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lisabon 2012 [21]
3 years ago
10

If the interest earned by a CD is compounded annually, which rule is most accurate when calculating how long it will take the mo

ney invested in the CD to double? (A). Rule of 69 (B). Rule of 72 (C). Rule of 4 (D). None of the above
Business
2 answers:
Bas_tet [7]3 years ago
8 0
I believe the answer is: B. Rule of 72

In financing, rule of 72 refers to a method to estimate an investment that being done by <span> dividing the interest percentage annually to obtain the prediction of  periods required for doubling. Rule of 72 is usually used when the interest type is common and the number is easily divisible.</span>
Gennadij [26K]3 years ago
5 0
B.) Rule of 72; just had this question on Apex and was trying to find the answer but guessed since I couldn’t find it. Posting to save a life!
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Unique corp. had 50,000 shares of $5 preferred stock, $100 par, and 100,000 shares of $1 par common stock outstanding throughout
goldenfox [79]
50,000 x 5 = $250,000 Preferred Dividends 
(780,000 - 250,000) / 100,000 = 
b.$5.30 
5 0
3 years ago
What punctuation is used to join two words together in a contraction?
BaLLatris [955]

Answer: Apostrophe

Explanation:You use it to connect two words together in a contraction. Its not rocket science....

3 0
3 years ago
Jiminy’s Cricket Farm issued a 30-year, 6 percent semiannual bond three years ago. The bond currently sells for 93 percent of it
wlad13 [49]

Answer:

a. What is the pretax cost of debt? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

  • 6.46%

b. What is the aftertax cost of debt? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

  • 5.04%

Explanation:

we must first determine the bond's yield to maturity:

YTM = {coupon + [(face value - market value)/n]} / [(face value + market value)/2] = {30 + [(1,000 - 930)/60]} / [(1,000 + 930)/2] = 31.17 / 965 = 3.23% x 2 = 6.46%

after tax cost of debt = 6.46% x (1 - tax rate) = 6.46% x (1 - 22%) = 6.46% x 78% = 5.04%

6 0
3 years ago
ou are scheduled to receive $35,000 in two years. When you receive it, you will invest it for 8 more years at 6.5 percent per ye
Studentka2010 [4]

Answer:

$57,925

Explanation:

n = 8 years

i/r = 6.5%/year

PV = $35,000

The amount in 10 years (FV) = 35,000 x (1+0.065)^8 = $57,925

8 0
4 years ago
A trial balance (select one):
Furkat [3]

Answer:

a. is a list of accounts with their balances at a given time.

Explanation:

There are two columns in the trial balance, namely debit columns and columns of credit. The total amount of columns of debit and credit should always match and equaled.

The debit columns reflect assets and expenses side while earnings, stockholder equity, and liability side are listed in the credit column. It is prepared for the given period of time.

4 0
3 years ago
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