If the accumulated amount is P7500 at 9% compounded monthly. Calculate the principal amount after 2 yrs.

Q: How can I maximise my return on investment with a balanced scorecard?v

A: The Balanced Scorecard is a strategic management tool that helps businesses align their goals and…

Q: could you list the name of the recommended strategy as long call, write call, long put, or write…

A: Option strategies help to protect from any potential risk to be resulted from the movement of the…

Q: Explain the benefits of supply-chain analysis.

A: In supply chain analysis, every stage of a supply chain that includes the purchase of raw material,…

Q: Set up and solve the following simple linear optimization model: MAX 3.4x + (-2.2)y subject to: 2x +…

A: The objective of the question is to find the optimal solution for the given linear optimization…

Q: What is a yield curve, and what information would you need todraw this curve?

A: Yield curve: It could be a line plotting bond yields (coupon rates) of comparative credit quality…

Q: Explain an example of payback how to calculate.

A: A payback period is the amount of time needed to earn back the cost of an investment. The length of…

Q: A project's terminal value is the ______.

A: A project's terminal value is the sum of the future values of the cash inflows compounded at the…

Q: Des the  Initial project screening by the payback method reduce the information search? How?

A: It refers to the time period that is required to get an amount invested in a project with some…

Q: (Figure: Market for a Network Good 2) The graph depicts the market for a network good. What point…

A: Tipping point is a critical point in situation or process beyond which significant and unstoppable…

Q: Explain the decision rules of NPV, IRR, and BCR. Which one you think is important for project…

A: Net Present Value (NPV) is referred to as the difference between the PV of cash inflows as well as…

Q: Give A Graphic Illustration of Present Value?

A: Present value refers to the current value of a future expected sum of money or an asset or a stream…

Q: can you solve the apr and effective rate without excel ?

A: Solution:- When an equal amount is paid each period, it is known as annuity. We know, present value…

Q: b) What are the three models proposed as extensions of the GARCH model? Describe their advantages…

A: The auto regressive heteroskedasticity (GARCH) plan is a technique for predicting financial market…

Q: Explain the logic behind creating “spreads” with options.

A: The question is based on the concept of financial and investment strategy to either maximize return…

Q: what is meant by the required rate of return

A: The return which is expected to be earned by investing in a security is known as Required Rate of…

Q: Can you show how the NPV for project B was calculated.  Still need to understand how answer was…

A: Net present value is the net value added by a certain decision. It is the difference between the…

Q: Please write out the steps in excel to calculate present value and future value and explain why we…

A: Present values and future values are both based on time value of money. To compute the present value…

Q: How can we calculate the Rate-of-Return with Excel?

A: The question is based on the concept of calculation of rate of return (ROR), (ROR) is percentage…

Q: Identify a value adding activity from twitch value chain and explain why you believe it's adding…

A: A VALUE -ADDED activity is any action taken that increases the benefit of a good or Service's to a…

Q: The IRR of the project is _____ %?

A: IRR refers to the internal rate of return.   It is the rate at which NPV of a project is nil.

Q: Describe the potential costs and benefits of LBOs?

A: LBO is the acquisition method where the company used to use the borrowed money in order to acquire…

Q: How can we compute the mean return for each project?

A: Mean return refers to the average return that a number of projects of a company earns on an average.…

Q: Critically evaluate the payback technique.

A: The payback technique is a simplistic approach that can easily tell in how much time the invested…

Q: Most of Al algorithms need to be trained before using. A regular training process which is repeated,…

A: The correct answer is: (A) Iterative  Iterative training is an iterative process in which a machine…

Q: Explain expected rate of return

A: Return: Return is defined as the money attained or lost on an investment through certain time…

Q: Describe the Methods for Finding Rate of Return?

A: Capital budgeting is the process a company follows to decide whether to purchase a fixed asset or…

Q: 3. Please, explain (with an example for each) ... a real world situation, where Future Value and…

A: Present value : It is the current value of future  cash flows i.e., how much the future sum of money…

Q: Explain normal rate of return.

A: Rate of return: Rate of return is the return on investment. it might be a loss or profit on an…

Q: Could you show how to find the internal rate of return IRR using excel and the payback period for…

A: IRR represents the rate of return that makes the project's net present value equivalent to zero.

Q: Explain realized rate of return

A: The return generated by an investment is any asset class is the normalized rate of return. When the…

Q: Outline the rules for identifying the optimal transfer price.

A: Transfer pricing:- Transfer pricing is considered as the value that is attached to those goods and…

Loanable Funds Theory

The loanable funds theory is a neoclassical theory that determines the interest rate where the demand for loanable investments and supply of loanable funds intersect. To determine the interest rate, this theory employs linear regression and a demand curve. At the equilibrium point, demand for borrowings and demand for the issuance of borrowing funds are inextricably linked. This point of equilibrium should equalize demand and the supply of money available for borrowing.