For each of the following, is the tendency to raise or lower the MARR of investm
ID: 1231845 • Letter: F
Question
For each of the following, is the tendency to raise or lower the MARR of investment in these situations? Why?1) The federal government has decided to take protectionist measures due to the tariffs imposed on goods
flowing out of the country.
2) Due to the slump in housing prices, a home builder determined that his rate of return last year was 5%.
However, low interest rates have given a boost to housing demand this year.
3) A donut shop company wants to move into an area of high competition.
4) The business tax and income tax have increased by 5% over the last number of years.
Explanation / Answer
1. lower the MARR 2. increase the MARR 3. lower the MARR 4. lower the MARR Please rate appreciated
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