Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

12. After investing in drone industry for certain years, an investor finds that the net benefit is $10,000. Had he invested in bonds at 9%

image text in transcribed
12. After investing in drone industry for certain years, an investor finds that the net benefit is $10,000. Had he invested in bonds at 9% he could get $9,200, Had he invested in an Al industry he could get $11,000 with a 10% return. What is the RoR of his current investment? (hints. Values are PV] A: 8.89% B. 8.44% C. 9.11% D. 9.56% 7 13. Extra:- Which is better after considering benefit-cost ratio. 5 +5 =10 System X System Y EUAC- $132 $53 EUAB 139 $59 14. Extra: John expects a guaranteed ROR to triple his investment in 10 years. What nominal inter looking for? (Answer is in %) -(use calculator) A 11.60 B. 11.29 C. 12.00 D. 12.98

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Plenitude The New Economics Of True Wealth

Authors: Juliet Schor

1st Edition

1594202540, 9781594202544

More Books

Students also viewed these Economics questions