Friction-desirable and undesirable
Question 1: Give examples, from your own experience, of situations where friction is (a) desirable, and (b) undesirable.
Question 2: Give examples, from your own experience, of situations where wear is (a) desirable, and (b) undesirable.
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Hence calculate the average thickness of the water film beneath each ski. (The latent heat of fusion of ice is 330 MJ m-3)
An investment cost 80,000 with no salvage value, a 5 year useful life, and had an expected annual increase in net income of $7,000. Straight line depreciation is used. What is the expected rate of return on this investment?
The sales manager argues that because the present $811 per ton price for the flour results in a $8 per ton loss, the milling of flour should not be resumed until the price per ton rises above $819.
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Give examples, from your own experience, of situations where friction is (a) desirable, and (b) undesirable.
News Corporation is considering investing $65,000 in equipment to produce a new product. The useful service life of the equipment is estimated to be ten years, with no salvage value.
Calculate the probability of default for each of the five tranches. How does the likelihood of a tranche defaulting compare with the risk of the underlying mortgages?
The present value of an annuity for six years at 10% is 4.3553. This company uses straight-line depreciation. Which investment should this company select? Explain.
Al Corbin is 25 years old today and he wishes to accumulate enough money over the next 35 years to provide for a 20 year retirement annuity of $100,000 at the beginning of each year, starting with his 60th birthday.
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