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nataly862011 [7]
3 years ago
6

Irene invested $27,000 in a twelve-year CD bearing 8.0% interest, but needed to withdraw $6,000 after three years. If the CD’s p

enalty for early withdrawal was eighteen months’ worth of interest on the amount withdrawn, when the CD reached maturity, how much less money did Irene earn total than if she had not made her early withdrawal? a. $3,600 b. $4,320 c. $720 d. $5,040
D IS THE ANSWER
Business
2 answers:
stepladder [879]3 years ago
8 0

$5,040 since Irene earned nearly earned about $4,800 less than what she would be making if she did not make her early withdrawal.

Goryan [66]3 years ago
4 0

Answer:

Option D.

Explanation:

It is given that Irene invested $27,000 in a twelve-year CD bearing 8.0% interest.

Total interest = Principal × Rate × Time

Principal = $27,000

Rate = 8% = 0.08

Time = 12 years

\text{Total interest}=27000\times 0.08\times 12=25920

Irene earn total $25,920 if she had not made her early withdrawal.

If she withdraw $6000 after three years, then the total interest is

\text{Total interest}=27000\times 0.08\times 3+(27000-6000)\times 0.08\times (12-3)

\text{Total interest}=6480+21000\times 0.08\times 9

\text{Total interest}=6480+15120=21600

If the CD’s penalty for early withdrawal was eighteen months’ worth of interest on the amount withdrawn.

\text{Penalty}=6000\times 0.08\times \frac{18}{12}=720

21600-720=20880

Irene earn total $20880 if she had made her early withdrawal.

25920-20880=5040

Irene earn $5,040 less money if she had made her early withdrawal.

Therefore, the correct option is D.

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7 0
2 years ago
Responsible drivers assess their personal fitness to drive before getting behind wheel Discuss 3 questions you should ask yourse
algol [13]

Explanation:

  • Q1.Can my eyes capture things within the normal distance?
  • Q2. Am I feeling normal without any illness?
  • Q3. Is hearing fine?

Answer for Q1: I would list down things that I could see from normal distance, objects on my left and right and would ask my family member to cross check.

Answer for Q2: Driving with heavy fever, or other illness sometimes make driving difficult. So it risks both passenger and driver's life.

Answer for Q3: I would self check with normal hands-free. I would check one ear at a time.

7 0
3 years ago
Oscar owns a building that is destroyed in a hurricane. His adjusted basis in the building before the hurricane is $130,000. His
damaskus [11]

Answer:

That is $2,000 loss

Explanation:

After the hurricane Oscar received $140,000 for his loss, the adjusted basis for his property was $130,000 so he had a gain of 140,000- 130,000=$10,000.

According to Sec. 1033(a)(2) since the new property that was built (the replacement) was similar we will recognise the amount received from the insurance company ($140,000) to the extent that it pays for the replacement property.

That is

Gain or loss = amount paid by insurance company- cost of replacement property

Gain or loss= 140,000- 142,000

Gain or loss= -$2,000

That is $2,000 loss

8 0
3 years ago
A tax on gasoline that is applied at the point of purchase, like a sales tax, would likely cause an increase in the
Mademuasel [1]

The correct option is C. The consumer will have to pay more because the supply of gasoline will decrease, which would put upward pressure on the price.

<h3>What is Gasoline?</h3>

Gasoline, or petrol, is a transparent, volatile, flammable liquid hydrocarbon mixture used as a fuel, especially for internal combustion engines, and usually blended from several products of natural gas and petroleum.

Thus, the tax on gasoline at the point of purchase would increase the price consumers have to pay for gasoline.

Learn more about Gasoline here:

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8 0
2 years ago
n 2010, the country of Vesey exported goods worth $312 billion and services worth $198 billion. It imported goods worth $525 bil
LuckyWell [14K]

Answer:

current account balance = $271.8 billion

Explanation:

given data

exported goods worth = $312 billion

exported services worth = $198 billion

imported goods worth =  $525 billion

imported services worth = $255 billion

sent famine relief to Africa = $1.2 billion

received = $3 billion

to find out

current account balance in Vesey

solution

we know that current account balance as

current account balance = total expenses - total revenue .............1

here

total expenses are = $525  + $255 + $3 = $783 billion

and total revenue = $312 + $198 +$1.2 = $511.2 billion

so from equation 1

current account balance = $783 billion - $511.2 billion

current account balance = $271.8 billion

7 0
3 years ago
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