How much would Keith have in his account after three years if he started with $200 and earns 2 percent interest, compounding annually?
Answers
Answer:
The amount after 2 year will be $212.2416
Explanation:
We have given principle amount P = $200
Time period n = 3 years
Rate of interest r = 2 %
We have to find the amount after 2 years if the amount is compounded annually
We know that amount is given by
So the amount after 2 year will be $212.2416
After 1 year, $200 x 1.02 = $204
After 2 years, $204 x 1.02 = $208.08
After 3 years, $208.08 x 1.02 = $212.24
Related Questions
Gwyn owns a furniture store. She notices prices at other furniture stores have increased dramatically over the past two years. She decides she needs to expand her output because demand must be growing. However, in order to do so, she needs to find a loan. What problems could inflation cause for Gwyn?)A. Gwyn may need to spend money to update her price displays throughout the store.B. Gwyn might misinterpret rising prices associated with inflation for a higher demand.Lenders may be wary of providing C. Gwyn a loan because it is difficult to predict future price levels.D. Gwyn will need to pay more capital gains taxes.
According to David Taylor of the Bank Administration Institute, about _____ percent of households with annual incomes over $50,000 have PCs equipped with modems.
Two units of the same type of money must be the same in terms of what they will buy, which is the principle of? .
muckenthaler company sells product 2005wsc for $30 per unit and uses the lifo method. the cost of one unit of 2005wsc is $27, and the replacement cost is $26. the estimated cost to dispose of a unit is $6, and the normal profit is 40% of the selling price. at what amount per unit should product 2005wsc be reported, applying lower-of-cost-or-market?
Answers
Answer:
The statement is True as well as correct
Explanation:
Allowance method is the financial term which is defined as the uncollectible accounts receivable procedure that reports the estimate of the bad debt expense in the same accounting or fiscal year as the sale.
Under this method, it is used to adjust the accounts receivable which appears on the balance sheet.
For example,
If the company has the credit sales of $800,000 in December and estimate that the 4% will be uncollectible. Then using this method, computing the uncollectible as:
Bad debt expense = Sales × Estimate uncollectible
= $800,000 × 4%
= $32,000
So, this estimate the bad debt expense rather than wait to see which customer will not able to collect.
Answers
Answer:
Unplanned change
Explanation:
Unplanned change is one of the changes that occur in an organization. The other being planned change. As the name suggests, unplanned change arises from unforeseen events or developments in the business environment. They are the changes necessitated by unexpected occurrences.
The company in reference had not planned on switching its packaging. The change was a result of customer complaints, which can be described as an unforeseen development. Switching packages happened though it was not planned. It is, therefore, an unplanned change.
Answers
Answer:
Students for a Democratic Society (SDS)
Explanation:
The organization that crafted the Port Huron Statement was the Students for a Democratic Society (SDS). Founded in 1960, SDS was an american student activist organization initially concerted about participatory democracy, civil rights, justice and urban reform. But after the escalation of the Vietnam War in 1965, they focused on protesting against it. The organization grew rapidly by the mid-60's and became increasingly militant. By 1969, the organization had grown into several factions that clashed with eachother, leading to their gradual extinction by 1974.
Answers
Answer: The new stock price of DL Inc. would be $37.50 if the covariance of its rate of return with the market portfolio halves on a permanent basis but everything else remains the same.
If the covariance of the security's rate of return with the market portfolio halves on a permanent basis but everything else remains the same, the security's new beta would be half its initial beta. The beta of a security is the covariance of the security's rate of return with the market portfolio divided by the variance of the market portfolio.The CAPM formula is used to compute the expected rate of return on a security, and it is as follows: Required return = risk-free rate of return + (beta x market risk premium).
The current price of DL Inc. stock can be calculated using the CAPM formula as follows: Beta = covariance of DL Inc. with the market portfolio/variance of the market portfolio= ?/ (8 x 8) = ?/64 where beta is unknown.Covariance of DL Inc. with the market portfolio = 0.5, Covariance of DL Inc. with the market portfolio = 0.5 x Var (DL Inc.)/Var (Market) = 0.5 Covariance of DL Inc. with the market portfolio is half the original covariance.
The beta for the security = 0.5 Covariance of DL Inc. with the market portfolio = 0.5 x ?Var (DL Inc.)/Var (Market) = 0.5 (0.5 x ?Var (DL Inc.)/Var (Market)) = ?Var (DL Inc.)/ (2 x Var (Market))Required rate of return = 4% + (0.5 x 8%) = 8%.DL Inc.'s current stock price = Dividend per share/ (required rate of return - growth rate) = $3/ (8% - 0%) = $37.50.
Therefore, the new stock price of DL Inc. would be $37.50 if the covariance of its rate of return with the market portfolio halves on a permanent basis but everything else remains the same.
Know more about market portfolio here:
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Answers
Answer:
23,400 shares
Explanation:
The total number of authorized shares is 26,000, but that doesn't mean that all these shares have been issued or are outstanding. The total number of shares issued = shares outstanding + treasury stock.
Since the shares must be recorded at par value in the common stock account, we need to divide the total value of the account by the par value of each share = $234,000 / $10 = 23,400 shares
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Answer:
The economic order quantity (EOQ) is used to minimize purchase costs and carrying costs (inventory costs) in a company. If Jones cannot purchase enough goods to meet the EOQ, its carrying costs will probably be a little lower, but its purchasing costs will be much higher, resulting in a net increase in costs.