What is the present worth of the savings

Assignment Help Business Economics
Reference no: EM131808887

Added insulation will save Hi Tec Manufacturing $150,000 per year for the next 20 years. Assume that the savings are continuous throughout the year and that i = 6%. What is the present worth of the savings? (Answer: $1.77M)

Reference no: EM131808887

Questions Cloud

What is the pw and equivalent annuity for felix : What is the PW and equivalent annuity for Felix's salary over the next 5 years? Felix uses an interest rate of 6%. (Answer: PW = $162,009)
Activities are designed to ensure nothing significant : These activities are designed to ensure nothing significant has occurred between the completion of your fieldwork and the issuing of the audit report
Proportion of variation in sales from one agent to another : What proportion of the variation in sales from one agent to another is attributable to territory size? What proportion is due to other factors?
Compute the unit product cost for year one : Compute the unit product cost for Year 1, Year 2, and Year 3. (Round your intermediate calculations and final answers to 2 decimal places.)
What is the present worth of the savings : Assume that the savings are continuous throughout the year and that i = 6%. What is the present worth of the savings?
Discuss what is flowers current e&p : What form would Flower use to report nondividend distributions,
What is the present worth of the construction costs : The costs are evenly distributed within each year, and the interest rate is 10%. What is the present worth of the construction costs?
What is the pw : Costs are $10M, $50M, $80M, and $50M for years 1 to 4. Costs are continuous within each year, and i is 15%. What is the PW?
Evenly distributed within each year : If the interest rate for the 27-year period is 6% and cash flows are evenly distributed within each year, what is the PW? (Answer: $26.64M)

Reviews

Write a Review

Business Economics Questions & Answers

  Marginal revenue product and marginal resource cost

In 2009 General Motors (GM) announced that it would reduce employment by 21,000 workers. What does this decision reveal about how GM viewed its marginal revenue product (MRP) and marginal resource cost (MRC)? Why didn't GM reduce employment by more t..

  Explain will this information alter your pricing decisions

Camera Shop will discontinue its operations next month. Explain will this information alter your pricing decisions today.

  Individual and corporate servant leaders

Research a servant leadership organization of your choice or one of the organizations listed on the "Individual and Corporate Servant Leaders" handout in the Topic Materials. Selections do not need to be limited to businesses. What do you see as the ..

  Q1 illustrate what is the meaning of economies of scope and

q1. illustrate what is the meaning of economies of scope and explain how do they differ from economies of

  Increase in real gross domestic product

Suppose the marginal propensity to save (MPS) equals 0.30, an increase in autonomous investment of $100 will lead to an increase in real Gross Domestic Product (GDP) by

  Qthe economic analysis division of mapco enterprises has

q.the economic analysis division of mapco enterprises has estimated the demand function for its line of weed trimmers

  What are the consequences of not looking

What are the consequences of not looking at various perspectives and the interests of other people involved, while making a responsible ethical decision?

  What wage when there is no minimum wage

A monopsonist’s demand for labor can be written as VMPE = 40 – 0.004ED. Labor is supplied to the firm according to w = 5 + 0.01ES. Thus, the firm’s marginal cost of hiring workers when it hires off of this supply schedule is MCE = 5 + 0.02ES. (a) How..

  Describe the short-run impact that economic fluctuations

Describe the short-run impact that economic fluctuations and growth (or lack thereof) have had on aggregate supply, aggregate demand, output, unemployment, and inflation.

  If policy change increases social welfare

For each of the following, identify whether the statement is true, false or uncertain and justify your answer. If everyone has the same marginal rate of substitution, then the allocation is Pareto efficient. b) If a policy change increases social wel..

  Increase or decrease the quantity of money in circulation

Suppose there is a temporary but significant increase in oil prices in an economy with an upward-sloping Short-Run Aggregate Supply (SRAS) curve. If policymakers wish to prevent the equilibrium price level from changing in response to the oil price i..

  Advantages of using paper money instead of gold coins

What are the functions of money? What are the advantages of using paper money instead of gold coins? Can an economy exist without paper money? How different would it be from our modern economy? Order the following assets by liquidity from the most li..

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