Answers
Answer:
the amount of money that must be invested now is $21068.87
Explanation:
Given that:
Nominal interest = 10%
Annuity = 7000
n = 8 years
The Effective interest rate is calculated by using the formula:
Effective interest rate =
Effective interest rate =
Effective interest rate = 0.1045
Effective interest rate = 10.45 %
Thus ; the the amount of money that must be invested now is the present value with the annuity of $7, 000 per year for 12 years, starting eight years from now.
PV = 7000 × 6.666056912 × 0.4515171371
PV = $21068.87
Thus; the amount of money that must be invested now is $21068.87
Final answer:
To determine the required investment, the present value of the annuity starting 8 years from now should be calculated first and then its present value is computed today. This involves understanding the principles of simple and compound interest and applying their formulas accordingly.
Explanation:
In order to determine the amount of money that must be invested now at 10% nominal interest, compounded monthly, to provide an annuity of $7,000 per year for 12 years starting eight years from now, first, we have to calculate the present value of the annuity 8 years from now. We achieve this by using the formula for the present value of an annuity.
Later, we calculate the present value of that amount today. Then we employ the formula of present value in a situation where the compound interest is involved. Compound interest is an interest rate calculation on the amount deposited plus the accumulated interest so far.
This can be generally calculated by determining the difference between the future value and the present value of the amount deposited. In essence, the two major factors in this calculation are the understanding of the simple interest and compound interest, and using the formulae properly.
Learn more about Compound Interest here:
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The court selects a jury from a jury pool through a process known as _____.
Answers
Lawyers and judges select juries by a process known as “voir dire,” which is Latin for “to speak the truth.” In voir dire, the judge and attorneys for both sides ask potential jurors questions to determine if they are competent and suitable to serve in the case.
Answers
could you explain some more please
Answers
Answer:
We can find the capital gains yield from the following formula:
Capital Gains Yield = Increase or decrease in the share price divided by Original cost of the shares when purchased
By putting values
Capital Gains Yield = ($52 - $36)/$52 = -30.7%
Explanation:
We can see that there is a decrease in the share price and this is also evident form the capital gains yield formula.
Answers
Answer:
direct labor-hours per unit
Explanation:
A labor budget is prepared to determine the business` need for planned labor in the budget period.
It can be prepaid to show :
- the number of labor hours required
- the number of workers required
- cost of hiring the required number of workers
All of this also applies for a unit production.
Answers
Answer:
The correct answer is letter "A": sales promotion.
Explanation:
Sales promotion is the marketing technique in which the benefits or special features of a product or service are provided to potential customers directly. In some cases, the sales promotion also is provided to the distribution channel so later the distribution channel reuses the information obtained to promote the same goods or services to the final customers.
Answers
Answer:
$2,034,500 ; A
Explanation:
In this question, we are asked to calculate cost estimate.
One of the methods which we can use to do this is the cost factor technique.
Mathematically, the estimated total cost will be;
Ct = hCe
Where Ce refers to cost at major equipment and h is the overall cost factor.
From the question, we can identify the following;
Ce is $650,000 while h = 1.82 + 1 + 0.31 = 3.13
Inputing these values in the formula, we have;
Ct = $650,000 * 3.13 = $2,034,500
Answer:
a) 2, 034,500
Explanation:
the explanation is given in the file attached