(1) Show that if $1000 is invested at 8% interest compounded annually, then it will double in about 9 years. (Note: 9 = 72/8.) (2) Show that if $1000 is invested for 6 years, then it will approximately double in that time if it appreciates at 12% per year. (Note: 12 = 72/6.)
Answers
If $1000 is invested at 8% interest compounded annually, then it will double in about 9 years:
1. In 9 years, a value of $1000 invested at 8%
= 1000×(1.08)⁹ =$ 1999.005 ≈ $2000
which is almost double =$1000
Hence the rule of 72 (72/8 =9) is verified.
2. In 6 years, a value of $1000 invested at 12.1
= 1000× 1.12⁶
= $1973.8
which is 1.97 (≈ 2) times $1000
Hence the rule of 72 (72/12= 6) is verified.
In finance and economics, interest is a payment from a borrower or deposit-taking financial group to a lender or depositor of an amount above compensation of the principal sum, at a specific price. it's miles distinct from a price that the borrower may additionally pay the lender or a few third birthday parties.
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Related Questions
True or False: After calculating how much money you have left after paying for all of your monthly expenses, you can
olan on spending up to 50% of that amount on car expenses
Answers
Based on microeconomic theory, it is true that after calculating how much money you have left after paying for all of your monthly expenses, you can
plan on spending up to 50% of that amount on car expenses.
Note that after making a payment on living expenses, such as rent, mortgage, utilities, loans, car payments, and food, the money that remains is discretionary income.
This discretionary income can be used as savings, investment, or spending on your discretionary expenses such as vacations and travel expenses, car expenses.
This is because discretionary expenses are categorized under wants instead of needs.
Thus, given that planning for car expenses is a want, then the statement in the question is True.
Hence, in this case, it is concluded that the correct answer is "True."
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Approximately _____ percent of new product development (NPD) projects don't include vital market research.
Answers
It should be noted that Approximately 35 percent of new product development (NPD) projects don't include vital market research.
What is New product development ?
New product development serves as process of bringing a new product to the marketplace.
It involves carrying out the necessary research about the market as well as increasing competition and advances in technology or to capitalise on a new opportunity
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who owns the intercontinental hotel group?
Answers
The InterContinental Hotels Group (IHG) is a large hotel chain with additional properties and is the sole owner.
The renowned hotel brands that are owned and managed by the global hospitality company InterContinental Hotels Group include InterContinental, Crowne Plaza, Holiday Inn, and Kimpton Hotels & Restaurants (IHG). It is a publicly traded corporation as of year 2021, with its headquarters in Denham, Buckinghamshire, United Kingdom. It is also listed on the London Stock Exchange.
Although the Hotels Group has a sizable number of institutional shareholders, not a single person or organization is the sole owner of this corporation. A sizable component of the hotel group's ownership is made up of mutual funds, retirement funds, hedge funds, as well as other institutional and individual investors.
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Measure the performance of Hali-Naturecare’s supply chain by evaluating each component of the supply chain.
Under each component listed, decide whether Hali-Naturecare’s supply chain is performing optimally in this instance, or whether it needs improvement. For this answer, you are aiming to measure and assess the company’s performance. Take care to provide an explanation for your answer, referencing the case study found in the Orientation Module.
Strategic objectives
(Max. 6 lines)
Start writing here:
Interactions between organisational stakeholders
(Max 6. lines)
Start writing here:
Potential value of operational decisions
(Max 6. lines)
Start writing here:
Translation of objectives into costs and processes
(Max 6. lines)
Start writing here:
Analysis of trading partners
(Max 6. lines)
Start writing here:
Answers
Hali-Naturecare's performance is measured by evaluating each component of the supply chain. The following components of the supply chain were analyzed:Strategic Objectives: Hali-Naturecare's strategic objectives are focused on providing organic and eco-friendly products to its customers.
The company has a well-defined supply chain, but there is always room for improvement. Hali-Naturecare has successfully achieved its strategic objectives by offering eco-friendly products. They need to continue working on improving the distribution of their products to increase sales. Interactions between organizational stakeholders: Hali-Naturecare has created excellent relationships between all stakeholders.
The company's management has collaborated well with the suppliers and distributors to ensure that they receive quality products and deliver the same to the customers. The company needs to work on improving the delivery process so that products are delivered to customers on time. Potential value of operational decisions: Hali-Naturecare's potential value of operational decisions is high. The company has invested in technology to improve the supply chain process.
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Which of the following is true of organizational citizenship behaviors (OCBs)?
a.
OCBs do not influence performance evaluation ratings.
b.
Cognition tends to direct OCBs toward managers.
c.
Affect tends to direct OCBs toward colleagues.
d.
Satisfied workers are less likely to engage in OCBs than dissatisfied workers.
Answers
The true statement of organizational citizenship behaviors (OCBs) is that effect tends to direct OCBs toward colleagues. Option C.
What is organizational citizenship behavior (OCB)?
Organizational Citizenship Behavior (OCB) is a term that describes discretionary employee behavior that is not part of the official job description. These activities contribute to the overall effectiveness and performance of the organization by improving work processes and providing a positive social environment.OCBs can be either individual or group-oriented.
They can be beneficial to colleagues, managers, or the organization as a whole. They are frequently implemented on a voluntary basis. Affective commitment, job satisfaction, and organizational support are the primary drivers of organizational citizenship behavior.
The effect, which is a person's general positive or negative feelings toward others, is one of the most important factors driving OCBs. When employees have favorable feelings toward coworkers, they are more likely to engage in discretionary behaviors that benefit their colleagues.
Therefore, the right answer is option C. The effect that tends to direct OCBs toward colleagues is true of organizational citizenship behaviors (OCBs).
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Does the Way Your Classroom Is Decorated Affect Your Learning?
Answers
Identify the difference between liquidity and marketability.
Answers
Answer:
Marketability describes an attribute of an investment that means it can be sold at any time. Liquidity describes an attribute of an investment that means it can be sold at any time close to the value of the original investment.
Explanation:
Answer:
Marketability: The likelihood that something will sell; market appeal.
The house has high marketability.
Liquidity: (uncountable) The state or property of being liquid.
(economics, countable) An asset's property of being able to be sold without affecting its value; the degree to which it can be easily converted into cash.
The stock of "Thai Restaurants of Texas" (commonly known as TRT) is currently selling for $100 per share. TRT bonds are zero-coupon bonds that currently trade at $800 per bond, with the face value being $1.000 and the maturity of the zero-coupon bonds being 5 years. The beta for TRT's stock is 0.6. The yield on a 10 -year Treasury bond is 3.5%. The expected return for the stock market is 11%, but the stock market has had an average annual return of 17% during the past 5 years. TRT is in the 20% tax bracket. There are 20.000 bonds outstanding as well as 2,000,000 common shares.
Answers
The yield to maturity on TRT's zero-coupon bonds is 5%.
The stock of "Thai Restaurants of Texas" (TRT) is currently selling for $100 per share. TRT also has zero-coupon bonds that currently trade at $800 per bond, with a face value of $1,000 and a maturity of 5 years. The beta for TRT's stock is 0.6. The yield on a 10-year Treasury bond is 3.5%. The expected return for the stock market is 11%, but the stock market has had an average annual return of 17% during the past 5 years.
TRT is in the 20% tax bracket. There are 20,000 bonds outstanding and 2,000,000 common shares.
To calculate the expected return on TRT's stock, we will use the capital asset pricing model (CAPM). The CAPM formula is:
Expected Return = Risk-Free Rate + Beta * (Market Return - Risk-Free Rate)
1. Calculate the Risk-Free Rate:
The risk-free rate is the yield on a 10-year Treasury bond, which is 3.5%.
2. Calculate the Market Return:
The market return is the expected return for the stock market, which is 11%.
3. Calculate the Expected Return using the CAPM formula:
Expected Return = 3.5% + 0.6 * (11% - 3.5%)
Expected Return = 3.5% + 0.6 * 7.5%
Expected Return = 3.5% + 4.5%
Expected Return = 8%
Therefore, the expected return on TRT's stock is 8%.
Now, let's calculate the yield to maturity (YTM) for TRT's zero-coupon bonds.
YTM is the rate of return anticipated on a bond if it is held until maturity. Since the TRT zero-coupon bonds have a face value of $1,000, are currently trading at $800, and mature in 5 years,
we can use the following formula to calculate the YTM:
YTM = (Face Value / Current Price)^(1 / Number of Years) - 1
YTM = ($1,000 / $800)^(1 / 5) - 1
YTM = 1.25^(1 / 5) - 1
YTM = 1.05 - 1
YTM = 0.05 or 5%
Therefore, the yield to maturity on TRT's zero-coupon bonds is 5%.
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You are attending a lecture by a banker and you expect her to advocate bank savings accounts. However, she advocates stock investments instead. Since her message goes against her own self-interest, you perceive her as _______ and the message as _______.
Answers
Answer: sincere; persuasive
Explanation:
Since her message of the banker goes against her own self-interest, you perceive her sincere and the message as persuasive.
Being sincere simply means that the banker is giving the lecture genuinely and what she is saying is free from being deceitful. Also, hee message is being regarded as persuasive.
Fixed costs are _____.
a. the costs related to the product that have to be paid regardless of the amount you sell
b. the costs that change depending on a company's performance
c. the costs resulting from a business owner's choice when selecting one thing over another and how it will impact the business
d. none of the above
20 POINTS HURRY PLZZZ
Answers
Answer:
d. none of the above
Explanation:
Fixed costs are a firm's expenses that remain constant in a financial period. These are the costs that are not affected by the level or quantity of output. Fixed costs are the costs of staying in business because they have to be paid regardless of output level. Examples of fixed costs include rent, administrative salaries, insurance, depreciation, and license fees.
Costs that vary depending on company performance are variable costs. Opportunity costs are the costs resulting from a business owner's choice when selecting one thing over another and how it will impact the business
Answer:
The answer is A. the costs related to the product that have to be paid regardless of the amount you sell
Explanation:
3. Explain what Ross chose to do when his tour in New York came to an end
Answers
Ross chose to return to his hometown in Texas after his tour in New York came to an end.
He had been away from home for quite some time and was eager to be reunited with his family and friends.
Additionally, Ross had gained valuable experience during his time in New York and was excited to apply his new skills and knowledge to his work back home.
Ross was grateful for the opportunity to work in New York but ultimately decided that being close to his loved ones and continuing his career in Texas was the best decision for him.
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in the long run a company that produces and sells pizzas incurs total costs of $1,050 when output is 90 pizzas and $1,200 when output is 100 pizzas. the pizza company exhibits
Answers
Answer:
The diseconomies of scale because average total cost is rising as output rises.
Explanation:
Kitts Co. buys and sells a product that has a variable cost per unit of $18. Kitts' fixed costs amount to $40,000 and a desired profit of $8,000. The product sells for $22 each. If Kitts is able to reduce fixed costs by $12,000, the number of units that must be sold to earn the desired profit will decrease by what?
Answers
If Kitts Co. is able to reduce fixed costs by $12,000, the number of units that must be sold to earn the desired profit will decrease by 3,000 units.
To calculate the number of units that must be sold to earn the desired profit before the reduction in fixed costs, we can use the following formula:
(units sold) x ($22 selling price) - (units sold) x ($18 variable cost per unit) - $40,000 fixed costs = $8,000 desired profit
Simplifying this formula, we get:
(units sold) x ($4) = $48,000
So, the number of units that must be sold to earn the desired profit before the reduction in fixed costs is 12,000 units ($48,000 ÷ $4).
If Kitts is able to reduce fixed costs by $12,000, the new fixed costs would be $28,000 ($40,000 - $12,000).
Using the same formula as before, we can calculate the new number of units that must be sold to earn the desired profit:
(Units sold) x ($22) - (units sold) x ($18) - $28,000 = $8,000
(units sold) x ($4) = $36,000
So, the new number of units that must be sold to earn the desired profit is 9,000 units ($36,000 ÷ $4).
Therefore, the number of units that must be sold to earn the desired profit will decrease by 3,000 units (12,000 units - 9,000 units) if Kitts is able to reduce fixed costs by $12,000.
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Which of the following best describes ethics?
Answers
Correct/Complete Question:
Which of the following best describes ethics?
A. An academic discipline which originated in the early 1900s.
B. A descriptive approach that provides an account of how and why people do act the way they do.
C. The study of how human beings should properly live their lives.
D. A normative approach such as psychology and sociology.
Answer:
C
Explanation:
Ethics can be defined as a branch of knowledge that is concerned with morals or moral principles. These moral principles are the principles by which people should live their lives. Moral principles tells us right from wrong.
Ethics is a sub-course under philosophy as it involves the provision, systematizing as well as defense of the concept of what should be right or what should be wrong.
Ethics can also be called moral philosophy. It can be divided into metaethics, normal ethics and applied ethics.
Cheers.
Pasadena Candie Inc; projected sales of 58,000 candies for January. The estimated January 1 inventory is 2,300 units, and the desired January 31 inventory is 6,000 units. Prepare a production budget r
Answers
Required production: 61,700
Add: Desired ending inventory: 6,000
Total required units: 67,700
To prepare a production budget for Pasadena Candie Inc., we need to calculate the required production quantity for January by considering the projected sales and desired inventory levels.
Given:
- Projected sales for January: 58,000 candies
- Estimated January 1 inventory: 2,300 units
- Desired January 31 inventory: 6,000 units
Step 1: Calculate the required production to meet projected sales:
Required production = Projected sales + Desired ending inventory - Beginning inventory
Required production = 58,000 + 6,000 - 2,300
Required production = 61,700 candies
Step 2: Prepare the production budget:
Production Budget for January:
Units:
Required production: 61,700
Add: Desired ending inventory: 6,000
Total required units: 67,700
Please note that the production budget may also include additional details such as the production schedule, production costs, and other relevant information depending on the specific needs and requirements of Pasadena Candie Inc.
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a situation where each firm chooses the best strategy, given the strategies chosen by other firms is known as:
Answers
The situation where each firm chooses the best strategy, given the strategies chosen by other firms is known as the Nash Equilibrium.
The Nash Equilibrium is a solution to a game in which every player chooses the best possible move given the moves of the other players. It is named after John Nash, a Nobel Prize-winning economist. The Nash equilibrium is a concept in game theory that refers to a situation in which every player in a game picks the best strategy given the strategies chosen by the other players. It is the most commonly used equilibrium concept in the social sciences, including economics, political science, and sociology.
A firm is a commercial enterprise, which is a business organization that produces and sells goods and services. It is also known as a company or a corporation. A firm can be for-profit or non-profit. It is a type of organization that is created to accomplish a specific goal, such as making a profit or providing a service.
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The fact that multiple generations often work together in family businesses provides which of the following advantages? A) They will have equal skills with technology B) Family dynamics will play a part in business relationships C) perspectives of diverse clients are more likely to be taken into consideration D) Family members from different generations are more likely to get along
Answers
Answer:
Explanation: B) Family dynamics will play a part in business relationships.
What is earning interest on previously earned interest called?
Answers
Answer:
Compounding. Earning interest on previously earned interest plus the principal amount.
Explanation:
Earning interest on previously earned interest is called compounding. Thus, compounding is the correct term for this definition.
It refers to the process of reinvesting the accumulated interest back into the initial principal amount, allowing for exponential growth over time. With each compounding period, the interest is calculated not only on the original principal but also on the interest earned in previous periods.
This compounding effect leads to the gradual growth of the investment or savings. Compounding is a powerful concept in finance and can significantly enhance the growth of investments or savings over the long term. It is a key factor in various financial instruments such as savings accounts, bonds, and investment portfolios.
Thus, earning interest on previously earned interest is called compounding.
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When demand and production increase, what usually decreases?
Answers
Answer:
Price usually decreases
Explanation: When a product’s demand and production increase, PRICE usually decreases.
Answer:
Prices
Explanation:
Take the example of Apple. If Apple was to lower the price of the iPhone 11 to 300 dollars then there would be way more people buying the iPhone. Demand went up because prices went down
What else did sharon do to avoid future overdraft fees?.
Answers
To avoid overdraft fee, Sharon signed up for alerts by email and text to know when her account balance is lower than a certain amount.
What is an overdraft?It should be noted that an overdraft simply means a loan that's provided by a bank which allows a customer to pay for bills when the account reaches zero.
In this case, in order for Sharon do to avoid future overdraft fees, we can signed up for alerts by email and text to know when her account balance is lower than a certain amount.
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Matt is the curator at a large national museum. He researches and catalogs new art pieces that are submitted to the museum. What education might have been necessary for Matt to attain this position? O A. O B. O C. O D. high school diploma associate degree in performing arts bachelor's degree in art history doctorate in computer sciences
Answers
The best education for Matt to attain the position of curator at a large national museum is an Option C. bachelor's degree in art history.
A curator is a person who is in charge of the collection and display of artifacts in a museum. Curators are responsible for organizing exhibits, acquiring new collections, and keeping the existing ones in good shape, among other duties. The work of a curator demands a high degree of knowledge of the materials they handle, in addition to organizational skills and the ability to engage with the public.
Curators must typically hold a bachelor's degree in a field related to the collection they oversee. Art history, anthropology, or archaeology are popular majors for curators. Additionally, they should have experience in their particular field of expertise. Furthermore, many museums will require their curators to have a Master's degree or Ph.D. in their field or a related one. These degrees are obtained in specialized postgraduate degree programs, and they demonstrate a deeper understanding of the subject matter and a commitment to the field.
The education for Matt to attain this position would be a bachelor's degree in art history. Art history is the study of visual art throughout history. It is an academic discipline that combines cultural and historical perspectives to examine and understand visual art. In this field, you will learn about artists and their works, styles and movements, and the cultural contexts that surrounded them. This knowledge is critical to the work of curating art collections, and it will enable Matt to be efficient in his job. Therefore, the correct option is C.
The question was incomplete, Find the full content below:
Matt is the curator at a large national museum. He researches and catalogs new art pieces that are submitted to the museum. What education might have been necessary for Matt to attain this position?
A. high school diploma
B. associate degree in performing arts
C. bachelor's degree in art history
D. doctorate in computer sciences
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The process by which new products and technologies drive out existing products and techniques is known as: Destructive creation. Creative destruction. Consumer sovereignty. Capital accumulation.
Answers
Answer:
The correct answer is B. Creative destruction
Explanation:
The process by which new products and technologies drive out existing products and techniques is known as: Creative destruction.
You submit a bid of $125 per room for 60 rooms for two nights. The group's event planner says she will award you the bid
if you come down 12%. What is the new bid to secure the contract?
Answers
The new bid to secure the contract is:$13,200.
New bid to secure the contractFirst step is calculate the cost of rooms for two night
Cost=$125 per room×60 rooms×2 night
Cost=$15,000
Second step is to calculate the new bid
New bid=$15,000-(12%×$12,000)
New bid=$15,000-$1,800
New bid=$13,200
Inconclusion the new bid to secure the contract is:$13,200.
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Richard is conducting a study to determine job worth and level of compensation for engineers in his company. What is Richard doing
Answers
To determine the yield rate, convertible semiannually, that the investor realizes, we need to find the yield rate that makes the present value of each bond's cash flows equal to its purchase price.
Let's denote:
r = Yield rate, convertible semiannually
P1 = Purchase price of the first bond
P2 = Purchase price of the second bond
C1 = Coupon payment for the first bond
C2 = Coupon payment for the second bond
N = Number of periods (20 years * 2 semiannual periods = 40)
For the first bond with a par value of $500 and a coupon of $45, the cash flows consist of 40 coupon payments of $45 each and the par value of $500 at maturity.
The present value (PV) of the first bond can be calculated using the present value formula for a bond:
P1 = (C1/r) * (1 - (1 + r)^(-N)) + (Par value / (1 + r)^N)
For the second bond with a par value of $1,000 and a coupon of $30, the cash flows consist of 40 coupon payments of $30 each and the par value of $1,000 at maturity.
The present value of the second bond can be calculated similarly:
P2 = (C2/r) * (1 - (1 + r)^(-N)) + (Par value / (1 + r)^N)
Given that the dollar amount of premium on the first bond is twice as great as the dollar amount of discount on the second bond, we have:
(P1 - Par value) = 2 * (Par value - P2)
Simplifying the equation, we have:
P1 - Par value = 2 * Par value - 2P2
P1 + 2P2 = 3 * Par value
Now, we can substitute the coupon and par values into the equations and solve for r using numerical methods or financial calculators to find the yield rate, convertible semiannually, that the investor realizes.
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Why are economic systems needed? Respond to the question below with a minimum of 5 sentences.
Answers
Answer:
Explanation:Since economic resources are scarce, they must be used efficiently. We want to produce as much goods and services as we can, and in the process, produce the goods and services needed the most. There are five functions an economic system performs in producing goods and services for consumption.
Who are the majority of businesses in resort towns targeted to?
O
seniors
O
tourists
O
employees
investors
Answers
The majority of businesses in resort towns target tourists.
Who is the luxury hotel industry's target customer?As you can see, a wide range of people from across all walks of life who are prepared to pay a little extra for the luxury hotel experience makes up the target audience for luxury hotels.
What advantages come from forming and focusing on prospect groups?Overall, specialization is the main advantage of identifying and pursuing niche markets. Finding more wealthy guests who will gush about your hotel will be easier if you can be more precise with your market segmentation.
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are these the right key words for the definitions?
Answers
Answer:
yes because the definition match the words given
firms often engage private investigators to conduct searches for additional information when prospective clients blank . multiple select question. terminated the predecessor auditor are under some type of investigation have never been audited before have shown recent losses are financial institutions
Answers
When potential clients have fired the previous auditor, are the subject of an inquiry, or have recently reported losses, firms frequently use private investigators to hunt for further information.
Firms often engage private investigators to conduct searches for additional information when prospective clients have terminated the predecessor auditor, are under some type of investigation, and have shown recent losses. These situations can be red flags for firms and financial institutions, and investigators can help provide additional insight and information to make informed decisions. Clients who have never been audited before may also require additional investigation to ensure they meet the necessary criteria for working with financial institutions.
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how do you find marginal cost? for 50 points
Answers
Marginal cost= change in total cost/change in quantity
A scope creep __________ is a list of additional ideas or bells and whistles proposed during a project.
Answers
Based on business management, a scope creeps "parking lot" lists additional ideas or bells and whistles proposed during a project.
Typically, a scope creeps parking lot is a document that records the project scope requests that the stakeholders do not authorize.
There a various information or scope requests that can be documented in the scope creep parking lots. Some of these unauthorized scope requests include the following:
An ambiguous scope of workPoor planning scheduleProject duration and complexity lCommunication between project stakeholders, etc.Hence, in this case, it is concluded that the correct answer is "parking lot."
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