The future value of the annual amounts after six years, earning an annual rate of return of 3% is $517.47
What is the future value of an ordinary annuity of $80 per year for six years earning a rate of 3% annually?
Note that the $80 that would have been paid for the video projection system would be invested at the end of each year, in other words, we would invest an equal amount every year for six years, hence, the future value formula of an ordinary annuity is the most appropriate to determine the value of the savings after six years
FV=annual savings*(1+r)^N-1/r
annual savings=$80
r=rate of return=3%
N=number of annual savings for 6 years=6
FV=$80*(1+3%)^6-1/3%
FV=$80*(1.03)^6-1/0.03
FV=$80*(1.194052296529-1)/0.03
FV=$80*0.194052296529/0.03
FV=$517.47
brainly.com/question/14761171
#SPJ1
Answer:
9,000 minimum emergency fund
Explanation:
The emergency fund is a portion related to the monthly expenses of the family or person.
It should be as low as 3 months and about 6 month to be safe.
It is important to notice this doens't mean the cash should be under the pillow. We can have this amount investment in a high-liquity investment if wanted.
For this couple as they have 3,000 expenses they should do an eemergency fund of at least 9,000 dollars
Answer: Goldman Sachs
Explanation:
If all shares rose by 5% in the value, the biggest contributor to the S&P 500 's upward movement would be the one with the highest weight from the listed options.
From the options listed, Apple has a weight of 4.955 , General Electric is not listed, Exxon Mobil has a weight of 2.1417 and Goldman Sachs has a weight of 5.1177.
Goldman Sachs has the largest weight and so would contribute the most.
Answer:
b. credit to Gain on Sale of Investments for $2,400.
Explanation:
May 1, 20Y6
Purchase price of Bond = $100
Number of Bond Purchased = $100,000 / 100 = 1,000 per bond
February 1, 20Y7
Sale Price of Bond = $103 per Bond
Gain on Sale = $103 - $100 = $3 per bond
Number of Bond Sold = $80,000 / 100 = 800 bonds
Gain on sold bonds = 800 bonds x $3 per bond = $2,400
Journal Entry Will be as follows:
Dr. Cr.
Cash (800 x 103) $82,400
Gain on sale $2,400
Investment in Bond $80,000
<span>There is a binding contract as soon and Patrick and Britt orally agree. There does no need to be a written contract as long as there is a meeting of the minds.</span>
