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Artemon [7]
3 years ago
7

He wishes to invest $21,000 in an annuity that will make a level payment at the end of each year until his death. if the interes

t rate is 8.5%, what income can mr. basset expect to receive each year?
Business
1 answer:
notsponge [240]3 years ago
8 0
#justiceforbarb #StrangerThings #timesup #callmemills
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You are analyzing Jillian’s Jewelry (JJ) stock for a possible purchase. JJ just paid a dividend of $1.50 yesterday. You expect t
disa [49]

Answer:

A. D1 = 1.50*1.06 = 1.59

D2 = 1.59*1.06 = 1.69

D3 = 1.69*1.06 = 1.79

B. PV of D1=(1.50*1.06)/1.13^1=1.41

PV of D2=(1.50*1.06^2)/1.13^2=1.32

PV of D3=(1.50*1.06^3)/1.13^3=1.24

PV of all dividend = (1.50*1.06)/1.13^1 + (1.5*1.06^2)/1.13^2 + (1.5*1.06^3)/1.13^3

PV of all dividend = 1.59/1.13 + 1.6854/1.2769 + 1.786524/1.442897

PV of all dividend = 1.407079646 + 1.319915 + 1.238150748

PV of all dividend = 3.965145814288893

PV of all dividend = 3.97

C. PV = 27.05/(1+13%)^3

PV = 27.05/(1.13)^3

PV = 27.05/1.442897

PV = 18.74701

PV = 18.75

D. The most you should pay for it :

= (1.50*1.06)/1.13^1+(1.5*1.06^2)/1.13^2+(1.5*1.06^3)/1.13^3+27.05/1.13^3

=22.71

E. Value = (1.50*1.06)/(13%-6%)

Value = 1.59 / 7%

Value = 1.59 / 0.07

Value = 22.714286

Value =22.71

F. No, the value is not dependent on the holding period, you can see from above that the value of infinite time period estimated in E equals to the value calculated when there was 3 years holding period.

5 0
3 years ago
Supply chain management systems are one type of ________ because they automate the flow of information across company boundaries
AlexFokin [52]

Answer:

inter-organizational system

Explanation:

An inter-organizational system refers to the network amongst organizations, or "sharing communications system between such a number of companies." The most common method of inter-organizational systems is electronic communications exchange, which allows for the immediate desktop-to-computer transmission of information.

The inter-organizational rules allow knowledge exchange to be streamlined between companies in terms of achieving a planned supply-chain management structure that allows profitable businesses to evolve. It facilitates customer needs planning and products and services distribution.

4 0
2 years ago
What is unique about a dual-axis chart?
Semmy [17]

Answer: B

Or Data is charted by two different types of data.

Explanation:

I got it right

3 0
2 years ago
1. Some scholars have argued that the parole system should be abolished. Do you agree or
ExtremeBDS [4]

Answer:

Yes, I agree.

Explanation:

I agree that the parole system should be abolished because there is a risk that the parolee may become a repeat offender. It too involves the risk that he won't, In case, be able to survive on his individual upon freedom, and will fall victim to permanent  homelessness, unemployment, social maladjustment. It may also involve the continuation of involvement by the criminal justice system.

4 0
3 years ago
What is the amount of Justin and Jenna's earned income tax credit reported in the payments section on page 2 of their tax return
MissTica
<span>The amount of Justin and Jenna's Earned Income Tax Credit which was reported in the payment section on page two of their return was $836. The Earned Income Credit, or EIC, is a tax credit that is refunded to low to moderate income earners who are working weather individual or couples. Generally, this is given to those who have children. The amount of the credit depends on the income and number of children.</span>
6 0
3 years ago
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