Q: How can the annual effective yield be calculated?
A: The interest rate attracts the consumers towards the investment or deposit in the economy. In this…
Q: xplain the importance of investing early
A: Investing can be defined as the act of resource allocation, mainly money, with the expectation or…
Q: Which are the Decision Rule for Simple Investments?
A: Answer - Simple Investment - Investment which an individual do into there day to day life like…
Q: What are the factors affecting a family's desire to have children? Discuss each.
A: Under development economics, we see there are a lot of factors that affect the decision to have…
Q: Define the term an amortized loan?
A: An amortized loan is a form of loan with scheduled, regular payments that relate to both the…
Q: What did Frederick Engels believe about the family and society
A: A society is a group of people who interact with one another on a regular basis, or a large social…
Q: How can the future worth be calculated?
A: The present worth method or the Net present value method is an important method used for determining…
Q: What is net worth?
A: ANS Net worth (NW) is the value of an asset after deducting the liabilities. It is what we own minus…
Q: Interest Rate R Investment
A: The Keynesian economics would result in the demand side economics which determines the equilibrium…
Q: When does the discounted payback period occur?
A: The discounted payback period (DPP) is the length of time it takes (in years) for a project's…
Q: Explain what is trade in contingent claims and how can it help
A:
Q: A man, pondering of retirement, determined that 300,000/year will be sufficientfor him to live…
A: With a perpetuity, Present value = Annual cash flow / Annual interest rate
Q: 1. Differentiate inside and outside view in investing. Give a scenario where they are usually…
A: Before investing, investors look up certain possibilities regarding what their investment can yield…
Q: If Charlie invests $50,000 in a cheese company today and is offered a 5% interest rate. How much…
A:
Q: Dennis is planning to invest his money to earn more. He is willing to take a little risk by buying…
A: Dennis is want to buy income earning assets and he is ready to bear less risk . Then following…
Q: What is the process of Calculating the Return on Invested Capitalfor Mixed Investments?
A: Investment: The term investment refers to the employment of funds with the motive of getting…
Q: 43. Explain the importance of investing early.asap
A: Investing can be defined as the act of resource allocation, mainly money, with the expectation or…
Q: What is the Decision Rule for simple Investments?
A: In a simple investment, cash flows change sign only one time. For example, negative cash flow in the…
Q: Which of the following is not something you need to invest for? college education retirement house…
A: Investment is a part of wealth creation which helps us to fulfill our financial goals and to secure…
Q: Ultimately what action would you recommend the company undertake?why?
A: If the company is going to shut down,ultimately it will try to decrease cost and think of raising…
Q: How can we use the capital recovery factor?
A: The capital recovery factor (CRF) is a type of ratio which is used to calculate the present value of…
Q: What do you mean by "term spread" ?
A: Different terms are used in economics or finance to indicate the difference between two prices, ask…
Q: Why does the end user matter in counting something as a final good ?
A: Final goods are those that were given to the consumers for final consumption.
Q: Distinguish between Simple investments and Nonsimple Investments?
A: The investments are an important factor for the growth of the economy which cannot grow without the…
Q: Explain the term Present Value of Perpetuities?
A: Answer - Present Value of Perpetuities - It is the cash flow which continue indefinitely. It is…
Q: What does the capital-recovery ( CR ) cost mean?
A: The amount of fixed cost incurred on the purchase of capital goods, such as land, building,…
Q: Before investing, what are the factors that should take into considerations in order that the…
A: Draw a private financial roadmap: the primary step to successful investing is determining your goals…
Q: Discuss the importance of long range planning for retirement
A: Financial planning is highly important in order to determine the financial independence of the…
Q: A worker with an annual discount rate of 8 percent currently resides in Nigeria and is deciding…
A: Given, The discount rate = r = 8% or 0.08 The number of periods = t =3 Earning per worker in…
Q: Differentiate between Pure and Mixed Investments?
A: There are two types of cash flows: simple and non-simple. The non-simple cash flows are when the net…
Q: How do interest rates and raising capital like bonds help the "postcapitalist" society?
A: International exchange entails more than just the movement of goods and services across borders;…
Q: Would you take stock options in lieu of a higher salary?Why or why not?
A: Stock options granted by the employer to the employee enable them the right to purchase a certain…
Q: Explain Present-Worth Analysis?
A: Present worth analysis is an equivalence technique of analysis in which cash flow of a project are…
Q: What is dividend income?
A: Dividend: It refers to the money paid to the shareholders of the company out of the companies…
Q: Warren Buffett’s 7 principles to investing
A: Business is important all around the world. For the functioning of business, four factors of…
Q: Differentiate between Pure and Mixed Investments with examples?
A: Investment: The term investment refers to the current forgone consumption that is used to generate…
Q: If you were a sole proprietor and had annual profits of $100,000, how would the profits be…
A: Sole proprietor means that the entire business is controlled by single person.
Q: What is present worth
A: Investment is the process of adding to the stock of capital assets with the expectation of getting a…
Q: Why is it important to use Cash Flows in Economic Analysis?
A: The cash flow can be defined as the total volume of money which is transferred in and out of…
Q: Why Do We Need to Use Cash Flows in Economic Analysis?
A: Cash flow is the movement (inflow and out flow) of cash or amount of cash that received or spend…
Q: A company has an investment project that would cost $10 million today and yield a payoff of $15…
A: Given: Initial investment = $10,000,000, Future Value (FV) = $15,000,000, time (t) = 4 years The…
Q: Tell about the related diversification
A: A most prominent differentiation among the various forms of diversification is related…
Q: What is the future worth of a series?
A: Future value (FV) is a calculation of the value of a series of recurring payments at some point in…
Q: What is the importance of investing or saving?
A: Saving refers to a part of income that is not used for the consumption of goods and services. The…
What is Net-Present-Worth Criterion?
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