Answer:
Annual deposit= $4,169.59754
Explanation:
Giving the following information:
Donald Martin is 30 years and wants to retire when he is 65.
PV= 6,450 + 4,300= $10,750
i= 0.0854
Number of years= 35
First, we need to calculate the final value of the initial investment:
FV= PV*(1+i)^n
FV= 10,750*(1.0854^35)
FV= 189,257.05
Now, we can calculate the annual deposit required. We need to use the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
Isolating A:
A= (FV*i)/{[(1+i)^n]-1}
FV= 1,000,000 - 189,257.05= 810,742.95
A= (810,742.95*0.0854) / [(1.0854^35)-1]
A= $4,169.59754
Answer:
Higher
Explanation:
Bonds refer to debt instruments wherein the issuer raises long term finance, agreeing to pay the lenders i.e bondholders a fixed rate of coupon payments apart from principal repayment at the end of the term.
Bonds issued by corporates are termed as corporate bonds whereas bonds issued by municipal or state authorities are termed as municipal bonds.
Municipal bonds are a safer option for investors as the repayment is assured by the state government which is not the case with corporate bonds which are riskier comparatively since corporates might default upon repayment.
To compensate for higher risk involved, corporates have to issue their bonds at higher interest rates than municipal bonds else such bonds would be unattractive.
<u>Answer:</u> decrease; decrease
<u>Explanation:</u>
Aggregate demand means the total quantity that would be purchased irrespective of the price levels. Aggregate supply means the total quantity of the goods or services which the firms will sell at a price that is given in the economy. So when the income tax rate increases the aggregate demand and aggregate supply of the products will both decrease.
The increase and decrease in the tax rates brings a shift in the aggregate demand and aggregate supply curve. Other factors which influence these curves are interest rates, income , exchange rates and inflation rates.
Answer:
The response options are:
A. halo effects
B. leniency effects
C. primacy effects
D. recency effects
E. presumption effects
The correct answer is C. primacy effects
Explanation:
It is known as the primacy effect of the phenomenon that occurs in the reception of information, through which a person pays greater attention to the first data he receives in comparison to the following data. This effect can be associated with what is usually known as “first impression” (what we feel or think when we meet someone can be difficult to change over time). This would happen when, for example, when presenting a long list of words, people tend to remember the first ones better and value them more.
It is considered that this primacy effect, also called media priming, can result in any image of a story having the capacity to generate in the public the stimulation of what its thoughts are. Thus, it is considered that the image of someone subtracting any object without suffering any kind of consequence can lead to part of the receivers undertake the same action.
Some researchers attribute this effect to a longer trial time of those elements presented previously, which affects a better memorial performance. This also happens when we learn to decide based on past experiences. It seems that the first rewards we have received condition our future decisions to a greater extent than other rewards we have obtained later. This phenomenon is known as the "primacy of the result" and highlights how the first results we get when we perform certain acts, condition us to re-commit the act to a greater or lesser extent.
<span>Agatha
is starting a small jewelry design business called "budget beads and
baubles," and she plans to design jewelry that is aimed at teens and
young adults. agatha's target market is based on demographic factors.
Demographic factors are </span>s<span>ocioeconomic characteristics of a population
expressed statistically, such as age, sex, education level, income
level, marital status, occupation, religion, birth rate, death rate,
average size of a family, average age at marriage.</span>
