Annual Interest Rate Research Articles

Technical and Economic Analyses for the Implementation of a Biohydrogen Production System Using Bioelectricity from Vinasse Biogas of the Sugarcane and Alcohol Industry

This paper studies the implementation of a system consisting of an electrolyzer connected to a bioelectricity generator set that operates using vinasse biogas. Data on total ethanol production across all regions of Brazil were collected, and two ethanol plants in São Paulo state were selected for analysis (São Jose da Estiva and São Manoel). The feasibility of implementing this system at these facilities was evaluated using energy analysis for biohydrogen production. The process’s energy efficiency was assessed, allowing for the construction of a Sankey Diagram for both plants. Additionally, the costs of producing bioelectricity and biohydrogen via electrolysis using vinasse biogas from Brazil’s sugar/alcohol industry were determined, factoring in the payback period, equivalent utilization period, and annual interest rate. The study demonstrates the efficiency and cost-effectiveness of producing biohydrogen using vinasse biogas. The cost of producing bioelectricity at the two plants decreases significantly over the 25-year system implementation period, starting at around 0.159–0.197 USD/kWh in the first year and dropping to a minimum of 0.027–0.039 USD/kWh by the end of the period. The initial cost of producing biohydrogen ranges from 1.154 to 1.236 USD/kWh at São Jose da Estiva and from 1.491 to 1.597 USD/kWh at São Manoel in the first year. However, prices drop by nearly half in the second year, reaching 0.630 to 0.693 USD/kWh at São Jose da Estiva and 0.808 to 0.891 USD/kWh at São Manoel. The payback period for the biohydrogen and bioelectricity production system increases, with São Jose da Estiva generating income by year 5 at a 4% interest rate and by year 8 at a 12% rate. For São Manoel, income is expected by year 8 at a 4% interest rate and by year 16 at a 12% rate. Both plants recover their investment within the first 10 years of operation. By the final year, São Jose da Estiva’s income is projected to be between 363,262.20 and 678,129.46 USD/kWh, while São Manoel’s income is expected to range from 85,765.59 to 433,347.70 USD/kWh, demonstrating that the system is viable for sugar and ethanol plants.

Are retail investors willing to buy green bonds? A case for Japan

ABSTRACT With the growing importance of the financial sector in mitigating environmental pressure, many financial institutions have begun issuing green bonds. This study investigated retail investors’ willingness to pay for green bonds using the double-bounded dichotomous choice contingent valuation method. The findings from the survey performed on Japanese respondents reveal that, on average, respondents are willing to invest in green bonds when offered an annual interest rate of around 1.1%. The results also indicate that respondents with higher altruism and environmental awareness levels, information about green bonds, and frequent investors have a higher preference for investing in green bonds. The results suggest financial institutions’ importance in providing information on how green bonds can help reduce environmental pressure and raise investors’ awareness of green bonds.

Global Uncertainty: The Influence of Monetary Policies Order and Inflation Volatility on Bank Profitability African Bank and Middle East Bank

The objective of this paper is to examine the factors that influence the resilience and adaptability of banks to economic disruption. The aim is to encourage a collaborative and cooperative approach to these challenges. This study analyses the impact of monetary policies, inflation trends, and bank-specific determinants on bank profitability in the African and Middle Eastern regions. A quantitative research approach was used to assess macro and micro factors affecting bank profitability, using secondary data. The macro variables were obtained from the International Monetary Fund (IMF), and the micro variables were extracted from the banks' annual accounts. The research findings indicate that monetary policy and inflation have significant impacts on banks' profitability. Additionally, the System Generalized Method of Moments (GMM) model revealed that the annual interest rate (IR), inflation (INF), capital adequacy ratio (CAR), and previous financial performance (Lagged ROA/ROE) have positive and significant effects on both ROA and ROE. In addition, the loan-to-deposit ratio (LDR) had a significant positive effect on ROE, while the non-performing loan ratio (NPLr) had a significant negative effect. The validity and suitability of the GMM regression model used in this study were confirmed by the AR(2) and Sargan Test results. These findings provide valuable insights for decision-makers in the banking sector to respond to changes in monetary policy and manage risks associated with inflation fluctuations. The study emphasizes the importance of capital management and credit risk management in sustaining bank profitability amidst economic uncertainty.

Deep eutectic solvents recovery with bipolar membrane electrodialysis in biorefinery: An economic study

The complex composition and shortage of recycle technology restricted application of deep eutectic solvents (DES). Bipolar membrane electrodialysis has been proven efficient for DES recovery in biorefinery. A comprehensive economic study was essential prior to industrial recovery of DES with bipolar membrane electrodialysis (BMED). An economic study of the BMED-based recovery technique was performed by ascertaining influence of major factors on DES recovery charge with sensitivity analysis. Recovery charge of three representative types of DES was found to be changed within 0.83–1.66 $/Kg (choline chloride-ethylene glycol), 1.60–3.88 $/Kg (lactic acid-ethylene glycol), and 1.21–2.44 $/Kg (choline chloride-urea) as each factor altered in the control. Proportion of annual operating duration and loan duration displayed a negative correlation with the total recovery charge of DES. Multiple of membrane price, factor of membrane facility charge, factor of ancillary facility charge, factor of annual maintaining charge, annual reduction of recovery ratio, annual increase of recovery energy consumption, and annual interest rate of loan showed a positive relationship with the recovery charge. Total DES recovery charge increased within 6.0 %–6.4 % when heterogeneous ion-exchange membranes were employed in BMED facility instead of homogeneous ion-exchange membranes. This study verified the economic virtue of BMED-based DES recovery strategy in biorefinery.

Sharia Board Characteristics, Macroeconomic Factors, and Non-performing Financing of Indonesian Islamic banks

This study examines the impact of Islamic board characteristics (SB) and macroeconomic factors on the Non-performing financing (NPF) of Islamic commercial banks (ICB). The sample of this study consisted of 14 ICBs in Indonesia from 2010 to 2021. In this study, data estimation used a one-step GMM System model. SB features such as SB Size and SB Woman were found to have a detrimental impact on NPF. GDP per capita, for example, negatively affects NPF, while inflation has a positive impact. However, this study could not show the impact of SB characteristics such as expertise and proximity of SB to NPF. The study also found that macroeconomic factors such as annual open unemployment and interest rates showed an insignificant negative influence on NFP. The findings of this study help regulators, investors, and management of Islamic banks better understand the impact of SB characteristics and macroeconomic factors on Non-performing financing (NPF) of Islamic banks, especially in the context of ICB in Indonesia. In addition, it is expected to inspire similar research in the future.

Disentangling the Intention to Use Trade Credit in Family SMEs: The Influence of Knowledge and Signals

Abstract Trade credit is one of the primary sources of short-term financing, especially in family firms. However, trade credit can be expensive, with an implicit annual interest rate exceeding 40 %. From a theoretical point of view, cheaper short-term bank debt should then be preferred above trade credit. Surprisingly, the overall use of trade credit exceeds, by far, the use of short-term bank credit. Therefore, we investigate the antecedents of the intention to use expensive trade credit. Relying on the theory of honest incompetence, we argue that the CEO’s knowledge of trade credit determines the intention to use it. Additionally, we argue that even when the CEO is aware of the high costs related to trade credit, expensive trade credit may still be used in order to prevent sending negative signals towards the supplier. Our analysis, based on a sample of Belgian family SMEs, shows that knowledge of the cost of trade credit indeed negatively influences the intention to use trade credit.

A simulation model to analyze the behavior of a faculty retirement plan: a case study in Mexico

AbstractThe main goal in this study was to determine confidence intervals for average age, average seniority, and average money-savings, for faculty members in a university retirement system using a simulation model. The simulation—built-in Arena—considers age, seniority, and the probability of continuing in the institution as the main input random variables in the model. An annual interest rate of 7% and an average annual salary increase of 3% were considered. The scenario simulated consisted of the teacher and the university making contributions, the faculty 5% of his salary, and the university 5% of the teacher’s salary. Since the base salaries with which teachers join to university are variable, we considered a monthly salary of MXN 23 181.2, corresponding to full-time teachers with middle salaries. The results obtained by a simulation of 30 replicates showed that the confidence intervals for the average age at retirement were (55.0, 55.2) years, for the average seniority (22.1, 22.3) years, and for the average savings amount (329 795.2, 341 287.0) MXN. Moreover, the risk that a retiree of 62 years of age and more of 25 years of work, is alive after his savings runs out is approximately 98% and this happens at 64 years of age.

Fuzzy Cash Flow Analysis of Fluctuations in Interest Rates at the State Bank of Pakistan using Present Worth Criterion

A systematic approach is required to analyze present worth by incorporating annual interest rate fluctuations. This is a key factor in attracting local and foreign investors and maintaining a level of economic advancement. This study primarily focuses on the domain of the State Bank of Pakistan (SBP) and contributes towards achieving three major objectives. The first objective includes modeling interest rate values as triangular fuzzy numbers, and using the Analytic Hierarchy Process (AHP), a Multi-criteria Decision-Making technique (MCDM). Second, the triangular fuzzy interest rates are forecasted over a future timespan. Subsequently, the last objective includes the use of the Present Worth Analysis (PWA) to calculate the final net present value. The results demonstrate a trend in interest rates with net present values of specific future years. This research is a good initiative for the SBP and helpful for both foreign and local investors. The study is novel in that it involves the merging of qualitative and quantitative data. Furthermore, the combination of the forecasting technique, the AHP, fuzzy set theory, and present worth criteria renders a unique approach to formulating present worth. There is no previous research of this magnitude that has been conducted on this topic in a developing country such as Pakistan. This study delves into the annual interest rate fluctuations, providing valuable insights for present worth calculations.

АНАЛІЗ ІНФОРМАЦІЙНИХ ПЕРЕДУМОВ ОБРАННЯ БАНКІВСЬКИХ ПОСЛУГ СПОЖИВАЧАМИ В УКРАЇНІ

The article examines the role of consumer credit in the modern economy and its impact on meeting the needs of the population and promoting socio-economic development. Consumer credit is an important financial tool that allows individuals to access a wide range of goods and services, including longterm assets such as real estate, automobiles, education, and healthcare. The paper analyzes the conditions of consumer lending, including repayment terms, interest rates, and borrower requirements. Alongside consumer loans, microcredit is rapidly developing in the financial market, focusing on shortterm loans with higher interest rates and less stringent borrower requirements. The study compares consumer loans and microcredits, highlighting their similarities and differences to provide a better understanding of these financial products. Particular attention is paid to the statistics on the use of microcredits in Ukraine in 2023, which shows a significant increase in the number of loans issued. During this period, more than 8 million microloans were issued, amounting to a total of 40.62 billion UAH, with the average loan amount decreasing to 4564 UAH. The article also presents an analysis of the advertising campaigns for consumer loans, the network infrastructure of banks, and annual interest rates in various Ukrainian banks, such as Oschadbank, PrivatBank, Ukrsibbank, OTP Bank, and Credit Agricole. A separate section is dedicated to the credit ratings of banks according to Fitch Ratings’ international scale, demonstrating the reliability of financial institutions. Additionally, the article explores the credit risks of banks and the quality of their loan portfolios, which are crucial for understanding the financial stability of banks and their ability to serve their clients. The analysis revealed that the highest credit risks are concentrated among clients with critical financial conditions. The conclusions emphasize the importance of maintaining customer loyalty to banks by improving credit products and enhancing service quality, which will contribute to the further development of the banking sector and the growth of lending volumes.

Determination of Annual Net Single Premium Health Insurance for Epidemic Cases with Model Susceptible-Infected-Recovered

The calculation of a single annual net premium for health insurance from the epidemic disease SIR model has two models, including a single annual net premium with an inpatient benefit model and a single annual net premium with a lump sum benefit model. This study used Bank Indonesia’s annual interest rate of 6,5% and the calculation used the equivalence principle. The calculation results from one of the original data obtained an annual net single premium with inpatient benefits is IDR 418,359 for a benefit IDR 1,000,000 and the single annual net premium with lump sum benefits is IDR 15,949 for a benefit of IDR 1,000,000.

Optimal monetary policy responses to carbon and green bubbles:A two-sector DSGE analysis

This paper investigates the emergence of carbon and green bubbles and their impacts on macroeconomic performance and the environment, with a particular focus on identifying the optimal monetary policy responses. We construct a two-sector dynamic stochastic general equilibrium (DSGE) model that incorporates monetary policy and allows carbon and green rational bubbles to emerge. We find that while supply-side shocks drive bubble formation in both sectors, demand-side shocks have a disproportionate impact on these sectors. The paper also shows that contractionary monetary policies are effective in reducing both carbon emissions and asset bubbles. Optimal monetary policy response to the emergence of asset bubbles is calculated, emphasizing the crucial role of central banks in designing monetary policy rules that account for the emergence of bubbles. Social welfare can be optimized by reducing annual interest rates by 0.0612% and 0.0512% when green and brown bubble sizes increase by 1%, respectively. Furthermore, the most effective strategy to achieve a significant improvement in social welfare in both the short-run and the long-run is to implement policies where nominal interest rates react negatively to both types of asset bubbles simultaneously. The impacts of carbon taxation and green credit policies on asset bubbles are also studied.

Investment Plan and Evaluation of the Transition of a Farm to a Wellness Tourist Farm

This study aimed to develop a commercial concept for transforming farms into wellness tourist destinations. The proposed scenario involved the renovation of a hayrack into a highend tourist accommodation, comprising relaxation rooms with panoramic glass walls and the renovation of the barns, as well as an outdoor swimming pond. The research methods includeddescription, compilation, and synthesis to explore the legislation in Slovenia related to investment performance and trends in wellness tourism to support the realisation of the proposed investment. Furthermore, the study used the method of financial estimation of investment using cost-benefit analysis to facilitate the transition. Four datasets were used for the estimation: investment income, investment costs, end value of the investment, and annual interest rate. The estimated investment cost was €530,000 and the total estimated revenue was €192,720, with total costs amounting to 50% of the total income, as well as an annual cash flow of €96,360, which was used in the assessment of the investment return period. According to the findings, the investment return period is 15 years with the lowest annual cash flow and interest rate of 3.5%. However, caution is advised due to uncertainties in the long-term costs of raw materials and energy.

STRATEGI PEMERINTAH INDONESIA MENGATASI MASALAH EKONOMI PADA MASA REFORMASI (1999 – 2004)

The 1997 economic crisis was a miserable history for the Indonesian. The New Order government, which was unable to handle the storm of crises, made people's lives even more miserable. The economic reforms carried out by the post-New Order government were expected to overcome the crisis. This study aims to explore the various strategies adopted by the government at the beginning of the reform to deal with the crisis. The government in question is from 1999 to 2004. The research method uses the historical method with 4 steps, namely heuristics, verification, interpretation, and historiography. The years 2001 and 2002 recorded the highest inflation rates, the weakening of the rupiah exchange rate against the US dollar, and the highest annual interest rates. The strategy undertaken to deal with the economic crisis included carrying out Monetary Policy (controlling the money supply and raising SBI interest rates), bank liquidation, forming the National Economic Council, financial restructuring, and increasing investment. These various strategies have had a positive impact on reducing the rate of inflation and increasing the rate of economic growth.

Effect of economic and environmental parameters on multi-generation of electricity, water, heat, and hydrogen in Saudi Arabia: A case study

Since Saudi Arabia is developing policies and regulatory measures in the field of renewable hydrogen technologies and considering the high potential of solar radiation in Najran, the need to meet the welfare needs of residents of a part of this city by relying on solar energy seems necessary. The present work calculates the amount of electricity needed to supply 720 m3 of purified water in the optimal operating mode of the lowest operating pressure using the reverse osmosis (RO) system using Water Application Value Engine)WAVE (v.1.82q software. Then, the evaluation of electricity supply for agricultural irrigation and residential electricity and heat using a fuel cell-based system has been done by Hybrid Optimization of Multiple Energy Resources (HOMER) v.2.81 software. The production of electricity, heat, drinking water and hydrogen by a system based on solar energy is done for the first time in this geographical and climatic region. The use of the real grid electricity tariff, the use of batteries and diesel generators as backups, as well as the conversion of excess electricity into heat by dump load, in addition to making the present review comprehensive, can also help investors and decision-makers in the energy field as a road map. By performing sensitivity analysis on economic and environmental parameters, nine different scenarios were evaluated, and the system's performance during the useful life of 25 years was carefully assessed. The results showed that today hydrogen production is not economically viable in Najran. According to the results, the lowest price per kWh of electricity produced with the amount of −0.008 $ is related to the penalty of the pollutants equal to 300 $ and the annual interest rate is 3%. According to the results, the highest percentage of solar energy use is 58%, which leads to preventing the emission of 5364 kg of CO2 pollutants per year and converting excess electricity into 34,056 kWh of heat. Based on the results, the lowest investment return time is 2.57 years, related to the pollutants' penalty of 300 $/ton. The most hydrogen produced with the amount of 2709 kg/year is related to the best performance of the fuel cell (production of 5% of electricity and 1% of heat).

Ionic liquid recovery and recycling via electrodialysis in biomass processing: An economical assessment

Extravagant price and lack of high-efficiency recovery technology limited scale-up utilization of ionic liquids. Ionic liquids recovery with electrodialysis-based techniques has caught wide concern due to membrane-based characteristic. Economical assessment for electrodialysis-based ionic liquid recovery and recycling in biomass processing was performed by determining influence of equipment-related and financial-related factors with sensitivity analysis for each factor. Overall recovery cost of 1-ethyl-3-methylimidazolium acetate, choline acetate, 1-butyl-3-methylimidazolium hydrogen sulphate and 1-ethyl-3-methylimidazolium hydrogen sulfate varied within 0.75–1.96 $/Kg, 0.99–3.00 $/Kg, 1.37–2.74 $/Kg and 1.15–2.89 $/Kg when factors changed within investigated range. Fold of membrane cost, factor of membrane stack cost, factor of auxiliary equipment cost, factor of annual maintenance cost and annual interest rate of loan were positively related with recovery cost. While percentage of annual elapsed time and loan period were negatively correlated with recovery cost. Economical assessment confirmed economic efficiency of electrodialysis for ionic liquids recovery and recycling in biomass processing.

New Loan Payment Calculator Tool Launched

The Center for Ag Profitability has released its Loan Payment Calculator, a web-based tool that makes it easy to calculate annual loan payments. Users must enter the total purchase amount, down payment amount, annual interest rate (APR), duration in years, and the starting year of the loan. The calculator tool allows users to download the payment schedule, also called amortization, as a PDF or CSV file.

Simplified method for calculating the real annual interest rate on loans and its use.

Simplified method for calculating the real annual interest rate on loans and its use.

A Comparative Techno-Economic Assessment of Alternative Fuels in SOFC Systems for Cruise Ships

This study presents the techno-economic analysis of a 100 kWe Solid Oxide Fuel Cell (SOFC) system for maritime applications fueled by methane, methanol, diesel, ammonia, and hydrogen. Two system configurations are considered for each fuel considering cathode off-gas recirculation (COGR) implementation to improve waste heat recovery both in terms of quantity and quality. The economic benefit of COGR is verified for all fuels, especially for methanol, hydrogen, and diesel, which present Levelized Cost of Exergy (LCOEx) reductions of about 10%, 9%, and 6%, respectively. Ammonia and methanol have the lowest LCOEx of about 0.260 EUR/kWh and 0.270 EUR/kWh, respectively, while hydrogen has the highest LCOEx of about 0.430 EUR/kWh. The sensitivity analyses suggest that fuel purchase cost, stack lifetime, and annual interest rate are the three parameters with the highest influence on the system cost. Overall, ammonia and methanol are the most promising fuels.

Research on a Novel Combined Cooling and Power Scheme for LNG-Powered Ship

Cold energy recovery in LNG-powered vessels can not only improve the utilization efficiency of energy, but also benefit environmental protection. This paper put forward a new cascade scheme for utilizing flue gas waste heat and LNG cold energy comprehensively. The scheme was integrated by a dual organic Rankine circulation system (ORC), a high- and low-temperature cold storage system (TCS), an air conditioning system (ACS) and a seawater desalination system (SDS). The working medium of the dual ORC system was firstly determined by considering exergy efficiency and economic index simultaneously. On this basis, the adaptive weighted particle swarm optimization algorithm was employed to enhance thermodynamic performance of the scheme with the net output power as the optimization objective. The maximum net power and annual net interest rate can reach 725.78 kW and $115,300, respectively. Furthermore, the economic benefit of the scheme was analyzed by referring to the running track and the operation condition of the target ship. The results showed that the proposed scheme is a potential large-scale cryogenic technology and can bring considerable economic benefits to ship navigation.

ОСОБЛИВОСТІ УПРАВЛІННЯ СТРУКТУРОЮ КАПІТАЛУ ПІДПРИЄМСТВ УКРАЇНИ

The article discusses the features of managing the capital structure of enterprises, which is the ratio between their borrowed and own funds. One of the main factors in the optimality of the capital structure is to ensure the improvement of the performance of the enterprise, namely the increase in the return on equity. It has been established that to analyze the impact of the capital structure of an enterprise on the level of return on equity, the effect of financial leverage is used. Its main elements are the tax corrector, differential and leverage. The essence and interrelation of the differential and leverage of the effect of financial leverage, which can be influenced by the enterprise itself, are considered. It has been established that an increase in the leverage of financial leverage leads to a decrease in its differential. Calculation of the financial leverage effect differential is based on the determination of the weighted average price of borrowings. The expediency of taking into account the cost of accounts payable for goods, which arises as a result of a commodity loan, is substantiated when determining the weighted average price of borrowed capital. It is defined as the conversion into an annual interest rate of the amount of the price discount provided, subject to early payment for the shipped goods. It has been established that, in addition to accounts payable for goods, when calculating the weighted average price of borrowed capital, it is necessary to take into account the cost of a bank loan, financial leasing, issue of bonds and internal accounts payable. An analysis of the capital structure of Ukrainian enterprises was carried out and it was found that the main source of their financing is borrowed capital. Also, studies of the relationship between the financial leverage of Ukrainian enterprises and the level of their solvency and financial stability were carried out. The coverage ratio was chosen as the main indicator of solvency, and the autonomy ratio was chosen as the main indicator of financial stability. It is proved that changes in the capital structure in favor of borrowed funds reduce the solvency and financial stability of domestic enterprises. It is advisable to conduct further research on the relationship between the capital structure of domestic enterprises and the level of return on equity.