Answer:
a. How much will you have in your retirement account on the day you retire?
- future value of the annuity = annual payment x (FV annuity factor, 11%, 40 periods) = $5,000 x 581.826 = $2,909,130
b. If, instead of investing $5,000 per year, you wanted to make one lump-sum investment today for your retirement that will result in the same retirement saving, how much would that lump sum need to be?
- present value = future value / (1 + interest rate)ⁿ = $2,909,130 / 1.11⁴¹ = $40,320.04
c. If you hope to live for 28 years in retirement, how much can you withdraw every year in retirement (starting one year after retirement) so that you will just exhaust your savings with the 28th withdrawal (assume your savings will continue to earn 11.0% in retirement)?
- payment = present value / annuity factor (PV annuity factor, 11%, 28 years) = $2,909,130 / 8.60162 = $338,207.22
d. If, instead, you decide to withdraw $647,000 per year in retirement (again with the first withdrawal one year after retiring), how many years will it take until you exhaust your savings?
- We can first try to get an approximate answer. The annuity factor = $2,909,130 / $647,000 = 4.49633694. Now looking at an annuity table we can look at the closest amount for 11%. The answer is between 6 years (annuity factor 4.2305) and 7 years (annuity factor 4.7122). This means that in less than 7 years you will have no more money left.
e. Assuming the most you can afford to save is $ 1 comma 000$1,000 per year, but you want to retire with $1,000,000 in your investment account, how high of a return do you need to earn on your investments?
- Again we must use the future value to determine the annuity factor. Annuity factor = $1,000,000 / $1,000 = 1,000. Using an annuity calculator to determine the closest rate (for 40 periods) = 12.9515% ≈ 12.95%
The correct answer is D; They perform professional-level duties rather than manual tasks or piecework.
Further Explanation:
The research suggests that all of the other situations listed are true. Women who stay home are very qualified to work outside the home but may not be able to at this time because of childcare or the fact they want to raise their children. Many women who stay at home do work at home by cleaning, washing, taking care of the family finances and so much more, in addition to any children that may be home. The family dynamics are very similar to other women who are employed.
The one item that was not true was that they perform professional-level duties rather than piecework or manual tasks. The women who stay at home may not have the opportunity to do a professional task unless it is to volunteer at a school, etc. Since they stay home, there is no need for a woman to know how to run a corporation.
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Answer:
$120,000
Explanation:
Reason: The amount of retained earnings as on 31st December, 2014 in the consolidated balance sheet is $120,000 because, the parent company in the given case is puell co. As it has acquired 100% of the stock. Therefore, as on 31st December 2014 the parents company's retained earnings of $120,000 should appear in the consolidated balance sheet
A situation in which a country specializes in producing the goods it produces most efficiently and buys the products it produces less efficiently from other countries, even if it could produce the good more efficiently itself is referred to as Ricardo's Theory of Comparative Advantage (1817).
<u>Explanation:</u>
In 1817, David Ricardo introduced the classical hypothesis of comparative advantage, which contributed the reason and advantages of foreign trade to disparities in the relative price of opportunity (cost of certain goods giving up) of generating the same product between nations.
Oil exporting countries, for an instance, have a competitive advantage in chemicals. A regional oil, as opposed to nations without these, offers a cheap source of material for the chemicals. In the system of oil distillery a lot of the raw materials are made. As a consequence, Kuwait, Saudi Arabia and Mexico compete with US chemical manufacturing companies.
Answer:
Civic 50.
Explanation:
Bloomberg LP, in partnership with the National Conference on Citizenship and Points of Light, has created a scorecard of America's top community-minded companies which they call the civic 50. It was launched in the United States of America in 2012 and is a program designed and established to recognize and honour the fifty (50) most philanthropic, community-minded or socially responsible companies in the United States of America each year, determined by True Impact through an annual survey. These fifty (50) companies are selected based on this criteria; investment, integration, institutionalization and impact.