The answer here is Conventional marketing system.
Manufacturers, wholesalers/distributors, and retailers operating under independent ownership make up the traditional marketing channels. Each company has a board of directors, shareholders, or an owner that it is responsible to.
Producers, distributors, and retailers operate as independent companies in conventional marketing systems and all want to maximize their earnings. Conflicts can occur that lower revenues for the whole channel when one channel member tries to increase profits at the expense of other members.
Conventional Marketing's benefits:
1)Your local audience may be reached.
2) Promotional materials are environmentally friendly.
3)You Reach a More Diverse Audience.
4)Credibility is Established via Traditional Marketing.
5)Innovative Marketing for Your Business.
6)Hard copy marketing materials may be simpler to process.
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A perfectly competitive firm typically ________ its marginal revenue with each additional item sold, and a monopolist ________ its marginal revenue as the quantity of sales increases.
A perfectly competitive firm typically increases its marginal revenue with each additional item sold, and a monopolist decreases its marginal revenue as the quantity of sales increases.
A perfectly competitive business must accept the equilibrium price at which it sells its products because it is a price taker. A completely competitive business will not be able to generate any sales if it seeks to charge even a small amount above the going rate.
A perfect market, also known as an atomistic market, is defined by various idealizing conditions, which are together referred to as perfect competition, or atomistic competition, in economics, specifically general equilibrium theory.
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An employment contract denies payment of a full month's salary if an employee does not clock in 160 hours of work. This is a(n) ________. Group of answer choices mandatory arbitration voluntary arbitration concurrent condition condition subsequent implied condition
The correct option is subsequent condition.
In general, a condition is a contractual term or obligation. A condition antecedent or condition subsequent, for example, can be written as such a word. A subsequent condition is an occurrence or state of things that, if it occurs, ends one party's responsibility to the other.
A contract can stipulate, for example, that the client would pay for the haircut unless such hairdresser fails to complete the haircut. In this situation, the client has a contractual responsibility to pay for the haircut, which will only be fulfilled if the hairdresser fails to comply. In other words, in order to demonstrate that they are no longer tied, the client must demonstrate that the haircut did not place.
Therefore, the correct option is subsequent condition.
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Scope refers to: Group of answer choices tasks that are decomposed into smaller tasks in a work breakdown structure. the end product created as part of a project that is delivered to the client. the work involved in creating the products and the processes used to create them. each level of work that is outlined in a work breakdown structure.
Scope refers to all the work involved in creating the products of the project and the processes used to create them.
What is Project Scope ?Project scope is the part of project planning that involves determining and documenting a list of specific project goals, deliverables, tasks, costs and deadlines. The documentation of a project's scope is called a scope statement or terms of reference.
It explains the boundaries of the project, establishes responsibilities for each team member and sets up procedures for how completed work will be verified and approved. Its one of the most important and most difficult aspects of project management is defining the scope of a project.
Thus ,we can say that the Scope refers to all the work involved in creating the products of the project and the processes used to create them.
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Suppose the equilibrium aggregate price level and real GDP are rising. This is probably the effect of a(n) _____ in aggregate _____. decrease; demand decrease; supply increase; demand increase; supply
Suppose the equilibrium aggregate price level and the equilibrium level of real GDP are both rising. This is probably the effect of a increase in aggregate demand.
What is aggregate demand?The entire demand for these products and services during the given time period is represented by aggregate demand. Because aggregate demand and gross domestic product (GDP) are determined in the same way, they eventually balance each other out. As a result, changes in aggregate demand and GDP are correlated.
The relationship between the price level and all of the expenditure that individuals, businesses, the government, and other nations are willing to make at each price level is represented graphically by aggregate demand. That should sound familiar if it does. The elements that make up aggregate demand are the same elements that make up real GDP when utilizing the expenditures method:
ConsumptionInvestmentsFederal spendingGross exportsHence, when both the equilibrium level of real GDP and the equilibrium level of aggregate prices are increasing. This is most likely the result of rising aggregate demand.
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Agent Dan tells his buyers that the seller will leave the washer and dryer if the buyers make an offer now. What kind of closing technique is Jim using?
Bonus is the closing technique used by jim.
Bonus Close: What is it?They may accept the arrangement if they feel they have received something for nothing out of concern that you would take it away from them once more. You might also engender a sense of reciprocity by giving them something. The Delighter Close and the Extra Close are other names for the Bonus Close.
What is Closing Bonus Payments?The total incentive or compensation payments that the company will make at the closing based on the Base Purchase Price, as specified on Schedule CBP, are referred to as Closing Bonus Payments.
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It Takes a Village!
Required Materials
Word processing software
Have you ever heard of an all-inclusive vacation? There are some resorts that offer everything—hotel, food, entertainment, and tours. What about the huge floating resorts that many have found appealing—cruises? To make these operations run smoothly and allow guests to have the best getaway experience they can, many different jobs are required. Most of these jobs can be found in the career clusters we learned about in our unit.
In this activity, you will pick one type of all-inclusive vacation. Research an example of the vacation destination you have in mind and list the amenities that are offered. See if you can identify at least two careers from the Arts, AV Technology & Communication Cluster and two from the Hospitality & Tourism Cluster that all work together in this resort. For each one of your four careers, take a few minutes to research more about the role they play, as well as what a person would need to do to get started in this career path. Let's consult our handy reference, the Bureau of Labor Statistics' Occupational Outlook Handbook, once again to find more information. This time check out the headings “How to Become One,” “Pay,” and “Job Outlook” for each career you choose.
Once you have gathered the career information on the professionals you might find in your all-inclusive resort, it’s time to put your research to use. You will create a flyer for your resort, introducing guests to each person who will play a part in making their stay memorable. On your flyer, include a name (you can make one up) and title for each person. Explain in one paragraph under their name a little bit about what they do at the resort. Under that paragraph, include a paragraph with a quick (imaginary) biography that showcases the person’s education and career path.
Do your best to make your flyer fun and appealing so that guests will immediately feel right at home, knowing that their vacation is in the hands of some of the best professionals in the business!
Your flyer should include the following elements:
Employees who represent two careers from the Arts, AV Technology & Communication Cluster
Employees who represent two careers from the Hospitality & Tourism Center
One paragraph under each explaining the job duties of the employee
One paragraph under each with a short bio of the employee
These are the flyers about the all-inclusive vacation employees:
Lucy AdamsShe's the singer of our cruise! You will enjoy her beautiful voice every night of your holiday and have a great time listening to the best songs you can think of!
Lucy is a professional singer who sings in three different languages: English, Spanish and Italian. She's the best one out here in the sea! Don't miss her!
Tom DíazHe's the chief animator of our cruise! He's the one in charge of making you have your best vacation! You will laugh with his jokes and enjoy the day next to the pool playing games with him and the rest of the amazing team.
Tom has been working in the entertainment industry for many years now. He is a comedian so he will know how to make you laugh!
Penelope SmithShe's the best tourist guide in this cruise! She can explain to you what you do in the places where the cruise stops. You can't miss her recommendations!
Penelope has studied tourism and she knows how to make your trip the best one! She has been to all the places we will visit with the cruise so you can ask her for advice whenever you need.
John HarriesHe's the best chef you can find! You can find John in the purple restaurant where you can try the best food you have ever eaten. He specializes in pasta, so you can't miss the Italian night in the cruise!
John is a professional chef with many years of experience on board. He has lived many years in Italy where he learnt everything about the culture and flavors that he applies to his dishes.
How do you solve writing exercises?To complete writing exercises in English, you have to do a research of the topic you are going to write about first. In this case, you have to select four jobs that are available to do in all-inclusive holidays and then write flyers with specific information about the people who do these jobs.
In writing exercises, it is important to use key words and organise your information so it is easier for the reader to understand.
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Which type of decision-making approach assumes that managers are logical, that they have complete information, that they can eliminate uncertainty, and that all of the decisions they make will be in the best interests of the organization
The answer is classical decision making.
Managers have access to all information and choices under the classical decision-making approach.
The classical method is also known as the prescriptive, rational, or normative paradigm. It specifies how decisions should be made in order to achieve the desired outcome. In the classical approach, decisions are rationally determined and directed toward a single, set goal. It is employed when the decision maker has comprehensive knowledge of the problem and is aware of all feasible solutions. It is an outstanding decision-making approach. It makes sense because it is scientific, systematic, and sequential.
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A company begins the quarter with $50 in supplies. They purchase an additional $100 of supplies. At the end of the quarter, they have $25 of supplies left. How much in supplies did the company use during the quarter
The company used $125 supplies during the quarter.
The quantity of goods or service that a company has to offer its customers at any one time is defined as supply. For a real, brick-and-mortar store, this refers to the inventory that a company has on its premises and in warehouses that it may sell to clients.
Supplies and business services are temporary commodities and services that aid in the development or management of the completed product.
The supplies used during the quarter is computed below:
Particulars Amount
Beginning supplies $50
Purchases $100
Total supplies available $150
Less: Ending supplies $25
Supplies during the quarter $125
Therefore, the supplies during the quarter is $125.
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The kinds of factors that might be reviewed when considering the ‘economic’ aspect of the pestel include?
Changes in disposable income per capita is the answer.
Household income is a measure of the total income of all people who share a particular household or place of residence. This includes all forms of income. B. Salaries and wages, pension income, non-cash government transfers such as food stamps, and return on investment.
Calculated by subtracting taxes, savings, and some tax-exempt payments, including fines, confiscations, and donations, from income from all sources of income, including wages, government transfers, and rental income, and dividing by the total population of the United States. Will be done.
In 2021, the per capita disposable income of Americans was $ 48,219. National disposable income in 2020 was $ 15.74 trillion.
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Assume that an MNC subsidiary has very volatile cash flows and uses high debt. Its cost of debt should be: a. lower than the country's risk-free rate. b. higher than the parent's cost of debt. c. higher than its cost of equity. d. lower than its credit risk premium.
Lower than its cost of equity.
Its cost of debt should be lower than its cost of equity.
When is the cost of debt lower than the cost of equity?
Since equity investors take on more risk when buying a company's stock rather than its bond, the cost of equity is typically higher than the cost of debt. Due to the higher level of risk involved in investing in stocks, an equity investor would therefore demand higher returns (known as a "Equity Risk Premium") than a comparable bond investor. Investing in stocks carries greater risk than investing in bonds for a variety of reasons, such as:
Returns on the stock market are more volatile than on the bond market.In the event of a company default, stockholders have a lesser claim to the company's assets.Gains from investments are not assured.Dividends are a choice (i.e., a company has no legal obligation to issue dividends)Learn more about debt vs equity here:
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The long-run market supply curve a. has the same elasticity as the short-run market supply curve. b. is more elastic than the short-run market supply curve. c. is less elastic than the short-run market supply curve. d. is always perfectly elastic.
The correct option is (b)is more elastic than the short-run market supply curve.
Long-term supply curves tend to be much more elastic than short-term supply curves. This is due to the fact that the firm often faces both physical and financial constraints that prevent short-term supply adjustments. Almost all changes to the production process can be made given adequate time.
When all inputs are erratic, the supply of goods is said to be long-run. Short-term supply curves are never more elastic than long-term supply curves. The short-run average cost curves are engulfed in a u-shaped curve by the long-run average cost curve.
The market price in an industry with rising costs increases to P1 at the point where the new short-run supply and demand curves connect. You can derive the long-run supply (LS) curve by linking the previous and current equilibrium points.
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Lin is a photographer. He has $800 to spend and wants to buy either a camera or a new photo editing software. Both the camera and the software cost $800, so he can only buy one. This illustrates the principle that
this illustrates the principle of trade-offs
what is a trade off
A trade-off (or tradeoff) is a situational choice that entails diminishing or dropping one quality, quantity, or property of a fixed or layout in go back for profits in different aspects. In easy terms, a tradeoff is wherein one component increases, some other must decrease. Tradeoffs stem from boundaries of many origins, consisting of easy physics – for instance, only a positive quantity of items can match right into a given space, so a complete field should eliminate a few gadgets in an effort to be given any more, and vessels can convey some massive gadgets or more than one small gadgets. Tradeoffs additionally typically discuss with special configurations of a single item, which includes the tuning of strings on a guitar to allow special notes to be played, in addition to an allocation of time and interest in the direction of special tasks.
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Assuming that Brazil can produce 100 pounds of beef or 10 autos and the United States can produce 40 pounds of beef or 30 autos, what is the opportunity cost of producing one pound of beef in Brazil
One pound of beef -1/10 of an auto.
Opportunity cost means the cost of the next best alternative. Here 100pounds of beef=10 auto
1 pound of beef =10/100autos
1 pound of beef =1/10 autos
It means if Brazil doesn't produce 1 pound of beef then he can produce 1/10 autos and this is the opportunity cost of 1 pound of beef.
The possible value is time spent analyzing and that money to spend on something else. A farmer chooses to plant wheat; the opportunity value in planting a special crop or an alternate use of the assets (land and farm system). A commuter takes the education to paintings in place of riding.
Opportunity price is an economics term that refers back to the cost of what you need to give up that allows you to pick out something else. In a nutshell, it's a value of the road no longer taken.
The definition of possible value is the capacity gain misplaced through the choice to take an extraordinary route of action whilst thinking about a couple of investments or avenues of business.
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Lisa agrees to sell Deb an electronic entertainment center worth $1,000 for $700 in order to have a rapid sale. Later Lisa insists that she may rescind this agreement since the agreed price was 30% below fair market value. Lisa may:
Lisa agrees to sell Deb an electronic entertainment center worth $1,000 for $700 in order to have a rapid sale. Later Lisa insists that she may rescind this agreement since the agreed price was 30% below fair market value. Lisa may not rescind since Lisa and Debbie freely agreed.
A trade show for the video game industry is called E3. For the purpose of introducing and publicizing new games and game-related items to retailers and the media, the Entertainment Software Association organizes and presents E3, which is attended by a large number of developers, publishers, hardware, and accessory makers.
Internet-based entertainment that a user can view or hear: We anticipate that increased access to broadband will open up e-commerce and entertainment to everyone.
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Coca-Cola implemented enterprise software from Oracle that enabled it to achieve all of the following except: standardizing business processes worldwide. reacting faster to market changes. improving its bargaining power with suppliers. reducing the number of employees. reducing the cost of raw materials.
Coca-Cola implemented enterprise software from Oracle that enabled it to achieve all of the following except reducing the number of employees. Thus the correct answer is D.
What is Oracle?Oracle is a type of software developed as the most flexible and economical method of managing data and applications. Oracle Database created for corporate distributed systems.
The software used in coca-cola enables the organization to improve the business process with the help of standardization. It enables them to respond to market changes that took place immediately and make implementation based on current trends.
It helps them to reduce the cost of raw materials by properly bargaining with the suppliers and bringing material in an economic manner.
Therefore, option D reducing the number of employees is the appropriate option that is excluded by the software.
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A ____ consists of a novel and confidential formula, device, idea, process, pattern, or compilation of information that gives the owner a competitive advantage in the marketplace.
A trade secret consists of a novel and confidential formula, device, idea, process, pattern, or compilation of information that gives the owner a competitive advantage in the marketplace.
What is a trade secret?Trade secrets might include things like product designs, manufacturing processes, fresh marketing tactics, and more. Legally speaking, these secrets are regarded as a type of intellectual property, much like patents, trademarks, and copyrights. Knowing what constitutes a trade secret will help to better defend the company.
Trade secrets can take on many different shapes, such as a proprietary technique, tool, pattern, design, formula, recipe, method, or approach that is not obvious to others and is used to provide an organization an edge over rivals or add value to clients.
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As a barrier to new entry, absolute cost advantages can be based on Group of answer choices control over low-cost inputs required for production, be they labor, materials, equipment, or management skills. the unique ability of established companies to spread fixed costs over a large volume. continuous advertising of brand and company names. high product quality, service-oriented innovations, and good after-sales service. cost reductions that arise from the mass production of standardized output.
As a barrier to new entry, absolute cost advantages can be based on: Control over low-cost inputs required for production, be they labor, materials, equipment, or management skills.
What is a Barrier to Entry ?
In theories of competition in economics, a barrier to entry, or an economic barrier to entry, is a fixed cost that must be incurred by a new entrant, regardless of production or sales activities, into a market that incumbents do not have or have not had to incur.
Barriers to entry, in economics, obstacles that make it difficult for a firm to enter a given market. They may arise naturally because of the characteristics of the market, or they may be artificially imposed by firms already operating in the market or by the government.
Barrier to entry is a high cost or other type of barrier that prevents a business startup from entering a market and competing with other businesses. Barriers to entry can include government regulations, the need for licenses, and having to compete with a large corporation as a small business startup.
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For the first time this year, an Outside Business Associate offers to take you to dinner to discuss business. Can you:
You can B. Say no because informal gatherings are strictly prohibited.
What are informal gatherings?Informal gatherings are social events held for social purposes.
Informal gatherings are not allowed for business discussions and should be rejected when offered for business purposes.
Question Completion with Answer Options:A Decline the invitation because business matters must not be discussed with Outside Business Associates.
B Say no because informal gatherings are strictly prohibited.
C Say yes because you have never attended a business meal with the Outside Business Associate.
Thus, you can B. Say no because informal gatherings are strictly prohibited.
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More expensive product __________________ in a retail store may cause us to ask if we want lower prices by accepting waiting lines, limited choices, and a more austere store.
Differentiations.
More expensive product differentiations in a retail store may cause us to ask if we want lower prices by accepting waiting lines, limited choices, and a more austere store.
Monopolistic competition refers to a market where many firms sell differentiated products. Differentiated products can arise from characteristics of the good or service, the location from which the firm sells the product, intangible aspects of the product, and perceptions of the product.
A monopoly is a type of imperfect competition where a seller or producer captures the majority of the market share due to the lack of substitutes or competitors. Monopolistic competition is a type of imperfect competition where many sellers try to capture the market share by differentiating their products.
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________ refer to collaborative relationships between independent firms, though the partnering firms do not create an equity partnership; that is, they do not invest in one another.
Strategic alliances refer to collaborative relationships between independent firms, though the partnering firms do not create an equity partnership; that is, they do not invest in one another.
A strategic alliance is an association between two businesses to adopt a collectively beneficial venture whilst each keeps its independence. The settlement is less complex and much less binding than a joint challenge, in which two businesses pool assets to create a separate enterprise entity.
Strategic alliance definition: it's a joint assignment that bolsters a middle commercial enterprise approach, creates an aggressive gain, and abates competition from transferring in on a market. It permits man or woman businesses to reap extra collectively than they would have on their very own.
Strategic alliances aren't a panacea for each business enterprise and every situation. but, via strategic alliances, agencies can enhance their aggressive positioning, benefit from entry to new markets, complement crucial talents, and proportion the hazard and fee of main improvement tasks.
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An accountant buys a supply of pencils to be used in calculating the taxes of other business firms. Based on this information, these pencils would be considered what type of product?
The pencils would be considered a Business.
What is a Business?
An organisation or enterprising entity engaging in commercial, industrial, or professional activity is referred to as a business. Businesses can be for-profit corporations or charitable institutions. Limited liability firms, sole proprietorships, corporations, and partnerships are among the several types of businesses.
A business is defined as a profession or trade that involves buying and selling goods and services with the intention of making a profit. Farming is a prime example of a business. A home sale is an illustration of commerce.
Different Business Structures
Sole proprietorship. A sole proprietorship is the most common type of business structure.Partnership. Limited liability company. Corporation.Learn more about Business here:
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A 7-year-old patient goes into sudden cardiac arrest. You initiate cpr and correctly perform chest compressions at which rate?.
Answer:
100-120
Explanation:
read it in a book
Why should you be cautious about purchasing exercise equipment from consignment stores or yard sales
It normally doesn't have a warranty and can't be returned.
What does the phrase "purchase on consignment" mean?A reseller (consignee) and their supplier (consignor) enter into a consignment agreement that enables the reseller to pay for the products after the products have been sold.
What benefits does consignment offer?For increased exposure to the buying market, it enables a seller (maker) to place products at wholesale and retail stores. Since their capital is not tied to inventory, it may serve as an incentive for wholesalers and retailers to keep items on hand.
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Intra-company standards for financial statement analysis: Group of answer choices Are set by the company's industry through published statistics. Are based on a company's prior performance and relations between its financial items. Are based on rules of thumb. Are often set by competitors. Are published by analyst services such as Standard
Intra-company standards for financial statement analysis :
Are based on a company's prior performance and relations between its financial items.
What are Intra-company Standards for Financial Statement Analysis based on?
Three commonly used standards for financial statement analysis are rule-of-thumb measures, the company's past performance, and industry norms.
Rule-of-thumb measures are weak because of the lack of evidence that they can be widely applied. The past performance of a company can offer a guideline for measuring improvement but is not helpful in judging performance relative to other companies. Although the use of industry norms overcomes this last problem, its disadvantage is that firms are not always comparable, even in the same industry.
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When Shaleen first started at the manufacturing facility, it took her four hours to complete the task she can now accomplish in 30 minutes. In her first two months on the job, she not only learned to do her job more efficiently, but she has also saved the company money. This is an example of
Shaleen in her first two months on the job, she not only learned to do her job more efficiently, but she has also saved the company money.
This is an example of (E) learning effects.
What are the learning effects?The learning effect is the process by which education increases productivity and leads to greater earnings in economics.In psychology and motor learning, the learning effect refers to the rapid improvements in performance that we witness when a person performs their first 5-10 tries at a new task. As the learner becomes more familiar with the activity, these initial leaps in performance become smaller and smaller.Learning effects are stronger when a technologically difficult task is repeated since there is more to learn about the task.Solution -As it is stated above as the learner becomes more familiar with the activity, these initial leaps in performance become smaller and smaller.
Therefore, this is an example of (E) learning effects.
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Complete question:
When Shaleen first started at the manufacturing facility, it took her four hours to complete the task she can now accomplish in 30 minutes. In her first two months on the job, she not only learned to do her job more efficiently, but she has also saved the company money. This is an example of
a. Multiple Choice
b. economies of scale.
c. lead strategy.
d. lag effects.
e. learning effects.
f. transition effects.
A simple interest installment loan calculates interest on the unpaid balance. An add-on Question 5 options: calculates the same way with the addition of a factor. calculates interest on the original balance. is less costly. is more costly. both calculates interest on the original balance and is more costly.
An add-on calculates interest on the original balance and is more costly.
What is Simple Interest?The fee that the borrower must pay the lender for the loan is known as interest. The interest can be either simple or compounded, and it is commonly stated as a percentage. A loan or deposit's principal amount serves as the foundation for simple interest. Simple interest is often a predetermined percentage of the principle amount borrowed or lent paid or received over a specific time period.Simple Interest is calculated using the formula: P×r×n; where P = Principal Amount ; r = Annual Interest Rate ; n = Term of Loan in years.By adding the total principal borrowed and the total interest due to a single number and multiplying that number by the number of years until payback, add-on interest is a way of determining the interest to be paid on a loan.
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Jonestown Community Bank refuses to lend money to potential homeowners trying to purchase property in the predominantly Asian neighborhood on the west end of town. This practice is:
Jonestown Community Bank refuses to lend money to potential homeowners trying to purchase property in the predominantly Asian neighborhood on the west end of town. This practice is: redlining. This is further explained below.
What is redlining?Generally, Mortgage lenders' and insurers' unlawful redlining is a kind of discrimination that affects whole neighborhoods.
In conclusion, The mostly Asian section of town is on the western edge of town, but the Jonestown Community Bank won't lend money to anybody looking to buy a house there. Redlining is the term for this tactic.
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The long-run aggregate supply curve is vertical at the level of output: a. at which the inflation rate is zero. b. at a predetermined price level. c. at which unemployment is at its natural rate. d. determined by aggregate demand.
The long-run aggregate supply curve is vertical at the level of output (c) at which unemployment is at its natural rate.
Because this is the amount that would be generated once prices are completely capable of adjusting, the LRAS curve is vertical at full employment as well. Some prices are persistent in the near term. This implies that producers may alter their output in response to changes in the price level.Businesses won't modify the amount of Real GDP output they create when the price level changes. Wages and resource prices are changeable over the long term. Wages will rise by the same amount as price levels do. At full employment, the long-run aggregate supply curve (LRAS) is vertical.
When unemployment is at the natural rate?
Natural unemployment, also known as the natural rate of unemployment, is the level of unemployment that continues in an economy that is thought to be operating at "full employment." It implies that there is never zero unemployment in an economy and is a hypothetical rate of unemployment.Learn more about long-run aggregate supply curve (LRAS) brainly.com/question/15710754
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By contrast with a market that produces the socially optimal output, a market with negative externalities will: produce no output. produce the correct output. overproduce. underproduce. produce nothing.
The answer is overproduce.
Overproduction, oversupply, excess supply, or glut are all terms used in economics to describe an excess of supply over demand for things on the market.
The answer is overproduction. It happens when the price of the thing to the consumer does not cover the costs of consuming or manufacturing that particular good. If all manufacturing expenses were considered, overproduction could be prevented, and the price of this specific good would be greater, allowing consumers to consume fewer of them.
Therefore , the answer is overproduce.
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Calculate the Net Present Value for a project with the following cash flows: Year 0: ($5,000) Year 1: $10,000 Year 2: $10,000 Year3: ($2,000). The discount rate is 5%. Group of answer choices $19,209.75 $12,350.00 $18,840.25 $23,840.25 $14,209.75
Answer:
NPV= $14,209.75
Explanation:
The net present value of the project means the present value of all future cash flows, in years 1-3, discounted at the appropriate project's discount rate of 5% minus the initial investment outlay of $5000.
Note that all negative cash flows would be shown as negative in the computation of the net present value.
The present value of a single future cash flow can be determined using the present value formula of a single cash flow provided below:
PV=FV/(1+r)^N
FV=future cash flow
r=discount rate=
n=the year of cash flow, 1 for year 1 cash flow, 2 for year 2 cash flow, and so on.
NPV=$10000/(1+5%)^1+$10,000/(1+5%)^2-$2000/(1+5%)^3-$5000
Note year zero cash flow needs not to be discounted since it is stated in its today's worth, the present value equivalence
NPV=$11,866.43
Note the closest option, in this case, is the one that is very close to the correct answer, which is $14,209.75, some questions are set with the requirement that one chooses an approximate answer, where the precise answer is not available