Which approach will yield a more efficient outcome

Assignment Help Financial Management

Reference no: EM131200097

The city of Johnstown decides to build a new stadium to attract a basketball team from the city of Rosendale.

One economic advisor suggests that the stadium should be financed by a 2-year sales tax of 10%, while another advisor suggests that the stadium should be financed with a 20-year sales tax of 1%.

Assume that the interest rate is zero. Which approach will yield a more efficient outcome? Why?

Reference no: EM131200097

Questions Cloud

Advantages or disadvantages between the two : There are two types of hypervisors (bare-metal) and hosted. What are the advantages or disadvantages between the two?

Cost of ordering and carrying for sterilization packages : The CHEMSA chemical supply center provides popular sterilization materials for hospitals. The weekly demand for sterilization materials is two hundred packages. Determine the average number of packages on hand. Determine the number of orders per year..

What kinds of disabilities might an ell have : What kinds of disabilities might an ELL have? What are the challenges of determining whether an ELL has a learning ability or is gifted? What kinds of interventions are used once an ELL has been identified as having a learning disability?

Problem regarding the heuristics and analytics : The ideal method of evaluation products involves volunteers. However, sometimes this is not feasible (i.e., product time constraint, too expensive, etc). This where experts who are knowledgeable about interaction design, needs, and typical behavio..

Which approach will yield a more efficient outcome : The city of Johnstown decides to build a new stadium to attract a basketball team from the city of Rosendale.- Assume that the interest rate is zero. Which approach will yield a more efficient outcome? Why?

Discuss ways to reduce noise that is fed through coupling : The noise due to variations in ambient light can be a major problem in optically coupled systems. Briefly discuss a method that could be used in an optically-coupled device in order to make the device immune to variations in the ambient light leve..

Role of islam in cross-cultural relations-business operation : Discuss the role of Islam in cross-cultural relations and business operations?

What is your recommendation and why : You are a consultant to the government of Buttony. - It provides you with the following information. - What is your recommendation, and why?

What are implications of inevitability and irreversibility : What are the implications of inevitability, irreversibility, and unrepeatedly for publishing a profile and communicating via social network sites?

User Account

All Pages