The price of a new car is $16,000. Assume an individual makes a down payment of 25% toward the purchase of the car and secures financing for the balance at the rate of 8%/year compounded monthly. What monthly payment will she be required to make if the car is financed over a period of 36 months? What will the interest charges be if she elects the 36-month plan? Round your answers to the nearest cent. R = $376.04; interest charges = $1,537.44 = O R = $399.57; interest charges = $1,537.44 O R = $376.04; interest charges = $1,501.60 = O R = $399.57; interest charges = $1,501.60

Answers

Answer 1

The correct values are:

Monthly payment = $376.04

Interest charges = $1,537.44

To calculate the monthly payment and interest charges, we can use the formula for the monthly payment on a loan:

M = (P * r * (1 + r)ⁿ) / ((1 + r)ⁿ - 1),

where:

M is the monthly payment,

P is the principal amount (balance after the down payment),

r is the monthly interest rate, and

n is the number of monthly payments.

Let's calculate the values step by step:

Calculate the down payment:

Down payment = 25% of $16,000 = 0.25 * $16,000 = $4,000.

Calculate the principal amount:

Principal = Total price - Down payment = $16,000 - $4,000 = $12,000.

Calculate the monthly interest rate:

Annual interest rate = 8% = 0.08.

Monthly interest rate = 0.08 / 12 = 0.0066667 (rounded to 7 decimal places).

Calculate the number of monthly payments:

Number of monthly payments = 36.

Calculate the monthly payment (M):

M = ($12,000 * 0.0066667 * (1 + 0.0066667)^36) / ((1 + 0.0066667)^36 - 1) = $376.04 (rounded to the nearest cent).

Calculate the interest charges:

Total amount paid over the loan term = M * Number of monthly payments = $376.04 * 36 = $13,537.44.

Interest charges = Total amount paid over the loan term - Principal = $13,537.44 - $12,000 = $1,537.44.

To know more about interest charges, refer to the link below:

https://brainly.com/question/28215748#

#SPJ11


Related Questions

Which of the following techniques is NOT a technique for dealing with a​ bottleneck?
A. Schedule throughput to match the capacity of the bottleneck.
B.Have​ cross-trained employees available to keep the constraint at full operation.
C. Develop alternate routings.
D. Increase the capacity of the constraint.
E. All are techniques for dealing with bottlenecks.

Answers

D. Increase the capacity of the constraint is not a technique for dealing with a​ bottleneck.

When dealing with a bottleneck, it is important to remember that increasing the capacity of the constraint is not necessarily the best solution.

There are other, more effective techniques to help manage bottlenecks and optimize a system’s performance, such as re-balancing workloads, reorganizing processes, and utilizing automation.

The right solution will depend on the specific bottleneck and the system dynamics, but it is important to consider all of the options before committing to a strategy.

One way to address a bottleneck in your business is to increase the capacity of the constraint.

To learn more about bottleneck, click here:

https://brainly.com/question/13302820

#SPJ4

An income statement reports information over a period of time, indicating the financial progress of a business in earning a net income or net loss. (PG 182)

Answers

Answer:

True

Explanation:

An income statement is among the three important financial statements that a business prepares at the end of every financial year. It is divided into three main sections of revenues, expenses, and income.

The revenue section lists all sources of revenues and any adjustments to obtain the net revenue. The expenses section shows all business expenses and their total. The income section is the difference between revenue and expenses. A positive income means the made profits, while a negative income indicates losses.

What is MOST likely TRUE about intellectual property?

A.
It can be a tangible asset.
B.
It is impossible to steal.
C.
It can be invisible.
D.
It does not affect a company’s profits.

Answers

Answer:

The answer is most likely...

A. It can be a Tangible asset

Explanation:

Sorry I was late :l

When sierra thinks about Chick-fil-A, she Emily thinks about the high-quality chicken that she last ate there, served hot and fresh by fast and friendly employees. Next, she recalls the clever cows that she is used to seeing on local billboards and in stores or promote the brand. The _____________ of the Chick-fil-A brand is firmly established in her mind, based on how the brand communicates with her and ultimately provides a positive experience.
a) Targeting
b) Segmentation
c) Equity
d) Positioning
e) Loyalty

Answers

Answer:

Positioning

Explanation:

1. Four electricians are discussing special requirements for health care facilities. Electrician A says that a nursing home is required to include an emergency system circuit. Electrician B says that GFCI outlets are required in the bathroom area of some critical-care patient rooms. Electrician C says that a nursing home is not required to include an emergency system circuit. Electrician D says that GFCI outlets are required in the bathroom area of the critical-care patient rooms. Which of the following statements is correct?

A. Electrician C is correct.
B. Electrician A is correct
C. Electrician D is correct
D. Electrician B is correct.

2. Four electricians are discussing wiring under raised floors in information technology equipment rooms. Electrician A says that wiring under the raised floor requires fire-resistant walls, floors, and ceilings between other occupancies. Electrician B says that wiring under the raised floor requires fire resistant halfway up the walls and floors between other occupancies. Electrician C says that the room must employ a disconnecting means that removes half of the power to all equipment in the room. Electrician D says that a disconnecting means isn't necessary for the room. Which of the following statements is correct?

A. Electrician B is correct.
B. Electrician C is correct.
C. Electrician D is correct.
D. Electrician A is correct.

3. Five electricians are discussing grounding. Electrician A says that 6" of an 8' rod or pipe electrode is allowed to extend above the finished grade. Electrician B says that a "made" grounding electrode constructed from copper rod that’s 5/8" in diameter and 100" long is acceptable per the NEC. Electrician C says that 6" of a 16' rod or pipe electrode is allowed to extend above the finished grade. Electrician D says that a "made" grounding electrode constructed from copper rod that's 5/8" in diameter and 50" long is acceptable per the NEC. Which of the following statements is correct?

A. Electrician C is correct.
B. Electrician B is correct.
C. Electrician D is correct.
D. Electrician A is correct.

4. Where resistance to ground of a single-made electrode exceeds 25 ohms,

A. additional electrodes must be added until the resistance to ground is lower than 25 ohms.
B. the electrode can be omitted.
C. no additional electrodes are required.
D. one additional electrode must be added.

5. According to the NEC, what type of threadless connectors and couplings must be used with rigid metal conduit if installed in masonry?

A. Rain tight.
B. Concrete tight.
С. Weatherproof.
D. Wet/damp listed.

6. Four electricians are discussing NEC requirements for common appliances.
Electrician A says that new, cord-and-plug, single-phase room A/C units must have factory-installed LCDI or AFCI protection. Electrician B says that the cord for a household refrigerator must be visible and readily accessible to be used as a disconnect switch. Electrician C says that the cord and plug don't have to be new. Electrician D says that an old cord with a spliced new plug can be used. Which of the following statements is correct?

A. Electrician A is correct.
B. Electrician B is correct.
С.Electrician C is correct.
D.Electrician D is correct.

7. Four electricians are discussing switchboards and panelboards. Electrician A says that switchboards and panelboards must provide front and rear access to meet accessibility requirements. Electrician B says that unused circuit breakers mounted in a panelboard should not be identified on the circuit directory until they're actually connected for a circuit application. Electrician C says that switchboards can be installed in cabinets. Electrician D says that switchboards aren't intended to be installed in cabinets. Which of the following statements is correct?

A. Electrician C is correct.
B. Electrician D is correct.
C. Electrician A is correct.
D. Electrician B is correct.

8. Four electricians are discussing the installation of a luminaire in a clothes closet.
Electrician A says that because the clothes-hanging rod is located five inches from the ceiling, the light fixture that's to be mounted directly over the rod must be recessed.
Electrician B says that a surface-mounted incandescent fixture must be placed at least six inches from the storage area. Electrician C says that a surface-mounted incandescent fixture must be placed at least 12 inches away from the storage space. Electrician D says that a surface-mounted incandescent fixture must be placed at least nine inches away from the storage space. Which of the following statements is correct?

A. Electrician B is correct.
B. Electrician A is correct.
С. Electrician C is correct.
D. Electrician D is correct.

Answers

The correct options are

B. Electrician A is correct.

D. Electrician A is correct.

B. Electrician B is correct.

A. Additional electrodes must be added until the resistance to ground is lower than 25 ohms.

B. Concrete tight.

A. Electrician A is correct.

C. Electrician A is correct.

A. Electrician A is correct.

What are electricians?

Generally, An electrician is a skilled laborer who specializes in the electrical wiring of structures, transmission lines, stationary machinery, and other apparatus that is connected to the field.

Installing new electrical components, repairing and maintaining existing electrical infrastructure, and maintaining and repairing existing electrical infrastructure are all possible jobs for electricians.

Read more about electricians

https://brainly.com/question/27073052

#SPJ1

An example of fixed expense is:
a. Medical expenses
b. Gifts
c. Utilities
d. Mortgage
e. Recreation

Answers

An example of fixed expense is d. Mortgage. A mortgage is a that type of loan which is used to purchase or maintain any home or  land or other types of real estate.

Fixed expenses are recurring costs that do not vary from month to month and are essential for maintaining a household or business, such as rent or mortgage payments, insurance premiums, and car payments.

The borrower always  agrees to pay the lender an amount over time, generally in a series of regular payments which are divided into principal and interest. The property is then served as collateral to secure the loan.

The history of mortgages in the United States was very turbulent. Market disruptions which  arose from the Great Depression lead to the creation of government institutions which backed the mortgages.

The Home owners loan corporation, the federal national mortgage association and The federal housing administration  were some of the institutions which were formed as government institutions.

Visit here to learn more about Mortgage  : https://brainly.com/question/8084409
#SPJ11

chancellor limited sells an asset with a $1 million fair value to sophie incorporated. sophie agrees to make six equal payments, each to be paid one year apart, commencing on the date of sale. each payment includes principal and 6% annual interest. what is the amount of each annual payment?

Answers

To calculate the amount of each annual payment that Sophie Incorporated would make to Chancellor Limited, we need to first determine the total amount that Sophie would need to pay over the six-year period.

Using the 6% annual interest rate, we can calculate the interest component of each payment. For example, the interest component of the first payment would be 6% of $1 million, or $60,000. The remaining amount of the payment would go towards paying off the principal, which is the original value of the asset.

To determine the total amount that Sophie would need to pay over six years, we can add up the principal and interest components of each payment.

The formula for calculating the payment amount is:

PMT = PV * r / (1 - (1 + r)^-n)

Where PMT is the payment amount, PV is the present value of the asset (in this case, $1 million), r is the interest rate per period (6% divided by 1 year), and n is the total number of payment periods (6).

Using this formula, we can calculate that each annual payment that Sophie would need to make would be $212,744. This includes both the principal and interest components of each payment.

In summary, the amount of each annual payment that Sophie Incorporated would need to make to Chancellor Limited would be $212,744. This amount is calculated using the present value of the asset, the interest rate, and the number of payment periods.

to know more about  payment periods  click this link

rainly.com/question/30703528

#SPJ11

Airline Accessories has the following current assets: cash, $112 million; receivables, $104 million; inventory, $192 million; and other current assets, $28 million. Airline Accessories has the following liabilities: accounts payable, $118 million; current portion of long-term debt, $45 million; and long-term debt, $33 million. Based on these amounts, calculate the current ratio and the acid-test ratio for Airline Accessories. (Enter your answers in millions, not in dollars. For example, $5,500,000 should be entered as 5.5.)

Answers

Answer:

Current Ratio = 2.67

Acid-Test Ratio = 1.50

Explanation:

Given:

Current assets:

cash = $112 million

receivables = $104 million

inventory = $192 million

other current assets = $28 million

Liabilities:

accounts payable = $118 million

current portion of long-term debt = $45 million

Long-term debt = $33 million

FInd:

Current ratio

Acid-test ratio

Computation:

Current assets = Cash + Receivables + Inventory + Other Current Assets

Current assets = [112 + 104 + 192 + 28] Million

Current assets = $436 million

Current Liabilities = Accounts Payable + Current portion of Long term debt

Current Liabilities = [118 + 45] million

Current Liabilities = $163 million  

Current Ratio = Current assets / Current Liabilities

Current Ratio =  $436 Million / $163 Million

Current Ratio = 2.67  

Acid-Test Ratio = [Current Assets – Inventories] / Current Liabilities

Acid-Test Ratio = [$436 Million - $192 Million] / $163 Million  

Acid-Test Ratio = $244 Million / $163 Million

Acid-Test Ratio = 1.50  

100 POINTS PLEASE HELP!!! Designers consider both elements and principles of design when creating advertisement layouts. Research one element of design and one principle of design. Write a 5- to 10-sentence paragraph explaining how each might be used during the creation of an ad.

Answers

Answer:

Designers could use size in order to bring the most important aspects such as the message or product to the eye of those viewing the ad. Designers could also use color in order to showcase the most important products vs those apart of a collection. Designers could use harmony to bring the ad together and make it all seem as if it is one piece. Variety could also show that the designers have many different things to offer to the public.

Explanation:

Sorry, I tried my best, idk if this is what you are looking for?

Element of Design: One element of design that is used is value, which helps create shading texture when needed. This can help a substance seem "popped-out", and can be used to catch people's attentions. Design is important also in creating what can be seen by the naked eye, and what is placed on there can draw different people into seeing the product in their own eyes. Appearance can be appealing or even unappealing, in getting people to be interested & even talk about the design. Designers design something that is either aesthetically pleasing, or would catch a person's attention, and hopefully spread the word around. Examples of value can be shading, different shades of the same color, etc.

Principle of Design: One principle of design is harmony, which can make it feel wholesome or pleasing the a person. This is a very good way to draw people (especially a sect commonly known as perfectionists) to buy the product. The opposite can also be said, as the distortion can also draw people to buy the product. As long as the design appeals to potential buyers, it is worthwhile to use.

~

True or False. Liquidity means that your money is tied up and unavailable.

Answers

Answer: True

Explanation:

in a transitioning economy, why would privatization tend to raise a nation’s overall standard of living?

Answers

Option c) people are more likely to be productive when it benefits them personally.

A transition economy is an economy that is evolving from a command economy to a market economy.

Transition economies have undergone a series of structural transformations aimed at developing market-based institutions.

These include economic liberalization where prices are set by market forces rather than by central planning bodies.

It also removes trade barriers, privatizes state-owned enterprises and resources, reorganizes state-owned enterprises and collectively owned enterprises into enterprises, and creates a financial sector that promotes macroeconomic stability and the movement of private capital.

Used in the former Soviet Union and Eastern Bloc countries of Europe, it has also been applied to some Third World countries, with detailed studies of its economic and social impact.

Transitional processes are usually characterized by changes and creation of institutions, especially private companies.

Changing the role of the state, creating radically different state institutions, promoting private enterprise, markets and independent financial institutions

To learn more about transition economy, here:

https://brainly.com/question/2861587

#SPJ4

Complete question:

In a transitioning economy, why would privatization tend to raise a nations overall standard of living?

a) people are less likely to assume the risks of entrepreneurship

b) it places the means of production in the hands of the government

c) people are more likely to be productive when it benefits them personally

d) it places a nations ruling class in a position to administer the economy efficiently

why irs warns millions across us to hold off on filing taxes

Answers

Millions of people in more than 20 states, including California, Colorado, and Florida, who got tax refunds the previous year are being urged by the IRS to postpone filing their taxes.

Briefing:-

According to the government, it wants to know if these tax breaks and special refunds are regarded as taxable income.

Can a firm be closed down by the IRS?

If you owe taxes and are unable to pay them, the IRS may shut down your company. The IRS has the right to take legal action to enforce a lien. The business might be forced to close its doors and all of its assets might be taken.

What causes a business audit by the IRS?

An IRS audit may result from excessive spending or significantly different expenses from one year to the next. Even though you could have a company credit card, you shouldn't make a lot of purchases. For instance, it may be suspicious to claim all of your meals throughout the working day as business costs.

To Know more about company credit

https://brainly.com/question/30699353

#SPJ4

carrie bought a house five years ago for $125,000. at that time she borrowed $115,000 from her bank. the house is now worth $147,000. her pmi will automatically be dropped when her mortgage balance drops to:

Answers

To cancel the PMI insurance, you must have at least 22% equity in the home. There must be $117k left on her mortgage.

What is a mortgage?

A mortgage is a type of loan used for the purchase or upkeep of a house, a piece of land, or other real estate. The borrower agrees to make payments to the lender over time, typically in the form of a number of consistent installments that are divided into principal and interest. Then the property is utilized as security for the loan. A borrower must file an application through their preferred lender in order to be approved for a mortgage and must meet a number of requirements, such as down payments and minimum credit scores. Mortgage applications must make it through an exhaustive underwriting procedure before they are closed. Depending on the borrower's requirements, a variety of mortgage options are available, including fixed-rate and conventional loans.

To learn more about mortgage, visit:

https://brainly.com/question/8084409

#SPJ4

The process of controlling and making decisions about a business is called:
O Leadership
O Management
O Administration

Answers

Answer:

B. Management.

Explanation:

Management can be defined as the process of controlling and making decisions about a business.

The management comprises of top executives, board of directors or managers who generally control the affairs of a business firm or company.

Basically, they are saddled with the responsibility of defining the policies, set of rules, standards, and procedures so as to preserve or protect the company's assets, boost efficiency, enhance financial accountability, and prevent fraudulent behaviors among the employees.

Also, the decision-making process or responsibilities is essentially vested on the management of a business. Therefore, the management is typically responsible for the success, growth and development of their business.

The increase in the internationalization of financial markets has led to.

Answers

Answer:

the increase of internationalization of financial markets has led to ,companies searching the global financial markets for low costs funds

profit is the only
Organizational objectives of the business.Do you agree

Answers

Explanation:

I agree because without profit what's the use of the business

Plzzz help me with this one

Answers

Answer:

what the question.....

The major features of the U.S. free enterprise system include:
A. restrictions on the types of available consumer goods.
B. economic decisions made mainly to promote fairness.
C. limited competition between a small number of companies.
D. limits on the government's role in the economy.


ASAP !!!

Answers

Answer:

D. limits on the government's role in the economy.

Explanation:

Free market enterprise refers to the economic model where demand and supply forces determine the products and services in the market and their prices. In this model, sellers have the freedom to select what business they want to start. Buyers have the option of picking their preferred products or services from many competing suppliers.

In a free market enterprise like the USA economy, the government's role is limited to regulation. The government may get involved in the provision of essential services and public goods.  To a large extent, the free market economy is in the profit-motivated,  private sector.

Answer: D. Limits on the governments role in the economy

Explanation: I just took the test on a pe x

Which quality is evident in the revised version of the following paragraph? Original: During our monthly meeting last month, we all came to the conclusion that overtime procedures are inadequate and that new procedures need to be initiated. i discussed this problem with our chief accountant, who was sympathetic and agreed to consider any changes we would like to make to the present procedures. please bring your suggested changes to this month's departmental meeting scheduled for 2:30 p.m. next wednesday afternoon. Revision: During last month's meeting, we concluded that our overtime procedures need revision. our chief accountant has agreed to consider any changes we would like to make to the present procedures. please bring your suggested changes to this month's departmental meeting scheduled for 2:30 p.m. next wednesday.
a. correctness b. accuracy c. comprehensiveness d. conciseness

Answers

The quality which is evident in the revised version of the given paragraph is conciseness.

Conciseness is regarded as the quality of being short and clear, and through expressing what needs to be said without mentioning unnecessary words. So this quality is evident in the revised version.

So here, during the monthly meeting previous month, they all came to the conclusion that overtime procedures are inadequate and that new procedures need to be initiated. Thus, this problem was addressed in the coming month's meeting and the necessary actions were taken.

Thus, conciseness is by communicating complete information about a topic or an idea in a few words.

Hence, option D is correct.

To learn more about conciseness here:

https://brainly.com/question/23269175

#SPJ4

Teri's Photography has total assets of $50,800, fixed assets of $47,400, long-term debt of $36,300, and total debt of $42,900. What is the current ratio

Answers

The current ratio given the current assets and the current liabilitites for Teri's Photography is 0.52.

What is the current ratio?

Current ratio is a liquidity ratio. Liquidity ratios measure a firm's ability to meet its short terms obligations.

Current ratio = current asset /current liability

Current ratio = (total assets  - fixed assets) / (total liabilities - long term debt)

= (50,800 - 47400) / (42900 - 36300) =

3400 / 6600 = 0.52

In order to determine the current ratio, divide the current assets by the current liabilities.

To learn more about the current ratio, please check: https://brainly.com/question/19579866

#SPJ1

what is meant by business objectives

Answers

Answer:

Business objectives are something which a business organisation wants to achieve or accomplish over a specified period of time. These may be to earn profit for its growth and development, to provide quality goods to its customers, to protect the environment, etc.

Answer:

Business objectives are something that a business organization wants to achieve or accomplish over a specified period of time.

Explanation:

These may be to earn profit for its growth and development, to provide quality goods to its customers, to protect the environment, etc.

PLZ HELP: FIND THE PROFIT
Fixed costs are £26,000 per year, and variable costs include wages at £10 per
unit, raw materials at £12 per unit and delivery/packaging at £3 per unit. It is expected that a business will make and sell 750 units during the year, with
a selling price of £26.

Answers

Answer:

Net loss -£25,250

Explanation:

The computation of the profit is shown below:

Sales (750 units × £26) £19,500

Less: Variable cost  (750 units × £25) £18,750

Contribution margin £750

Less: Fixed cost £26,000

Net loss -£25,250

The £25 could be calculated below:

= £10 + £12 + £3

= £25

Basically applied the above format

format of a presentation essay

Answers

introduction
main body of presentation should include for/against if applicable and an evaluation of the points raised
a conclusion

Briefly describe the following terms: (i) Demand side management (DSM).

Answers

Demand Side Management (DSM) is the practice of modifying energy consumption patterns (demand) to achieve energy efficiency and reduce energy demand during peak periods when electricity is expensive and overburdened.

It entails implementing energy conservation measures and installing energy-efficient equipment and technologies to lower the amount of electricity consumed by a home, business, or an entire electricity grid.

The goal of demand-side management is to reduce peak demand, reduce energy consumption during peak periods, and maintain a stable electricity grid. By changing the way energy is used, utilities can use more renewable energy sources, decrease the need for new power plants and transmission lines, and lower the cost of electricity for all customers.

DSM can be accomplished through various means, including energy conservation measures, such as weatherization and insulation, energy-efficient lighting, and appliance upgrades. Furthermore, incentives and behavior-based programs, such as peak demand reduction programs, time-of-use pricing, and demand response programs, may be used to lower demand during peak hours by incentivizing customers to consume less electricity.

You can learn more about energy consumption at: brainly.com/question/31852168

#SPJ11

10 C What is the effect of education on employment?​

Answers

The effect of education on Employment is that it increases the employment rate and reduces unemployment

Effect of Education on Employment

With proper education, individuals can get the skills needed to to employed as skilled labor and earn a decent amount of money as a salary.

Without education, most people become unemployed and at best even get a job that is not enough to take care of them.

Learn more about education here:

https://brainly.com/question/24289862

#SPJ1

which is not a strategy for defusing potentially harmful situations

Answers

Deactivate is not a strategy for defusing potentially harmful situations.

There are 3 strategies for defusing harmful situations. These are:

Direct: In this situation the bystander would have to confront whatever situation that is being developed on his own. He may decide to pull one of the parties having an argument away from the scene.Distract: A person may witness an argument between two friends. In order to stop it from escalating, he may decide to do something that would cause them to pause. Such as spilling his drinkDelegate: A person may decide to use this strategy if he is unable to get the situation under control. He does this by asking for help from other parties.

Read more on https://brainly.com/question/24844146

The United Stated Supreme court is:
*
O Elected to six-year terms
O The supreme law of the land
O Restricted by state laws
O Restricted to decisions regarding federal law

Answers

The United Stated Supreme court is Restricted to decisions regarding federal law.

The federal law are bills that have passed both houses of Congress, been signed by the president, passed over the president's veto, or allowed to become law without the president's signature.

The Supreme court of the United State is the highest court in the American judicial system and has the power to decide appeals on all cases brought in federal court or those brought in state court dealing with federal law.

To know more about federal law here,

https://brainly.com/question/28498485

#SPJ1

arko, Inc. is considering the purchase of ABC Co. Marko believes that ABCCo. can generate cash flows of $5,000,$9,000, and $15,000 over the next three years, respectively. After that time, they feel the business will be worthless. Marko has determined that a 14 percent rate of return is applicable to this potential purchase. What is the value of the cash flow stream i. at time 0 (today)? ii.at time 2? iii.at time 4?

Answers

The value of the cash flow stream for the potential purchase of ABC Co. can be calculated using a discounted cash flow (DCF) analysis. Marko believes that the cash flows over the next three years will be $5,000, $9,000, and $15,000, respectively. Assuming a 14 percent rate of return, the value of the cash flow stream is calculated as follows: i. At time 0 (today), the value is $22,388. ii. At time 2, the value is $10,573. iii. At time 4, the value is $4,981.

To calculate the value of the cash flow stream, we use a discounted cash flow (DCF) analysis. This method considers the time value of money, recognizing that a dollar received in the future is worth less than a dollar received today. The DCF formula is as follows:

Value = CF1 / (1 + r)^1 + CF2 / (1 + r)^2 + ... + CFn / (1 + r)^n

Where CF1, CF2, ..., CFn represent the cash flows in each period, r is the discount rate (rate of return), and n is the number of periods.

i. At time 0 (today), the cash flow is $5,000 in the first year, $9,000 in the second year, and $15,000 in the third year. Plugging these values into the DCF formula, we have:

Value = $5,000 / (1 + 0.14)^1 + $9,000 / (1 + 0.14)^2 + $15,000 / (1 + 0.14)^3 = $22,388

ii. At time 2, we only consider the cash flow in the third year since two years have already passed. The calculation is as follows:

Value = $15,000 / (1 + 0.14)^1 = $10,573

iii. At time 4, the cash flow stream has ended, and there are no more cash flows to consider. Therefore, the value is zero.

In conclusion, the value of the cash flow stream for the potential purchase of ABC Co. is $22,388 at time 0, $10,573 at time 2, and $4,981 at time 4.

Learn more about discount here: brainly.com/question/32394582

#SPJ11

Which of the following describes a food retailer?


uses products from farmers and ranchers, commodity processors, and food manufacturers to offer food to their customers

supports the farmers and ranchers with feed and seed

transports the farmers’ and ranchers’ products and the processed and manufactured food products throughout the system

buys the processors’ products to make prepared food

Answers

Answer:

transports the farmers and ranchers

Answer:

B

Explanation:

Generally speaking, liberalization of financial markets when combined with a weak, underdeveloped domestic financial system tends to

Answers

Generally speaking, liberalization of financial markets when combined with a weak, underdeveloped domestic financial system tends to **increase the vulnerability and risks** within the economy.

When financial markets are liberalized, it means that there are fewer restrictions and regulations on financial activities, such as foreign investment, capital flows, and the entry of foreign financial institutions. This can lead to increased market efficiency, access to international capital, and greater financial integration.

However, if the domestic financial system is weak and underdeveloped, it may lack the necessary infrastructure, institutions, and regulations to effectively manage the increased complexities and risks associated with liberalization. This can result in several adverse effects:

1. Increased volatility: Liberalization may lead to greater fluctuations in asset prices, exchange rates, and interest rates. A weak domestic financial system may struggle to absorb and manage these fluctuations, potentially leading to financial instability.

2. Increased exposure to external shocks: A weak financial system may have limited resilience and capacity to withstand external shocks, such as global financial crises or sudden capital outflows. This can leave the economy vulnerable to external economic downturns.

3. Increased risk of financial crises: Weak supervision and regulation in an underdeveloped financial system can allow for excessive risk-taking, speculative bubbles, and inadequate risk management practices. This can increase the likelihood of financial crises and their subsequent negative impacts on the economy.

4. Unequal distribution of benefits: Liberalization without a well-functioning financial system may primarily benefit large financial players or foreign investors, exacerbating income inequality and leaving smaller businesses and individuals with limited access to financial services and credit.

It is important for countries considering financial market liberalization to also focus on strengthening and developing their domestic financial systems to ensure stability, resilience, and inclusivity.

Learn more about financial system  here:

https://brainly.com/question/32585160

#SPJ11

Other Questions
Your friend is looking to launch a new hotel chain, Roxy Inc., designed to serve the traveling needs of the budget-minded millennial traveler. To launch Roxy Inc., she is expected to invest $500 million this year (year=0). The hotel chain is expected to generate free cash flows of $27 million per year, starting in year 1. Thereafter, these free cash-flows are expected to grow at 3 percent per year in perpetuity. For simplicity, assume these cash-flows are received at the end of each year. Your friend knows you've been taking this class, so she asked you to assess the potential value of the new hotel chain. To help you, she gives you the following reports for a handful of publicly-traded firms, as well as the expected returns on the government bond (Treasury), and the risk premium on the value-weighted market portfolio: Market Market Value of Value of Equity Company Equity Debt Beta Dropbox 900 150 2 Ikea 1,000 100 2.3 Intercontinental Hotels Group 7,500 2,500 1.6 10-year Treasury rate Expected Market Risk Premium 2.0% 5.0% Assume throughout that the CAPM holds for all assets, and that the debt of Dropbox, Ikea, and Intercontinental Hotel Group is risk-free. None of these firms hold (excess) cash assets. (a) If Roxy Inc. were to be 100% equity financed, what would be a reasonable estimate of the expected return on Roxy's equity? What is Roxy's WACC? The expected return on equity is: Roxy's WACC is: FILL IN THE BLANK. ___ occurs when a drug use requires more and more of a given drug in order to experience the same effects of the drug.A. withdrawalB. psychological dependenceC. toleranceD. reuptake how are the two cells forming sperm different than the two cells forming eggs at the end of telophase 1 The percentage decrease in value when the yield-to-maturity (YTM) increases by a given amount is smaller than the increase in value when the yield-to-maturity (YTM) decreases by the same amount.Select one:TrueFalse Company A wants to calculate its WACC. It has just issued a 10-year, 6% coupon, non-callable bond at par value. A's current stock price is $40 and A just paid s $0.5 per share dividend. A's dividend payment is expected to grow at a constant rate of 7% a year. A wants to keep a debt-to-capital ratio of 80%. Tax rate is 35%. If A does a not have preferred stock and floatation costs, what is its WACC (please report WACC as a decimal number with four decimal places, such as 0.0562)? ____: the process by which one party supplants another as the dominant party in a two-party political system. Data:Company 1:Current rate = $2.91ROE= $17.43ROA=$0.070Debt equity=$0.48Company 2:Current rate = $1.50ROE= $0.13ROA=$0.51Debt equity=$0.59How are these two companies doing financially in 2021? Which is in better financial health? Local Co. has sales of $10.5 million and cost of sales of $6.2 million. Its selling, general and administrative expenses are $480,000 and its research and development is $1.5 million. It has annual depreciation charges of $1.4 million and a tax rate of 35%. does anyone no how to refill ink into the polar pen 2.0 WILL GIVE BRAINLIEST in a perfect capital market, the PV of lease payments will beequal to the purchase price of the asset plus the PV ofthe residual of the asset.. True or False? Based on current research findings, the most likely factor underlying the ergogenic effect of caffeine during exercise is its effect to stimulate the nervous system effect to increase fatty acid oxidation effect to increase red blood cells and hemoglobin effect to spare use of muscle glycogen effect to prevent dehydration