The interest rate is 1 percent per month

You are to conduct an observation of a toddler (18 months – 35 months) that you do not know. Toddlers can be observed in one of several settings such as a child care facility, a playgroup, a nursery class (church or other volunteer organization) or another location in which the toddler has the opportunity to…

Sweetbay supermarket’s new project has initial cost is $5000 and it is expected to provide after tax operating cash flows of $2800 in year 1, $1900 in year 2, $2000 in year 3 and $1800 in year 4. The cost of capital for the project is 15%.a)what is the payback period for the project?b)what is…

You have collected the following data on output and total variable costs:QTVC ($)1602110315041805200623072808350944010550Identify the range of output exhibiting increasing returns (increasing MP), and the range exhibiting diminishing returns (decreasing MP).Current fixed costs for the company equal $200. Draw two graphs, both with Q on the horizontal axis: one graph shows TVC and TC, and the…

One of the largest ethical and legal cases in a very long time has involved Enron. An excellent book on Enron entitled “The Smartest Guys in the Room” is a great book to read, if you get a chance. You may also want to view the documentary by the same name. On June 24, 2010…

Eco4000You believe that the economy will take three states boom; normal; bust with probability of 20%; 50%; 30% The stock index will take three levels under the three states: 2300; 2000; 1800 Q1. What is the expected value of the index? (note this is also the fair value of the index today) Q2. What is…

The most obvious leakage or capital market imperfection affecting the debt and equity choice is: (Points : 1)bankruptcy risk.differential taxation of cash flows between debt and equity.the obligatory payment of interest and discretionary payment of dividends.the inability of bond rating agencies to perfectly foresee risk.Question 10. 10. The key to successful capital budgeting is to:…