This topic contains a solution. Click here to go to the answer
« previous next »

Author Question: The authors provide an example that illustrates the calculation of the present discounted value for ... (Read 113 times)

james0929

  • Hero Member
  • *****
  • Posts: 586
on: Jul 1, 2018
The authors provide an example that illustrates the calculation of the present discounted value for the lost wages from a deceased worker, and one component in this calculation is the worker's annual mortality rate (m).
 
  Suppose we conduct this computation in two different ways --- one calculation assumes m is constant for all future periods, and the other calculation allows m to decline over time due to improvements in medical technology. Which estimated PDV will be larger? A) The PDV with constant m will be larger
  B) The PDV with variable m will be larger
  C) The two PDV's will be equal
  D) The answer to this question depends on the assumed interest rate

Question 2

Refer to Scenario 10.1. The price of her product will be ________.
 
  A) 4
  B) 22
  C) 32
  D) 42
  E) 72


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
Marked as best answer by a Subject Expert

stallen

  • Sr. Member
  • ****
  • Posts: 336
Reply #1 on: Jul 1, 2018
Answer to Question 1

B

Answer to Question 2

B


james0929

  • Member
  • Posts: 586
Reply 2 on: Jul 1, 2018
Gracias!

amynguyen1221

  • Member
  • Posts: 355
Reply 3 on: Yesterday
:D TYSM

« previous next »
 

Did you know?

You should not take more than 1,000 mg of vitamin E per day. Doses above this amount increase the risk of bleeding problems that can lead to a stroke.

Did you know?

When Gabriel Fahrenheit invented the first mercury thermometer, he called "zero degrees" the lowest temperature he was able to attain with a mixture of ice and salt. For the upper point of his scale, he used 96°, which he measured as normal human body temperature (we know it to be 98.6° today because of more accurate thermometers).

Did you know?

Tobacco depletes the body of vitamins A, C, and E, which can result in any of the following: dry hair, dry skin, dry eyes, poor growth, night blindness, abscesses, insomnia, fatigue, reproductive system problems, sinusitis, pneumonia, frequent respiratory problems, skin disorders, weight loss, rickets, osteomalacia, nervousness, muscle spasms, leg cramps, extremity numbness, bone malformations, decayed teeth, difficulty in walking, irritability, restlessness, profuse sweating, increased uric acid (gout), joint damage, damaged red blood cells, destruction of nerves, infertility, miscarriage, and many types of cancer.

Did you know?

Giardia is one of the most common intestinal parasites worldwide, and infects up to 20% of the world population, mostly in poorer countries with inadequate sanitation. Infections are most common in children, though chronic Giardia is more common in adults.

Did you know?

Most childhood vaccines are 90–99% effective in preventing disease. Side effects are rarely serious.

The oxygen isotope curve illustrates the ratio between 16O and 18O. The oxygen isotope curve illustrates the ratio between 16O and 18O.
This chart illustrates the “drip down” model of government. In this, politics is formed by the soc This chart illustrates the “drip down” model of government. In this, politics is formed by the soc
High rates of rural poverty have been a part of the United States from its origin to the present. ... High rates of rural poverty have been a part of the United States from its origin to the present. ...
Calculation of the Amount of the Local Anesthetic and Vasoconstrictor Calculation of the Amount of the Local Anesthetic and Vasoconstrictor
Growing plants in a container garden can provide healthy, nutritious vegetables for your dinner Growing plants in a container garden can provide healthy, nutritious vegetables for your dinner
What is the discounted value of deposits of $150.00 made at the end of each month for fourteen ... What is the discounted value of deposits of $150.00 made at the end of each month for fourteen ...
Video: Requirements for nervous signals

For a complete list of videos, visit our video library