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emmasim [6.3K]
2 years ago
10

A perpetuity pays $100 each and every year forever. the duration of this perpetuity will be:_________

Business
1 answer:
Scrat [10]2 years ago
7 0

Perpetuity pays $100 each and every year forever. the duration of this perpetuity will be 12.11

Yield rate = 9% or 0.09

Duration of perpetuity = (1+ Interest Rate) / Interest Rate

                                  = 1+ 0.09 / 0.09

                                   = 1.09 / 0.09

                                    = 12.11

A perpetual annuity is a never-ending annuity or series of cash payments that lasts forever. True eternity is rare. For example, the UK government has issued them in the past. These were known as consoles and were all eventually redeemed in 2015. Cash flow is endless.

Learn more about perpetuity here: brainly.com/question/24261067

#SPJ4

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Answer:

C

Explanation:

Cost=10000

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Net value=10000-3000=7000

Gain=9000-7000=2000

7 0
3 years ago
Which is an example of a withholding you might see on your pay stub?
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A withholding you might see on your pay stub can include a retirement savings or a health insurance payment. 
7 0
3 years ago
"The Federal Reserve raises the reserve requirement from 7 percent to 8 percent. Consequently banks must set aside more money an
joja [24]

Answer: a. Inflation

Explanation:

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Central Banks like the Fed can use Monetary policy to influence inflation. In this case they reduced the amount of money in the economy by reducing bank loans. This will ensure that people cannot spend too much which would increase demand and therefore increase prices.

By doing this, they have limited the likelihood of inflation.

6 0
3 years ago
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Mashcka [7]

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It basically include the development of effective coalitions in an organization and structure the professional goals for developing the professional network.

Therefore, Professional networking is the correct answer.

4 0
3 years ago
What restriction did the US government place on advertising in 1997?
12345 [234]

Answer:

The answer should be D, a ban of deceptive advertisements.

Explanation:

In the 90s the government cracked down on deceptive advertising more than ever and more laws on the matter were added. The only other option that was actually ever banned was A, none of the other choices were ever banned. The ban on tobacco happened in the 70s under Nixon, that makes D the only possible answer. Hope this helps! :)

3 0
2 years ago
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