The relationship between employees and employers implied by the concept of the psychological contract is similar to that of the relationship between ___ in that each party seeks to gain value from the exchange. - teachers and students - performers and their audience - buyers and sellers - leaders and followers
Answers
The answer to the question is that the relationship between employees and employers implied by the concept of the psychological contract is similar to that of the relationship between buyers and sellers in that each party seeks to gain value from the exchange.
The psychological contract refers to the unwritten expectations and obligations that employees and employers have towards each other, beyond the formal employment contract. This includes things like job security, career development opportunities, and work-life balance. Similarly, buyers and sellers have certain expectations from each other in a transaction, such as quality products or services and fair pricing. In both cases, there is an exchange of value that each party seeks to obtain.
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Related Questions
________ is the broad practice of managers considering the impact of their organization on the natural environment.
Answers
Green management is the broad practice of managers considering the impact of their organization on the natural environment.
Green management is an organizational management approach aimed at reducing the environmental impact of business activities while improving business efficiency and profitability.
The focus of green management is sustainability, making decisions and actions that are environmentally responsible, socially beneficial and economically viable.
Used for sustainable development and corporate sustainability, it is the right choice as it allows organizations to consider their impact on the natural environment and prevent the hazards that various activities can cause.
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Which supporting detail would best fit in a paragraph about the economy of a utopia?
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It is difficult to identify a specific supporting detail for a paragraph about the economy of a utopia, as the concept of a utopia is based on the idea of a perfect or ideal society, and therefore may not have the same economic structures and systems as those found in the real world.
What is Utopia?Numerous issues, including riches, power, slavery, and the roots of injustice, are presented in Utopia. Because there is no money or private property in Utopia, there is no greed, corruption, or power battles.
However, some possible supporting details that may be relevant to a paragraph about the economy of a utopia could include:
The lack of poverty and inequality in a utopia, as all members of society have access to basic needs and resources.The abundance of resources and sustainable economic practices in a utopia, which allow for the prosperity of all members of society.The elimination of traditional forms of currency and the implementation of alternative systems of exchange in a utopia, such as resource-based economies or gift economies.The emphasis on collaboration and cooperation rather than competition in a utopia, which allows for the fair distribution of resources and the achievement of common goals.Learn more about utopia here: https://brainly.com/question/5226964
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According to the video, which employer hires most career Firefighters?
city and country fire departments
chemical and manufacturing plants
airports
agencies that fight forest fires
Answers
The first choice, which refers to both city and rural fire departments, is correct.
What do firefighters contribute to society?A firefighter is a first officer on the scene and rescuer who has received extensive training in firefighting. Their main duty is to put out dangerous fires that endanger men's careers, their property, and the environment.They may also be required to protect the life of livestock in specific circumstances or jurisdictions.. A female firefighter is less commonly referred to as a firewoman than a male firefighter.
One of the three basic emergency responders is the fire service, typically known as the fire dept or fire department in multiple countries. There are now firefighters everywhere in the world, both on ships and in cities..
Throughout a firefighter's career, the skills necessary for safe operations are routinely practised throughout training evaluations. Introductory firefighting techniques are typically taught in fire academies or training programmes that have received municipal, regional, or state approval. Further knowledge and credentials in fields like technical rescue and pre-hospital medicine may also be obtained at this time, depending on the demands of a department.
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Answer:
city and country fire departments
What detail most clearly develops the central idea in the first question you answered?
Group of answer choices
"Plasmodium’s ancestors probably rubbed shoulders with the eggs and larvae of mosquitoes, similarly floating on sun-dappled waters.” (paragraph 7)
“And yet, despite the millennia-long battles between us, malaria still manages to infect at least three hundred million of us— . . . and kills nearly one million, year after year.” (paragraph 2)
"The survivors learned how to withstand the diseases’ ravages, though, and in time both measles and smallpox settled into being unremarkable childhood illnesses. . . .” (paragraph 1)
“The rest of us all do our obscure little part in the drama of life, weaving ourselves deeper into local ecology. . . .” (paragraph 4)
braiiest
Answers
The detail that most clearly develops the central idea in the first question is “And yet, despite the millennia-long battles between us, malaria still manages to infect at least three hundred million of us— . . . and kills nearly one million, year after year.” (paragraph 2).
What can be said of the Malaria pathogen?The first question has the central idea that the malaria pathogen has not become less deadly over the centuries.
This is proven by the fact that even though humanity has fought the malaria pathogen for thousands of years, it still infects millions every year and leads to the death of almost of million people.
This means that the pathogen is still very strong and has not grown to be less deadly like measles and smallpox.
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15.the need the firm will fill, the operations of the business, its components and functions, as well as the expected revenues and expenses is expressed in the organization's .
Answers
The organization's business plan expresses the need the firm will fill, operations, components, functions, and financial expectations.
The organization's business plan serves as a comprehensive document that outlines various aspects of the business. It expresses the need or purpose that the firm aims to fulfill in the market. This can include identifying the problem or demand that the business intends to address, whether it's a product or service need.
Furthermore, the business plan outlines the operations of the business, including the strategies, processes, and activities involved in running the organization. It encompasses the components and functions of the business, such as production, marketing, sales, finance, human resources, and more. The business plan details how these different aspects of the business will work together to achieve the organization's goals and objectives.
Additionally, the business plan includes financial projections, which cover expected revenues and expenses. This section outlines the anticipated income the business expects to generate from its products or services and estimates the costs associated with operating the business. It helps assess the viability and profitability of the venture, providing a roadmap for financial planning and decision-making.
Overall, the organization's business plan serves as a comprehensive blueprint that articulates the need the firm aims to fill, explains the operations and functions of the business, and provides financial projections for expected revenues and expenses. It is a crucial document for guiding the organization's direction, attracting investors or stakeholders, and ensuring a structured approach to achieving business objectives.
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"Project manage implementation " is included under which of following steps establishing a retrieval service? Select one: a. Design b. Analysis c. Development d. Implementation
Answers
The phrase "Project manage implementation" is included under the step of Implementation when establishing a retrieval service.
The term "project manage implementation" refers to the process of overseeing and coordinating the execution and deployment of a project. It involves managing the activities, resources, timelines, and deliverables necessary for successful implementation. In the context of establishing a retrieval service, project management implementation would involve organizing and leading the efforts to bring the retrieval service from the planning and development stage to actual implementation.
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which type of scale would be appropriate to prioritize a requirement that is mission critical?
Answers
A nominal scale would be appropriate to prioritize a mission-critical requirement.
In order to prioritize a requirement that is mission-critical, a scale that allows for categorical ranking without any quantitative measurement would be appropriate. The nominal scale is the most basic level of measurement where categories are assigned for identification or classification purposes. It does not involve any ordering or quantitative assessment of the variables.
Using a nominal scale, the mission-critical requirement can be classified as a distinct category separate from other requirements. This allows for clear identification and prioritization of the requirement based on its criticality. Other scales, such as ordinal or interval scales, involve ranking or quantitative measurement, which may not be suitable for capturing the specific importance of a mission-critical requirement. Therefore, a nominal scale is the most appropriate choice to prioritize such a requirement, ensuring it receives the necessary attention and resources.
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According to the video, what are some decisions that Architects make? Check all that apply. how much money a building will be worth when finished what traffic patterns people will follow how people will feel when they enter or leave a building how many laborers are needed for a project where to put doors, walls, and windows what building materials to use which people will be allowed to enter a building
Answers
Answer:
2,3,5,6
Explanation:
Answer:
other guy is correct
Explanation:
X-Perience manufactures snowboards. Its cost of making 24,900 bindings is as follows: (Click the icon to view the costs. ) Suppose an outside supplier will sell bindings to X-Perience for $14 each. X-Perience will pay $2. 00 per unit to transport the bindings to its manufacturing plant, where it will add its own logo at a cost of $0. 70 per binding. Read the requirements. Х Data table Requirements w whether the company should ma ce column when the cost to make e Direct materials $ 27,000 84,000 Direct labor. Variable manufacturing overhead Fixed manufacturing overhead 54,000 84,000 1. X-Perience's accountants predict that purchasing the bindings from the outside supplier will enable the company to avoid $2,000 of fixed overhead. Prepare an analysis to show whether the company should make or buy the bindings. 2. The facilities freed by purchasing bindings from the outside supplier can be used to manufacture another product that will contribute $3,400 to profit. Total fixed costs will be the same as if X-Perience had produced the bindings. Show which alternative makes the best use of X-Perience's facilities: (a) make bindings, (b) buy bindings and leave facilities idle, or (c) buy bindings and make another product. $ 249,000 Total manufacturing costs Cost per pair ($249,000 = 24,900) $ 10. 00 X-Perience manufactures snowboards. Its cost of making 24,900 bindings is as follows: Requirement 1. X-Perience's accountants predict that purchasing the bindings from the outside supplier will enable the company to avoid $2,000 of fixed overhead. Prepare an analysis to show whether the company should make or buy the bindings. (Enter a "o" for any zero balances. Round any per unit amounts to the nearest cont and your final answers to the nearest whole dollar. Use a minus sign or parentheses in the Difference column when the cost to make exceeds the cost to buy. ) a Incremental Analysis Outsourcing Decision Make Bindings Buy (Outsource) Bindings Difference Variable Costs Plus: Fixed Costs Total cost of 24,900 bindings Decision Requirement 2. The facilities freed by purchasing bindings from the outside supplier can be used to manufacture another product that will contribute $3. 400 to profit. Total fixed costs will be the same as if X-Perience had produced the Show which alternative makes the best use of X <-Perlence's facilities: (a) make bindings. (b) buy bindings and leave facilities idle, or (c) buy bindings and make another product. (Enter a 'o'for any zero balances. Round any per unit amounts to e bindings the nearest cent and your final answers to the nearest whole dollar. ) Buy (Outsource) Bindings Incremental Analysis (a) Make (b) Leave (c) Make Outsourcing Decision Binding Facilities Idle Another Product Variable Costs Plus: Fixed Costs Total cost of 24,900 bindings Less: Profit from another product Net cost Decision:
Answers
Requirement 1: X-Perience should outsource the bindings since it can save $5.70 ($16.70 - $10.99) per binding, or $141,930 ($5.70 × 24,900) in total.
Requirement 2: X-Perience should buy bindings from an outside supplier and use the facilities to manufacture another product.
1. Analysis to show whether the company should make or buy the bindings:X-Perience should buy bindings from the outside supplier. Here's why:Variable costs per binding:
Direct materials: $27,000/24,900 = $1.08Direct labor: $84,000/24,900 = $3.37Variable manufacturing overhead: $54,000/24,900 = $2.17Total variable cost per binding: $6.62
Total cost per binding if X-Perience makes it:Variable cost per binding: $6.62Fixed manufacturing overhead cost per binding: $84,000/24,900 = $3.37
Total cost per binding: $10.99X-Perience will pay $14 + $2 + $0.70 = $16.70 per binding to buy from an outside supplier. The cost to make each binding is $10.99. Therefore, X-Perience should outsource the bindings since it can save $5.70 ($16.70 - $10.99) per binding, or $141,930 ($5.70 × 24,900) in total.
2. Analysis to show which alternative makes the best use of X-Perience's facilities:X-Perience should buy bindings from an outside supplier and use the facilities to manufacture another product since it will lead to the highest profit. Here's why:
Total fixed cost of making the bindings: $84,000 + $84,000 = $168,000
Total cost of making the bindings: $249,000 + $168,000 = $417,000
Total profit from making another product: $3,400Total cost of outsourcing bindings: $16.70 per binding × 24,900 = $416,730
Total net cost of making another product after outsourcing the bindings: $416,730 - $3,400 = $413,330If X-Perience makes bindings, then it has no facilities left to manufacture another product, so the total profit will be $0. If X-Perience buys bindings and leaves the facilities idle, then the total profit will be $0. However, if X-Perience buys bindings and makes another product, then the total profit will be $3,400. Therefore, X-Perience should buy bindings from an outside supplier and use the facilities to manufacture another product.
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what is the difference of communism and socialism?
Answers
For socialism there is limited Private owner ship, government and private entities,Limited class distinctions and production for societal needs .
what are tax liabilities??
Answers
Answer:
What is tax liability? Tax liability is the total amount of tax owed in a given period, by individuals and organizations, to federal, state, and local governments. For businesses, tax liabilities are short-term liabilities recorded on a balance sheet and paid within a year.
Explanation:
4. If your checking account's balance is
$3,678.89 and you withdraw $1,514, what
is the remaining balance?
A $2,164.89
B $5,192.89
C$2,614.89
D $3,678.89
(Step by step ) please
Answers
Basically just subtract, 3,678.89-1514 = 2,164.89
if real gdp is greater than nominal gdp then the gdp price index group of answer choices is greater than 100. is either equal to or greater than 100. is equal to 100. is less than 100. none of the above answers is correct because we need to choose a new base year.
Answers
If real GDP is greater than nominal GDP, then the GDP price index is either equal to or greater than 100.
The GDP price index is used to calculate the inflation rate and indicates the price changes of goods and services produced in a country. It measures the price level of all goods and services produced by a country over a certain period. The GDP price index is also known as the GDP deflator. It is a more accurate measure of the price level than the consumer price index (CPI) because it covers all goods and services produced in the economy, not just those consumed by households.
The formula for the GDP price index is as follows:
GDP price index = (Nominal GDP / Real GDP) x 100
If real GDP is greater than nominal GDP, it means that prices have decreased over time, and the economy has experienced deflation. In this case, the GDP price index would be greater than 100 because the ratio of nominal to real GDP is less than one. However, if the GDP price index is exactly 100, it means that there has been no change in prices, and the economy has experienced zero inflation or deflation.
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True or false: A direct, manufacturer-to-consumer supply chain is a poor choice in a simple economy.
Answers
Answer:
False
Explanation:
Question: leadership style and conflict
if kim took a vote to decide who should be on the team and made everyone part of the decision, what leadership style would she have, what are the benefits of this style on team psychology, and how might this style impact the team in managing conflict?
Answers
The type of leadership style described in the given scenario is known as participative leadership.
What is Leadership?This refers to the act of being responsible for the actions and activities of a group of people.
Hence, participative leadership would have a good psychological impact on the people because their input is asked which means that everybody's opinion matters.
Please note that your question is incomplete so I gave you a general overview to help you get a better understanding.
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During a hostile takeover the acquiring firm will have to announce its intentions after it obtains?
Answers
During a hostile takeover, the acquiring firm will have to announce its intentions after it obtains a significant stake in the target company.
In a hostile takeover, the acquiring firm attempts to take control of a target company without the consent or cooperation of the target's management or board of directors. To comply with legal and regulatory requirements, once the acquiring firm obtains a substantial ownership stake in the target company, it is typically obligated to disclose its intentions publicly. This announcement informs the target company's shareholders, management, and other stakeholders about the acquiring firm's plans and objectives regarding the acquisition. It provides transparency and allows all parties involved to assess the situation and make informed decisions. The specific threshold or trigger for the announcement may vary based on jurisdiction and applicable laws.
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which feature should hr incorporate into a pre-employment test for a position that requires a high degree of accuracy, with any mistakes by the incumbent being dangerous?
Answers
The pre-employment exam conducted by HR should include elements that gauge a candidate's attention to detail and capacity for working under pressure for a position requiring a high degree of precision and where errors by the incumbent could be hazardous.
Pre-employment tests are evaluations made to determine a job candidate's talents, skills, and credentials for a particular post. These examinations may include aptitude testing, cognitive evaluations, personality tests, and skill-based tests, among others. Pre-employment tests are designed to measure candidates' capacity for carrying out essential work duties and gauge their likelihood of succeeding in the position, assisting employers in selecting the best candidates for the position. Pre-employment tests can also assist companies in lowering the possibility of hiring applicants who do not possess the skills or talents required to carry out the work, which will ultimately result in better hiring decisions and higher productivity. Pre-employment tests must be created and carried out properly and without discrimination, though.
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Functions of marketing
Answers
Answer:
There are seven widely accepted marketing functions that contribute to the overall work of marketers. The seven functions include: Promotion. Selling. Product management. Pricing. Marketing information management. Financing. Distribution. Why are the seven marketing functions important? The seven marketing functions are important since each of them represents a category of activities that occurs in marketing.
Explanation:
Important Functions of Marketing :
1. Gathering and Analysing Market Information: ...
2. Marketing Planning: ...
3. Product Designing and Development: ...
4. Standardisation and Grading: ...
5. Packaging and Labelling: ...
6. Branding: ...
7. Customer Support Service: ...
8. Pricing of Products:
Suppose that Papau New Guinea's potential GDP is equal to $950 trillion and that its real GDP is equal to $850 trillion.
Answers
In the given scenario, Papua New Guinea's potential GDP is $950 trillion, while its real GDP is $850 trillion. Potential GDP refers to the maximum output an economy can produce when utilizing all available resources efficiently and without causing excessive inflation.
Real GDP, on the other hand, represents the actual value of goods and services produced in an economy within a specific period, adjusted for inflation. The difference between potential and real GDP indicates an output gap, which, in this case, is $100 trillion. An output gap can be either positive or negative, depending on whether the economy is operating above or below its potential.
A negative output gap, like in Papua New Guinea's situation, suggests that the economy is not utilizing its resources to its full potential, and there may be factors such as unemployment or underutilized capital. This output gap could be a result of various factors, including structural issues, cyclical economic fluctuations, or external shocks.
Policymakers in Papua New Guinea can address this issue by implementing fiscal and monetary policies aimed at increasing investment, productivity, and labor force participation. By doing so, they can work towards closing the output gap and achieve a higher real GDP closer to the country's potential GDP.
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The amount of goods to be acquired from suppliers during the period is shown on the _______ budget.
Answers
The amount of goods to be acquired from suppliers during the period is shown on the merchandise or purchase budget.
What is the purchases budget?The purchases budget shows the quantity and amount of goods that a merchandiser needs to order from suppliers for the budget period.
Preparing the purchases budget helps to estimate demand and order points.
A company also uses the purchases budget to prepare for increases or changes in product lines or the launching of new products.
Thus, the amount of goods to be acquired from suppliers during the period is shown on the merchandise or purchase budget.
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Imagine you are a training and development specialist.
You are tasked with creating a training workshop about strong meeting facilitation. Create an outline for this workshop.
Include:
Medium: Is your training in-person, webinar, online, or some other method? Objectives: What are your intended outcomes?
Outline: What information topics will you deliver on? What activities will you ask the people in the training to do, individually and in groups? How will the content be organized?
Deliverables: What will you have attendees produce or accomplish by the end of the training to show that they have absorbed the information?
Evaluation: What can you do at the end to measure participants' feelings about the training?
Answers
The goal of training session is to provide attendees with knowledge, skills, and understanding that they can apply in their work or personal lives.
What is training?Training is the process of teaching or learning a particular skill, knowledge, or behavior through practice and instruction. In the context of machine learning, training refers to the process of teaching a computer algorithm to recognize patterns and make predictions based on input data. During training, the algorithm is fed a large amount of data, along with the correct outputs, and it adjusts its parameters to minimize the difference between the predicted output and the actual output. This process is repeated over many iterations until the algorithm can accurately make predictions on new, unseen data. Training is a crucial step in developing effective machine learning models and is essential for a wide range of applications, from image recognition and natural language processing to self-driving cars and fraud detection.
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Eric has decided to invest small amounts in bonds over time. This rules out purchasing a single bond. He is seeking a bond mutual fund with a yield over 4%. Which fund would you recommend?
Mutual fund name:
Ticker symbol:
Mutual fund objective:
Expense ratio:
Minimum investment:
Minimum additional investment:
Yield:
Answers
Eric has decided to invest small amounts in bonds over time. This rules out purchasing a single bond. He is seeking a bond mutual fund with a yield over 4%. Yield, fund would be recommended.
What is bonds?
Bonds are issued by governments and corporations when they want to raise money. By buying a bond, you're giving the issuer a loan, and they agree to pay you back the face value of the loan on a specific date, and to pay you periodic interest payments along the way, usually twice a year.
Bonds yield income, are think over little riskier than working capital and can help change portfolios. The first is to hold those bonds yield until their maturity date and accumulate interest commences on them. Bonds, in general, are less risky and more buttoned-up than frameworks in yield.
As a result, the significance of the bonds yield to invest small amounts in bonds over time are the aforementioned.
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Some banks pay interest only on the minimum or smallest balance on deposit during an interest period. Helen Lamb had a balance of $783 in such an account on July 1. Annual interest is 2.7% compounded quarterly. She withdrew$170 on August 17 and deposited $200 on September 12. What was Helen’s minimum balance during the quarter?
Answers
Helen's minimum balance during the quarter was $613.
What is Minimum Balance in Account?According to the terms and conditions of the account agreement, a customer is required to keep the smallest amount of money in their account for a predetermined amount of time. This amount is known as the minimum balance in an account. Depending on the type of account and the bank's policies, the minimum balance can be set at a certain amount or it can change.
Plugging in the values, we get:
A = 783(1 + 0.027/4)^(4*(3/12))
A ≈ $791.13
So the balance at the end of the quarter, before the deposit, was about $791.13.
Next, we need to figure out the impact of the withdrawal and deposit:
August 17: Helen withdrew $170, leaving a balance of $783 - $170 = $613.
September 12: Helen deposited $200, bringing the balance to $613 + $200 = $813.
We can conclude that the minimum balance was $613 because the balance on July 1 was higher than the estimated balance at the end of the quarter, which was $791.13.
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how are cash inflows and outflows related to the company's primary business classified?
Answers
The amount of money a company receives (inflows) from its primary business of producing and selling finished goods or rendering services, along with any outflows (such as payments for expenses), is referred to as cash flow from operating activities.
Cash flows from operations also include: sales proceeds in cash. Operating activities, investing activities, and financing activities make up the three categories of cash flows. money-related noncurrent asset activities are included in investing.
The relationship between cash inflows and outflows. Money coming into a business is known as cash inflow, and it may come from sales, investments, or financing. The opposite of a cash outflow is a cash inflow, which is money entering a business.
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According to the authors of your text, women in leadership positions are in a double bind: If they conform to social expectations about how to behave and are warm and communal, they may be seen as having low leadership potential; then, when they are given the opportunity to lead and they __________, they are perceived negatively.
Answers
act in agentic, assertive ways
Cain Company reports net cash provided by operating activities of $35,000. It also reports the following information under “Adjustments to reconcile net income to net cash provided by operating activities” on its statement of cash flows (using the indirect method).
Answers
It can be seen from the solutions given that Cain's net income is $24,000.
Here is the solution:Net income = Net cash provided by operating activities - Adjustments
= $35,000 - $6,000 - $10,000 + $4,000 + $7,000 + $4,000
= $24,000
Therefore, Cain's net income is $24,000.
Here is a breakdown of the adjustments:
To determine cash flow from operations, it is necessary to include the gain on equipment sales in the net income as it is a non-cash entry.
A rise in accounts receivable implies that customers are prolonging payment of their invoices, resulting in decreased cash flow from the company's activities.
The depreciation expense is classified as a non-cash expense, hence it must be included in the calculation of cash from operations by adding it back to the net income.
A decrease in inventory indicates that the company is experiencing faster turnover of its inventory, leading to increased cash flow generated by its operations.
A rise in prepaid expenses denotes that the company is channeling more funds towards prepaid expenditures like insurance and rent, implying a reduced cash inflow from its operational activities.
A decline in the amount of wages that the company owes indicates that it is not promptly compensating its workforce. Consequently, this implies that the company's operational cash flow is reduced.
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Miguel is trying to decide what luggage to buy. He has a choice of brown or black, wheels or no wheels, and small, medium, or large.
What is the probability of Miguel buying a large black piece of luggage with wheels?
Answers
The probability of Miguel buying a large black piece of luggage with wheels is 1/12.
When you perform the calculations, you would find out that you would have to multiply the variables and possible chances of occurrence and the answer is 1/12.
What is Probability?This refers to the chance of an event occurring and this is based on several factors.
Hence, we can see that The probability of Miguel buying a large black piece of luggage with wheels is 1/12.
When you perform the calculations, you would find out that you would have to multiply the variables and possible chances of occurrence and the answer is 1/12.
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Write about the ways to maintain a positive body
image.
What I Should Do to Maintain a Positive Body Image
Answers
Answer:
Eat Healthy
Maintain a good diet
Meditate
Practice self confidence
Work out
Stay positive
Have a healthy mental state
Megan received a loan of $7,700 at 4.50% compounded monthly. She settled the loan by making periodic payments at the end of every three months for 5 years, with the first payment made 4 years and 3 months from now. What was the size of the periodic payments?
Answers
Megan received a loan of $7,700 at 4.50% compounded monthly. She settled the loan by making periodic payments at the end of every three months for 5 years, with the first payment made 4 years and 3 months from now.
What was the size of the periodic payments?
The periodic payment is $250.59.Megan received a loan of $7,700 at a 4.50% annual interest rate compounded monthly. To find the interest rate per period, divide it by 12. Thus, the interest rate is 0.045/12 = 0.00375.The length of time for the loan is five years, or 20 quarters.
The initial payment was made 4 years and 3 months before the loan ended. This is equal to 4.25 years or 17 quarters since there are four quarters in a year.
Since the loan is settled through periodic payments every three months, Megan will make a total of 20 – 17 = 3 × 4 = 12 payments.
To determine the size of the periodic payment, we will utilize the formula for annuities:
A = (Pmt x [1 – (1 + r)-n]) / r.
where A is the present value of the annuity or the amount of the loan, Pmt is the periodic payment, r is the interest rate per period, and n is the number of periods.
The present value of the annuity is equal to the loan amount, which is $7,700.
Substitute the known values into the formula to get:
$7,700 = (Pmt x [1 – (1 + 0.00375)-12]) / 0.00375.
Simplify and solve for Pmt:
Pmt = $250.59.
Answer: $250.59.
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The market interest rate is 8 percent and is expected to stay at that level. Consumers can borrow and lend all they want at this rate. Would you prefer a $350 rebate on a $9,000 car or one year of financing for the full price of the car at 0 percent interest? You would ____
What if the interest rate were 15 percent?
If the interest rate were 15 percent, then you would ____
a prefer the rebate b be indifferent c prefer the financing
Answers
At an 8% interest rate, you would prefer one year of financing for the full price of the car at 0% interest over a $350 rebate. However, if the interest rate were 15%, you would prefer the $350 rebate.
To determine whether you would prefer a $350 rebate on a $9,000 car or one year of financing for the full price of the car at 0 percent interest, we need to compare the present value of the options.
At an 8 percent interest rate, we can calculate the present value of the financing option by discounting the full price of the car ($9,000) over one year:
PV(financing) = $9,000 / (1 + 0.08) = $8,333.33
Comparing this to the $350 rebate, it is clear that the present value of the financing option is higher. Therefore, at an 8 percent interest rate, you would prefer one year of financing for the full price of the car at 0 percent interest.
Now, let's consider the case when the interest rate is 15 percent. Following the same calculations, we find
PV(financing) = $9,000 / (1 + 0.15) = $7,826.09
In this case, the present value of the financing option is lower than the $350 rebate. Therefore, if the interest rate were 15 percent, you would prefer the $350 rebate on the $9,000 car.
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