There are trade-offs involved in every economic decisions. When considering whether or not to carry out a capital investment‚ it is rational for firms to estimate the expected rate of return on investment by comparing the costs of purchasing and maintaining the capital goods and the future expected profits. However‚ it is flawed to treat the value of a pound that is received in the future to be equal to the value of a pound received today. One reason is that due to rising inflation‚ the true value
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proposal process of investing into an equity joint venture in the city of Changchun.This proposal would be one of the first two green field equity joint venture with PepsiCo having control over both the board and day-today managmenet. PepsiCo uses capital budgeting tools such as NPV and IRR to systematically evaluate their investment project. Using this evaluation method Mr Hawaux‚ vice president of Finance for PepsiCo East Asia‚ was wondering whether this project would be profitable and if PepsiCo
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Healthcare Expenditures Summary Chris Jenkins Economics of Healthcare Instructor Kristie Racca South University Online Sunday April 7‚ 2013 National health expenditures have increased over the last 39 years. Out-of-pocket costs and third-party payments have increased significantly. From 1970-1980‚ out-of-pocket costs doubled and the total of health care expenditures nearly tripled. Also‚ out-of-pocket costs increased from 1980-2000
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Income and Expenditure Approach Ways of Measuring GNP Gross National Product (GNP) is the sum of all the final market values of goods and servicesin a given economy at a given period of time. This is the quantitative summary of all transactions of goods and services transacted within the economy in a year. It measures only legal and registered transaction. Non produced transactions are not included such as second hand sale‚ transfer of payments and buy and sell. Gross domestic product (GDP) is
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different instruments. Public expenditure has traditionally been a component of fiscal policy which is an instrument of the State to influence economic growth. Several models of government investment and growth have been designed to investigate the relation between government expenditure and economic growth. However‚ some debate prevails. To illustrate‚ studies done by Landau (1986)‚ Barro (1990)‚ Grier and Tullock (1989) reveal a negative relationship between government expenditure and economic growth‚ while
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References: Niser Monograph series 3‚ Ibadan. NISER‚ 1999. of Administrative Science 12(2) pp. 173-191‚ 2000. [3] Abu Nurudeen‚ Abdullahi Usman‚"Government Expenditure and Economic Growth in Nigeria"‚ 1970-2008: A Disaggregated Analysis‚ Business and Economic Journal‚ 2010. Financial Review‚ 2005. Econometrics pp. 1187-1193‚ 2002 w w w Zealand’s Road infrastructure Sydney"‚ 2003. Saudi-Arabia. India Economic Journal
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largest stock market in Australia whereby most transactions of shares and trade occur through here. Only listed companies are allowed to trade on the ASX‚ therefore allowing ASX to regulate the share market. This essay discusses how government expenditure and revenue affect the role of the share market from three different perspectives; shareholders‚ companies & the economy as a whole. Australia has an extraordinary level of share ownership as it has more shareholders per head of population compared
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examine carefully some time tested procedures and the challenges the Revenue Authorities faces when mobilizing revenue. Various scholars and administrative practitioners have put out a lot of theories‚ concerns and views on GRA’s ability to mobilize revenue and how these monies mobilized are spent. Among the reasons assigned by such concerns and opinions is‚ the challenges of the GRA administration is to be blamed on inadequate revenue mobilization‚ due to lack of mission or comprehensive functional
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What Is Revenue Management? The science and expertise of forecasting immediate consumer demand at the micro-market stage when optimizing cost and accessibility of your goods is called as revenue Management. The implementation of RM philosophy is indefinite‚ and has the prospective to yield remarkable stages of revenue. Enterprises that have used RM procedures have seen profits rising greatly by 7 percent exclusive of incorporating considerable sum of capital overheads‚ providing outcome in a revenue
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Background of the Study Persistent public expenditure and inflation have become major concerns in both developed and developing countries. Extensive theoretical and empirical literatures have been developed to examine the relationship between Public expenditure and macroeconomic variables. The monetarists share the view that fiscal deficits are harmful to an economy. While some of the increases in the public expenditure have been associated with declining tax revenue resulting from the recession‚ others
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