MUH 301 Week 2 Lecture Notes

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a SrEPs fer making eabconsenie Analysts J) _ eee @ Recagnition and firmulation of the problem @) DVevelepment of tha feasible alternatives feosible cash fiews @ Developmest ad. the. far each alternatives ® Seleetian of criteria Ber dletereniniag the prefecredk atiernctive. parison od the alternate s © Acalysis and com © Seleaon ot Ye preferred atterrative cinq ond post evaluation @ Perlasmanee mnenits ELEMENTS of TRANSACTIONS eles NRT of a@ sum money Gesipratedt as time zere for anetuyaiz) (P) > aa (CY = inteest rale 2 “the cost or price of cnaney seupressed as pocenitige per periacl of Hime, nN Unberof iteett eye ae ( ? ai pies Oo Bee = a fue Value amerunt of money (F) 4 sa worth r A A diserete peje ae ceceipt ecconth ‘ 7 de of some interest per'act az mepa i che oftne Ua tdoren sores arf pe rieth —) by peril seator amon + decrease thea red G= ” Cinereexe. OF in cach Lowy oe at geametne prot ee \ ts not the seme 4S mene eae ones ees is not ‘the some ‘a the future - {OO TL ig worth ers aoe athe Tees (velve) fan 490TL a same fatere time costs + and ts whi: fe be cause mene —_— mea sured by an interest rate price of money ( pate ,the cost Or Le tateest expresset as a Pe seen tA ge per peied £ -ime - sinteest rate cen be clacsified as simple ar compan \rberest . Toateest= jis caleteted by covitiolgrap Soele vaitiol epitel with Sateest role Copitel atthe begtanian snvoesba E-Po fpok/0> Ba piteinp=too(gtond) | ‘Crlen £ @ com pond inteest istemlertoted 2y mae th ated capita? with yeteest rete. Ye creey awl iethlo Period | tepitatette Legraning | interest c@ital year Es peer ot He end te0%e, lana. F142 oxo, | : ae aid ghar roux es =giad $ 433.) tae ,be07 | [ast | Seen Biu,641) SAL os jaa (iy (oo (t+ ony fb1es eee &461.5) io f cone Lyle 2a. Se: b growth pote. of is bower the o* eared lees the shale Interest ee ly ‘d pret A eyed ® [avest men’ cost Cjatial cai ) J ieooo [F190 999 \$rg0ce east | anv dopesteg cost Bnovel Lene [sts _—_—— aur { | ee cosh fel dng, BEALE howe ater yeas vse fal hee- b) \f savoge elt of We peyeet xs freee ghget. Toe Co Reser Crh fine dings (8 Por the aajent AY t $000 fase eg oe eee 1O a is yin ere ta ene, > % 3 Sloan {loos ee te — -— — Ntveor) 4\g0000 or pet cash fw diagecers ) VW 4 \ Pyare au a Sa ee gree (hoo ° — es Neos) $ | 80000 Fyoa56 y) £ 2 ‘| sine Aaa oo * 4 v v ns (7 er : ah Goce! ooo V ¢ oo Gree fimo $9 HP

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