What are the 3 most common barriers to international trade?
The three common barriers to international trade are natural barriers, tariff barriers, and non-tariff barriers.
A government-imposed restriction on the movement of commodities or services across borders is known as a trade barrier. These limitations are sometimes overt, but they are mostly covert and undetectable. Geographical factors like mountains and oceans that can make transportation difficult and expensive are examples of natural obstacles to international trade.
Government-imposed levies known as tariffs are levied on imported goods, raising their cost to domestic consumers. Nontariff barriers can make it difficult for foreign businesses to access a nation's market through rules, standards, and other policies. These may consist of tariffs, quotas, and other trade-restrictive policies. In general, the numerous trade barriers put in place by countries to safeguard home businesses and markets are the main roadblocks to international trade.
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Two consumers borrowed $10,000 for five years. Bob has a credit score of 650 and has an interest rate of 11. 5%, while tyree has a credit score of 710 and has an interest rate of 8. 0%. What will be the total difference between what the two men pay?.
Two consumers borrowed $10,000 for five years. The total difference between what the two men pay is $1030.20.
Bob= 219.93*60 = $13195.80
Tyree= 202.76*60 = $12165.60
Total difference= $13195.80 - $12165.60 = $1030.20
What is a credit score?
A credit score is a numerical expression used to quantify a person's creditworthiness. It is based on a level analysis of their credit files. The main component of a credit score is a credit report, which is normally obtained from credit agencies.
How are credit scores determined?
This is determined by the total amount you owe, the variety and quantity of accounts you have, and the ratio of your debt to your available credit. Smaller amounts may boost your credit score if you make on-time payments, but larger balances and maxed-out credit cards will lower it.
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A knowledge problem exists when
the information available to a decision—maker is not accurate and based on opinion.
the information needed to make a good decision is not available to a decision-maker.
a decision-maker refuses to believe or make use of available informalion.
So much information is available to decision—makers that it is difficult to process all the relevant information.
A knowledge problem exists when So much information is available to decision—makers that it is difficult to process all the relevant information.
What kind of decision may be made when the issue at hand is unclear, the knowledge needed to predict the outcome is lacking, and the options are hard to define?The most difficult scenario to make a judgment in is one of ambiguity. Ambiguity refers to the lack of clarity in the objectives to be met, the nature of the issue to be resolved, the solutions accessible, and the availability of information regarding the results.
When a decision-maker has little knowledge of the options accessible to them but a solid understanding of the outcomes that are likely to result from each one, what is the condition of?The decision-maker has limited knowledge of the available alternatives but has a good sense of the likelihood of specific outcomes for each alternative, which is a characteristic of decision-making under risk. As a result, choice (c) is accurate.
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the two types of assignments are
The two types of assignment are Collateral (partial), and Absolute (entire face amount).
Which does collateral mean?valuable property owned by a borrower, which the borrower acknowledges will pass to the lender (i.e., the person or company who lends the money) if the debt is not repaid: For the loan, she pledged her property as security.
What is a collateral example?Mortgages – When you take out a mortgage, you frequently use the house or other real estate you buy as security. Car loans – When you obtain a car loan, your new vehicle is often put up as collateral. Credit cards that are secured by a cash deposit serve as the card's security.
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What are 5 things that affect your credit score?
Your payment history, the total amount of debt you owe, the length of time you've had credit, the sorts of credit you've recently utilized, and your credit history are the main elements that determine your credit score. Your score gives varying weights to each factor.
How does a credit score operate and what is it?
A consumer's creditworthiness is indicated by a credit score, which ranges from 300 to 850. A borrower will appear better to potential lenders if their score is higher.
A credit score is based on a person's credit history, which includes the number of open accounts, total amounts owed, payment history, and other elements.
What is a good credit score?
Although ranges differ based on the credit scoring algorithm, credit scores generally between 580 and 669 are regarded as fair; 670 to 739 are considered good; 740 to 799 are considered very good; and 800 and up are considered excellent.
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___are the people who work to produce goods and services, and they are invaluable to a company.
Producer is the one who combines capital and labor to generate things or services for profit. To materialize their idea, an entrepreneur establishes a business.
What is goods and services in business?A service is a task carried out for the benefit of the client, whereas a good is a tangible object sold to the customer. Vehicles, home furnishings, and apparel are a few examples of products. Services like consulting, cleaning, and legal guidance are a few examples.
What are types of production?Different production methods. There are five primary types of production: mass production, batch production, job production, just-in-time production, and flexible manufacturing system.
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A combined cash budget includes all of the following except
A. projected cash balance at the end of the month.
B. projected borrowings and repayments.
C. projected cash collections and cash payments.
D. All of the above are shown on the combined cash budget.
A combined cash budget consists of everything below with the exception : On the total cash budget, everything mentioned above is displayed.
In a combined cash budget, which of the following would not be present?Non-cash items like depreciation, inventory adjustments, and accounts receivable/payable changes are not included in the cash flow budget.
In a cash budget, which of the following items is present?A cash budget should account for both anticipated cash flows, such as revenue, and operational outflows, such as returns, payroll, rent, utilities, supplies, and other operating expenses.
Which department is absent from the cash budget?Investments are not included in a cash budget; instead, it contains income (cash receipts), expenses paid (cash payments), and loan receipts and payments (financing).
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What are the four causes of desertification?
Climatic variations and human activities can be considered as the four main causes of desertification.
The removal of natural vegetation cover taking to firewood,agricultural activities in vulnerable ecosystems in arid and semi-arid zones,which are under pressure beyond their capacity.Overgrazing is the main cause of desertification worldwide.Other factors causing desertification include urbanization,climate change, excessive use of groundwater deforestation, natural disasters, and tillage practices in agriculture that make soils more vulnerable to wind. The classification system used in the preparation of continental desertification maps is based on four classes of desertification light,moderate,severe and very severe.Climatic variations and human activities can be considered the two main causes of desertification.Climate change,drought,moisture loss around the world are the reasons facing climatevariation.Overgrazing,deforestation, removal of natural vegetation cover,agricultural activities in vulnerable ecosystems in arid and semi-arid zones,which are under pressure beyond their capacity.
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What are the two main types of economic inequality?
The two primary categories of economic inequality that economists discuss are wealth inequality and income inequality. Income inequality is a measure of how much there are in-person pay differences between people.
What are the two types of economic inequality, and how do they differ?Technological advancement, globalization, commodity price fluctuations, and domestic economic policies like redistributive fiscal policies, labor and product market policies are some of the major causes of the rise in within-country income inequality noted in the literature.
Income inequality:
The extent of pay disparities between individuals is measured by the concept of income inequality. Income can refer to a person's wages as well as all of their other earnings, including rent and revenue from the sale of their business. Within nations, income inequality has increased over the past few decades.While average earners see their wages stagnating or rising at a slower rate, top earners continue to earn more money.Wealth inequality:
A small number of people own the majority of the world's possessions, which is measured by wealth inequality. Anything from houses and automobiles to financial assets and stock in corporations can be considered among this stuff. People can become "wealthier" without necessarily earning more money, for example, by owning assets like purchasing stock in a company or a home.To know more about the economic inequality, here
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What will be the effect of excess demand and excess supply on equilibrium price and quantity explain the chain effect?
Excess supply decreases the price, as the price decreases, the supply also decreases. Excess demand raises price, and as price increases, the demand decreases.
When demand changes, the equilibrium price and quantity both shift in the same direction.
A decrease in demand reduces the equilibrium price and quantity of a good. When demand falls, excess supply develops at the initial price.
Excess supply causes price to fall, and as prices fall, producers are prepared to supply less of the commodity, resulting in lower product quantity.
A rise in demand increases the equilibrium price and quantity of a good. As demand rises, excess demand develops at the initial price. An Excess in demand raises prices, and as prices rise, producers are ready to sell more, increasing output.
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Does contractionary fiscal increase demand?
Contractionary fiscal policy lowers the level of aggregate demand, either through cuts in public spending or increases in taxes.
Fiscal policy that increases aggregate demand directly through an increase in government spending is generally called expansionary or loose.By contrast,fiscal policy is often considered contractionary or tight if it reduces demand through lower spending.The use of fiscal policy to contract the economy by decreasing aggregate demand, which will lead to lower output,higher unemployment,and a lower price level.Instead,they may resort to contractionary fiscal policy tools, such as raising taxes or reducing public spending or government transfers.Increased consumption spending by consumers and investment spending by businesses increases the overall demand for goods and services in the economy.Aggregate demand increases when the components of aggregate demand increase,including consumption spending,investment spending,government spending,and spending on exports minus imports.
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The source for crowdsourcing is most often
a. the internet and social media
b. boards of directors
c. executive advisory Council
d. professional associations
Option (a), Most frequently, the Internet and social media are the source for crowdsourcing.
Crowdsourcing: where does it come from?Crowdsourcing is the practice of acquiring information, opinions, or creative work from numerous people, usually online.
What does crowdsourcing on social media involve?Getting information, goods, or services from a large group of people is referred to as crowdsourcing. These people offer their ideas in response to online requests made through social media, smartphone apps, or particular crowdsourcing platforms.
What are the media's benefits from crowdsourcing?When used appropriately, crowdsourcing on social media can be a useful method for performing customer research. It can provide you with helpful information on how to enhance a variety of aspects of your business, including marketing, sales, and customer service.
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Which one is the factor that must be considered in identifying the goodsor services to produce?a required quantityb. product descriptionc. priced. availability of resources
A factor market is a resource for companies to buy what they need to produce their goods and services.
What would you say is a market?A market is defined as the total number of purchasers and sellers in the region or area under examination. The region can represent the entire planet, as well as certain states, provinces, or cities. Items traded are valued, costed, and priced in accordance with market forces of supply and demand.
What is market definition crucial?The appraisal of mergers and the majority of antitrust lawsuits begins with the characterization of the market. It aims to outline the parameters of intercompany competition.
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Which describes an investor’s primary goal of buying a loan? to grow a business to earn a profit off the interest to bolster the economy to provide capital to a business
The statement that best describes an investor's primary goal in buying a loan is to earn a profit off the interest. Hence, the correct option is (B).
What Is An Investor?Investors are one of the important elements in a company where investors are basically a person or an organization that puts money into a financial instrument with the hope of benefiting from that decision. One form of financial instrument that can be used as an investment is a loan. When an investor buys a loan, the main goal is the profit that can be obtained from the interest rates on the loan.
The question is incomplete, but most probably your question was:
The statement that best describes an investor's primary goal in buying a loan is
A. To grow a business
B. To earn a profit off the interest
C. To bolster the economy
D. To provide capital to a business
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Answer:
to earn a profit off the interest
Explanation:
This is typically done by lending money to a borrower at a higher rate of interest than the investor is paying on their own borrowing or invested capital, with the hope of earning a positive return on their investment over time. The key motivation behind this type of investment is to generate a return that is greater than the cost of the funds used to make the investment, so that the investor can earn a profit.
What a credit report is and what information it contains?
An overview of your credit history, including the types of credit accounts you've held, your payment history, and some other details like your credit limitations, can be found in your credit report.
What is included in a credit report?It includes the consumer's name, address, and additional personally identifying data, such as their date of birth and PAN card number. It provides a complete record of the consumer's credit information (type of borrowing, date of loan, current balance, payment history, any recorded defaults etc.)
Personal data, credit account history, credit inquiries, and public records are all included in your credit report. Your creditors and lenders will submit this information to the credit bureaus. Much of it is used to determine your FICO® Scores, which are used to tell prospective lenders how creditworthy you are.
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Malcolm wants to make a deposit into an account that earns interest. He wants to be able to access the money on a limited basis. What type of account should he not consider?.
The type of account that should not Malcolm consider is saving account. It happen if Malcolm wants to access the money on a limited basis.
In accounting, A savings account generally can be defined as a deposit account that generally earns higher interest than an interest-bearing checking account. The work principle of savings accounts is by limit the number of withdrawals that we can make from the account each monthly statement cycle or also certain types of transfers. So that, based on the question above, if Malcolm did not want to has a limit basis, he should not consider to saving account.
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At which point does crashing of a project cease?
If the cost of the crash is equal to or greater than the profit from the crash.
What is the project crashing?No matter how much time and care you put into planning your project, roadblocks can occur and delay its completion. This is where the project crashes. A project clash in project management is a method used to shorten a project's schedule by adding resources without changing the scope of the project.
Crashing project management activities can result in the need to add staff to complete tasks faster or pay a premium for faster results. Consider a simple example of a project crash. Your team is tasked with publishing a magazine to mark the company's 50th anniversary, but delays in editorial approval have caused the project to fall behind.
To ensure that you get the magazine by the anniversary celebration, which is an unchangeable element of the project scope, you decide to pay the printer an express fee. This project's crash step helped me meet an immovable deadline, but it also increased the project's budget.
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aggregate output is the primary measure of the economy's ______.
The main indicator of the economy's overall output of goods and services is aggregate output.
The definition of agglomerated outputAggregate output refers to the overall volume of goods produced and supplied within the economy during a given time frame. Aggregate income is the total revenue received by all sectors of the economy's production during a particular time frame.
What are the commodities and services that the economy produces?A unit of output is the total quantity of goods or services produced over a specific period of time (for instance, a year). The quantity of a single good that a company produces during a predetermined time frame, such as a month or a year, is referred to as its output.
What quantifies economic output?The term "gross domestic product," or "GDP," is a commonly used indicator that refers to the total gross value added by all resident producers in the economy. Economic growth is measured by the change in the GDP at constant prices.
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During a thunderstorm at a sports event, a detector goes off to let participants know there is lightning in the area so people can seek shelter. The accuracy of the lightning detector is summarized in the table. Lightning detector activates lightning detector does not activate row totals lightning in area 88% 2% 90% no lightning in area 7% 3% 10% column totals 95% 5% 100% what is the ratio of true negatives to false negatives in this scenario? round your answer to one decimal place. 0. 7 1. 5 3. 5 12. 6.
The ratio of true negatives to false negatives in this scenario will be 12.6 with the accuracy of the lightning detector.
What is a lightning detector?A lightning detector is a tool used to find thunderstorm-produced lightning. There are three main categories of detectors: terrestrial systems utilising several antennas, mobile systems using a direction and sense antenna in the same place (typically on board an aircraft), and space-based devices. Ground-based and mobile detectors use radio direction-finding methods and an analysis of the distinctive frequencies emitted by lightning to determine the direction and intensity of lightning from the current location. Mobile systems estimate distance using signal frequency and attenuation whereas ground-based systems use triangulation from numerous locations. Direct observation of lightning can be utilised to determine the range, bearing, and intensity using space-based detectors aboard satellites.
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What are the 3 factors that influence the time value of money?
Risk and uncertainty are the two reasons why money has time worth. Future is always hazardous and unclear. Money obtained today has a higher purchasing power than money that will be received in the future in an inflationary economy. Consumption: Possibilities for investment
Money is any tangible item or verifiable document that is regularly accepted as payment for goods and services as well as the settlement of debts, such as tax obligations, in a particular country or socioeconomic environment. Money functions as a store of value, a unit of account, a means of exchange, and occasionally as a norm for deferred payment. These are the four main goals of it. Money was historically an emergent market phenomenon because nearly all contemporary monetary systems are based on unbacked fiat money that has no inherent value as a commodity. Being acknowledged as legal tender by a governing body or regulatory body necessitates acceptance as a form of payment for "all" purposes inside the country's borders.
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What happens to mortgaged property in monopoly when you lose?
If the new owner does not pay off the mortgage, the interest must still be paid.
How do you get mortgaged property back in Monopoly?The bank will then put the property up for auction if the player declares bankruptcy to the bank. If your mortgage payment is not made, the property is foreclosed upon, and the mortgage holder sells the property to try to make a profit.
If you have a mortgage on a piece of property, you also transfer ownership to your creditor, and the new owner is responsible for paying the Bank the interest due on the loan, which is 10% of the property's value, immediately. The interest still needs to be paid if the new owner doesn't cancel the mortgage.
The owner must pay the bank the sum of the mortgage plus 10% interest before the mortgage can be lifted. A color-owner group's may start purchasing homes at full price after all of the properties in the group are free of mortgages.
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What is an example of credit score?
The credit score has a well-known example of the type of credit score which is an FICO scores.
The credit score is the term which is defined as the numerical expression which is used to credit files level analysis and represents to the customer or client.
Example of credit score is the FICO scores which is defined as the most well-known types of credit score are FICO Scores which is created by the Fair Isaac Corporation. It is usually used by many lenders, and often range from 300 to 850. If the FICO Scores of 670 or above is considered a good credit score, while a score of 800 or above is considered exceptional.
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What can I use to file my taxes?
IRS Free File is a famous application that is used to complete and submit your federal income tax return in an online manner helping in utilizing Free File Fillable Forms, IRS Part-ner Sites, or assisted tax preparation.
It's secure, simple, and free for you to file a federal return.This year, we rate Tur-boTax, H&R Block, Cas-h App Taxes, Jack-son Hewitt, and TaxS-layer. The best businesses offer drop-off, in-person, and mobile tax apps that could simplify your tax filing. Online tax filing is a secure and safe way to send your taxes. Because your online return is submitted utilizing encryption and does not pass through human hands, it is more secure than returns that are mailed. Many online tax software providers provide free tax filing through the IRS Free File program.To know more about Tax here
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What is the Legislative Branch for the state government called?
The Legislative Branch for the state government is called as the Congress. The Legislative Branch tends to consist of the House of Representatives and the Senate.
Established by the Article I of the Constitution, the Legislative Branch tends to consist of the House of Representatives and the Senate, which together form the United States Congress. So, the Constitution tends to grant the Congress the sole authority to enact legislation.
However, the first step in the legislative process is seen to be the introduction of a bill to Congress. Thus, anyone can write it, but only members of Congress can introduce the legislation.
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Consider the following projects:
Cash Flows ($)
Project C0 C1 C02 C3 C4 C5
A -1,000 +1,000 0 0 0 0
B -2,000 +1,000 +1,000 +4,000 +1,000 +1,000
C -3,000 +1,000 +1,000 0 +1,000 +1,000
a.If the opportunity cost of capital is 10 percent, which projects have a positive NPV?
b.Calculate the payback period for each project.
c.Which project(s) would a firm using the payback rule accept if the cutoff period is three years?
d. Calculate the discounted payback period for each project.
e. Which project(s) would a firm using the discounted payback rule accept if the cutoff period were three years?
The quantity of money coming into and going out of a business is represented by its cash flow, which is a metric of its financial performance.
How Does Cash Flow Work?The quantity of money coming into and going out of a business is represented by its cash flow, which is a metric of its financial performance. A company's ability to pay its debts, invest in its future, and make a profit depends on this crucial indicator for gauging the health of its finances. Cash flow is measured by deducting cash inflows from cash outflows, which include wages, taxes, and payments to suppliers (such as revenue, investments, and loans). A company with positive cash flow is making more money than it is spending, whereas one with negative cash flow is spending more than it is making.
Which projects have an increased net present value (NPV) if the opportunity cost of capital is 10%?
The NPV is favorable for projects B and C.
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If $6200 is invested in a savings account for which interest is compounded semiannually, and if the $6200 turns into $7100 in 3 years, what is the interest rate of the savings account?.
4.57% is the interest rate of the savings account
What is the interest rate?
While a fee on profits is not always favourable, everyone values money in any form. Interest is money that is made on money that is used by the person holding it.
The amount that the lender charges the borrower over and beyond the principal amount is referred to as the interest rate. A person who deposits money in a bank or other financial institution also gets additional income in terms of the recipient, known as interest, taking into account the time value of money.
Interest rates on loans and deposits may vary depending on the goal and recipient of the funds.
Given: P = $ 6200
T = 3 year
A = 7100
We have to find rate when compounded semi-annually.
let's say Rate is R
The formula used for Compound interest is given as
[tex]A= P * (1 + \frac{R}{100} )^n[/tex]
here it becomes
[tex]A= P * (1 + \frac{\frac{R}{2} }{100} )^2^n[/tex]
[tex]7100= 6200 * (1 + \frac{R }{200} )^6[/tex]
[tex]\frac{7100}{6200 }^\frac{1}{6} = (1 + \frac{R }{200} )[/tex]
1.02284 = 1+ R/200
0.02284 = R/200
R= 4.568%
or 4.57%
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