Calculate the real interest rate-inflated adjusted rate

Assignment Help Business Economics
Reference no: EM131162990

A system which was established with a cost of $1000000 five years ago has a market value of $ 5000 with a salvage value of $30000 after 1 year and $25000 after 2 year and $ 15000 after 3 year the annual worth of the challenger will be $ 65000 perform the replacement analysis at an interest of 10%. Calculate the real interest rate per month if the inflated adjusted rate is 3% and the inflation rate is 0.5%

Reference no: EM131162990

Questions Cloud

Mostly positive impacts or negative impacts on host country : The theory of Foreign Direct Investment (FDI) through Multinational Corporations (MNCs) indicates that FDI/MNC has significant impacts on a host country through three major channels. What are the conclusions of these studies? Were there mostly positi..
Opportunity cost of going to a movie premiere at theatre : Calculate your opportunity cost of going to a movie premiere at the theatre with your friend Spencer on Saturday night in the following scenarios. You have no other plans for the night, and Spencer is paying for your ticket. You have already bought y..
Compute an expression for the marginal product of fertilizer : The per acre production function for rice is y = f (W, F ) = 2W^1/2 F^1/2 , where W is irrigation water, F is fertilizer and y is yield (output per acre). Compute an expression for the marginal product of water. Compute an expression for the marginal..
Distinguishing feature of monopoly-average revenue : distinguishing feature of monopoly. average revenue (For a monopolist) is. true of the profit earned by a monopilist. Which of the following factors explain the difference in long-run profits earned by a monopolist and a perfectly competitive firm
Calculate the real interest rate-inflated adjusted rate : A system which was established with a cost of $1000000 five years ago has a market value of $ 5000 with a salvage value of $30000 after 1 year and $25000 after 2 year and $ 15000 after 3 year the annual worth of the challenger will be $ 65000 perform..
Case scenario between marginal revenue and total revenue : What is the best case scenario between Marginal Revenue and Total Revenue? Do we want Total Revenue to be maximized and Marginal Revenue to be equal to zero or do we want Total Revenue to be rising and Marginal Revenue to be positive?
Compare the present worths of the two warehouse additions : A manufacturer requires an additional 10,000 square feet (929 square meters) of warehouse space. A reinforced-concrete building added to the existing main structure will cost $850,000, whereas the same amount of space can be constructed with a galvan..
Assume the same initial demand and supply equations : Assume the same initial demand and supply equations as we did in class for the gasoline market: Qd = 150 – 25P and Qs = 60 + 20P. Quantity is measured in billions of gallons. What is the tax equilibrium if the per unit tax is $2 per unit?What is the ..
Economy experienced large trade deficits : The U.S. economy experienced large trade deficits in the 1980s and 1990s and tremendous economic growth in the mid- and late-1990s.... Explain verbally the relationship between investment and long-term economic growth and describe the relationship gr..

Reviews

Write a Review

Business Economics Questions & Answers

  Average vs marginal cost at current quantity being produced

If a producer (who has no impact on prices) is correctly profit maximizing and making a profit, what must be true about average vs marginal cost at the current quantity being produced?

  Explain how each of the costs of expected inflation

The costs of expected inflation cause productive resources of an economy to be directed away from their efficient allocation. Explain how each of the following costs of expected inflation distrot the allocation of productive resources:

  Base pay to attract the desired number of recruits

The base pay for army recruits is $16,000 per year. The army has been recruiting 100,000 new soldiers each year. But this is found to be inadequate given the need for troops in abroad. what would have to be the increase in base pay to attract the des..

  What happens to t as real wage increases

Consider an economy where, consumer’s utility function is given as U(C,L)=C-(1/2)L2 . where C is consumption and L is labor. The production technology is Y=(1.6)L-(1/2)L2. The turnover cost per labor is (0.36)/(w/p). What happens to t as real wage in..

  Research where you would find the us international trade

research where you would find the u.s. international trade policies and their history as they apply to various

  Statistics on mobile phone usage by operating system

Choose a country other than the United States and provide current (2016) statistics on mobile phone usage by operating system and include country name, the statistics, the date of the data and the source of this data.

  Proportional tax must be just affordable under lump-sum tax

Show that the consumer is better off with a lump-sum tax rather than a proportional tax on wage income given that either tax yields the same revenue for the government. You must use a diagram to show this. (Hint: the consumption bundle the consumer c..

  After two quaters of increasing levels of production

After two quaters of increasing levels of production, the CEO of Canadian Fabrication and Design was upset to learn that, during this time of expansion, productivity of the newly hired sheet metal workers declined with each new worker hired. Explain ..

  Us supreme court justice stephen breyers book breaking the

u.s. supreme court justice stephen breyers book breaking the vicious circle toward effective risk regulation 1993

  Number of measures of aggregate economic activity

There are a number of measures of aggregate economic activity, such as GDP, GNP, national income, personal income, and disposable personal income. Each of these measures can be a good indicator depending on the issue under consideration.

  Second draft for grammatical errors

Write a first draft. Describe the topic and your response to someone else, and inquire about whether it makes sense and flows well. Edit your first draft, taking into account your reviewer's comments. Edit your second draft for grammatical errors,..

  Increase in equilibrium level of national income

In an economy, the marginal propensity to consume is 0.8. The government balances the budget by adjusting the proportional tax level to the required government spending. An increase by 10 million in government required spending will lead to an increa..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd