首页
外语
计算机
考研
公务员
职业资格
财经
工程
司法
医学
专升本
自考
实用职业技能
登录
外语
You are deciding whether to purchase a used car. The price of the car is $1,400 and you expect the car to last for four years. Y
You are deciding whether to purchase a used car. The price of the car is $1,400 and you expect the car to last for four years. Y
admin
2011-01-15
64
问题
You are deciding whether to purchase a used car. The price of the car is $1,400 and you expect the car to last for four years. You have determined that the value of the flow of services you will receive from the car in each of the four years is $500. The interest rate is 20 percent. (Assuming that all figures are real terms.)
(a)Without discounting future cash flows and benefit streams, is the benefit of buying this car greater than the cost?
(b)When costs and benefits are appropriately valued, what is the net present value of this investment? Should you buy the car?
选项
答案
(a)The stream of benefits for the four years is $500+$500+$500+$500=$2,000. The stream of costs over the four years is $1,400+$100+$100+$100=$1,700. Therefore, the benefits outweigh the costs. (b)The PV of the benefit stream is $500/(1+20%)+$500/(1+20%)2+$500/(1+20%)3+$500/(1+ 20%)4=416.67+347.22+289.35+241.13=$1,294.37. The cost of the car is $1,400. The net present value is negative (1,294.37-1,400=-$105.63), and therefore you should not buy the car.
解析
转载请注明原文地址:https://kaotiyun.com/show/eCYd777K
0
中级(经济学)
原金融专业英语(FECT)
金融英语(FECT)
相关试题推荐
GeneralPershingwasafamousAmerican.HewasintheAmericanarmy,andfoughtinEuropeintheFirstWorldWar.Afterhed
Whatdotheythinkadoctorshouldbe?
Mr.Reeceis(Example:0)interestingoldman.Mr.Reeceworked【C1】______afarm.Heandhiswife【C2】______alotofthingsandthey
WearewaitingforLiMeito______usagoodstory.
In1870srichpeoplebegantospeakofspendingweekendsinthecountryvisitingfriends.Formostpeoplebackthen,however,th
Itisveryimportantforacompany______agoodofficesecretary.
A、PeterandMary.B、I’mAmerican.C、Ilikeparties.A
AmanufacturerhasthefollowingfigurefortheproductAOriginalDataIncreaseVariableCostto$15Unitselling3030Unitva
Whatarethewarningsignalstopotentialbadloans?Explainthem.
Financialintermediaries’primaryfunctioninfinancialmarketsistoserveas______.
随机试题
患者男性,58岁。高血压10余年,间歇发作胸闷、胸痛2年,医生确诊为原发性高血压、冠心病。此次上厕所后,突然出现胸闷、气短,咳粉红色泡沫痰。查体:端坐体位,心率1lO次/分,双肺可闻及水泡音,双下肢无水肿。此次发病的诱因可能是
A.卡介苗B.乙型脑炎疫苗C.麻疹疫苗D.脊髓灰质炎疫苗E.百日咳一白喉一破伤风混合疫苗 在下列各年龄时,应进行的预防接种的初种制剂分别是初生时
消费者和生产者的信息完整是市场失灵的表现。()
序时平均数是指时间序列中的各项指标值。()
有堤防的河道、湖泊,其管理范围为两岸堤防之间的()和堤防及护堤地。
建设工程项目的信息管理的目的旨在通过有效的项目信息传输的组织和控制为()。
下列选项中关于我国对企业社会工作的需求表述错误的是()。
风筝是中国的一个发明,被赞誉为现代飞机的先驱。它为科学的发展和飞机的生产做出了贡献。
软件架构风格描述某一特定领域中的系统组织方式和惯用模式,反映了领域中众多系统所共有的(51)特征。对于语音识别、知识推理等问题复杂、解空间很大、求解过程不确定的这一类软件系统,通常会采用(52)架构风格。(51)
VisitorstoSt.PaulCathedralaresometimesastonishedastheywalkroundthespaceunderthearchtocomeupastatuewhichwo
最新回复
(
0
)