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2 years ago

If you invest $100 at 10 percent compounded annually, how much money will you have at the end of 3 years?

Business

1 answer:

fiasKO [112]2 years ago

4 0

The amount I would have at the end of 3 years is $133.10.

<h3>How much would I have at the end of the 3 years?</h3>

When an amount is compounded annually, both the amount invested and the interest accrued increase in value one a year.

The formula for calculating future value:

FV = P (1 + r)^n

FV = Future value
P = Present value
R = interest rate
N = number of years

$100 x (1.1^3) = $133.10

To learn more about future value, please check: brainly.com/question/18760477

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Why is the profit motive considered an incentive in a market system?

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Inventive is to make more money because businesses can make more profit where money is expected.
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3 years ago

The June 1 work in process inventory consisted of 5,000 units with $16,000 in materials cost and $12,000 in conversion cost. The

sveticcg [70]

Answer:

Total cost added including beginning inventory

Raw material = $136,000

Overheads = $180,960

Total = $316,960

Explanation:

As provided the opening Work in process units = 5,000 units

Units started during the period = 37,500 questions

Closing work in process = 8,000 units

That means units produced = opening + additions - closing

= 5,000 + 37,500 - 8,000 = 34,500 units

Provided cost of beginning inventory = $16,000 for raw material and $12,000 for overheads

Also it is 100% complete for raw material and 50% complete for overheads

That means raw material per unit = $16,000/5,000 = $3.20

And the overheads 100% = $12,000 $\times$ 2 = $24,000

Overhead per unit = $24,000/5,000 = $4.80

Therefore, cost added during the period

Shall be

Raw material = 100% = 5,000 + 37,500 = 42,500 $\times$ $3.20 = $136,000

Overheads = for 34,500 units 100% and remaining 8,000 = 40%

= 34,500 $\times$ $4.80 + 8,000 $\times$ $4.80 $\times$ 40%

= $165,600 + $15,360

= $180,960

Total = $316,960

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3 years ago

If the equilibrium interest rate in the money market is 5%, then at an interest rate of 2% sellers of interest-bearing financial

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Answer: must offer higher

Explanation:

The financial world of investment is inter-correlated and products can sometimes be substitutes for one another. What this means is that if one financial product is not offering enough return on investment or is risky or for any other reason shakes their confidence in it, then investors tend to run to financial products that are perceived as better.

This is why when interest rates are stable and stocks are volatile, stock markets tend to lose value and bond markets sometimes gain value as investors leave the stock market and come to the bond market.

In the scenario described, the interest rate in the money market is 5%. If interest bearing financial assets are only at 2%, investors will leave/ not invest in those interest bearing bonds because the rate is lower. The sellers of such assets will therefore have to make them more attractive by increasing the the interest rates to find willing buyers.

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4 years ago

Betty and Barbara own a business called Betsy. They each invest $30,000 into their business. The concept of owner’s investment i

dem82 [27]

Answer:

Explanation:

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3 years ago

RGDP in the United States has grown at an average annual rate of 3% in the last couple of decades. If the RGDP annual growth rat

Natali [406]

Explanation:

i=interest rate

X=current rate

2X = double current rate

n = number of years

Calculate time it takes to double at 3%:

2X = X(1+i)^n

simplify by cancelling out X

(1+i)^n = 2

substitute i = 3%

(1.03)^n =2

take log

n*log(1.03) = log(2)

n = log(2)/log(1.03) = 0.6931/0.02956 = 23.45 years

Similarly, for growth rate of 7%,

n = log(2)/log(1.07) = 0.6931 / 0.06766 = 10.24 years

So the difference is 23.45-10.24 = 13.21 years (to the hundredth) sooner

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3 years ago