Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please help I keep getting it wrong!! 16.66 points Answer is not complete. a. Annual growth rate b. Annual growth rate between 1969 and 1989

Please help I keep getting it wrong!!
image text in transcribed

16.66 points Answer is not complete. a. Annual growth rate b. Annual growth rate between 1969 and 1989 b. Annual growth rate between 1989 and 2020 c. Future price c. Future price Problem 4-26 Spreadsheet Problem: Growth Rates (LG4-7) 0.980 % 8.530 0/0 Oil prices have increased a great deal in the last decade. The following table shows the average oil price for each year since 1949. Many companies use oil products as a resource in their own business operations (like airline firms and manufacturers of plastic products). Managers of these firms will keep a close watch on how rising oil prices will impact their costs- The interest rate in the PVIFV equations can also be interpreted as a growth rate in sales, costs, profits. and so on- Average 041 Prices Year 1949 1950 1951 1952 1953 1954 1955 1956 1957 195B 1959 1961 1962 1963 1964 1965 1966 1967 1968 per barrel $ 2.54 $ 2.51 $ 2.53 $ 2.53 $ 2.68 $ 2.78 $ 2.77 $ 2.79 $ 3.09 $ 3.01 $ 2.90 $ 2.88 $ 2.89 $ 2.90 $ 2.89 $ 2.88 $ 2.86 $ 2.88 $ 2.92 $ 2.94 Year per barrel Year 1989 1991 1992 1993 1994 1995 1996 1997 1998 1999 -z 21 2002 2W4 2W5 26 27 2008 per barrel 15.86 53.48 2.3 87.e4 15.99 93.e2 14.25 97.91 13.19 14.62 48.69 17.23 15.56 Year 29 2re 2011 212 2013 214 2015 2016 217 218 2019 202 per barra 1969 197 1971 1972 1973 1974 1975 1976 1977 1978 1979 198 1981 1982 1983 1984 1985 1986 1997 1988 $ 3.09 $ 3.18 $ 3.39 $ 3.39 $ 3.89 $ 6.87 $ 7.67 $ 8.19 $ 8.57 $ 9. $ 12.64 $ 21.59 $ 31.77 $ 28.52 $ 26.19 $ 25.88 $ 24.9 $ 12.51 $ 15.0 $ 12.58 16. 18. 54 46 87 $ 71.21 s 93.26 $ 43.14 $ 5.88 $ 65.23 S 56.99 $ 39.23 $ 26.72 $ 21 84 $ 22.51 $ 27.54 $ 38.93 $ 46.47 $ 58.3 $ 64.67 $ 91.48 a. Using the 1949 oil price and the 1969 oil price, compute the annual growth rate in oil prices during those 20 years. b. Compute the annual growth rate between 1969 and 1989 and between 1989 and 2020- c. Given the price of oil in 2020 and your computed growth rate between 1989 and 2020, compute the future price of oil in 2023 and 2028. Iq4q a. Annual growth rate b Annual youth rate between 1969 and 1989 b. Annual rate between 1989 and 2020 Future price FLNure price

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

Financial Management For Public, Health, And Not-for-Profit Organizations

Authors: Steven A. FinklerDaniel L. Smith, Thad D. Calabrese

6th Edition

978-1506396811, 150639681X

More Books

Students also viewed these Finance questions