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Arlecino [84]
2 years ago
6

What's the future value of a 12%, 5-year ordinary annuity that pays $800 each year? Round your answer to the nearest cent. $ If

this was an annuity due, what would its future value be? Round your answer to the nearest cent. $
Business
1 answer:
seraphim [82]2 years ago
7 0

Answer:

The Future value of annuity due of $800 per year at 12% for 5 years is $5,692.15

Explanation:

Annuity payment = P = $800 per year

Number of years = n = 5 years

Interest rate = r = 12% = 0.12

Use following formula to calulate the Future value of Annuity due.

Future value of annuity = ( 1+r) x P [((1+r)^n - 1) / r]

Future value of annuity = ( 1+0.12) x 800 [((1+0.12)^5 - 1) / 0.12]

Future value of annuity = $5,692.15

So,The Future value of annuity due of $800 per year at 12% for 5 years is $5,692.15

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Maybepay Life Insurance Co. is selling a perpetual contract that pays $4,990/year. The contract currently sells for $143,012. Wh
Pie

Answer:

3.49%

Explanation:

Calculation to determine the rate of return on this investment

Using this formula

Rate of return=Monthly payment/Current value*100

Let plug in the formula

Rate of return = $4,990/$143,012 *100

Rate of return= 3.49%

Therefore the the rate of return on this investment is 3.49%

4 0
2 years ago
Gregory was talking with kareem, his assistant manager, saying, "when i make a decision on which employees will do a project, i
Ira Lisetskai [31]
<span>Gregory's rules of thumb, which he uses in decision making, are known as heuristics.
Heuristic refers to a solution to a problem - it is something you employ in order to achieve the best results possible. These methods you use may not be perfect, but they will help you do what you intended to do properly.
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5 0
3 years ago
1. Which of the following is a benefit of channels of distribution:
lara31 [8.8K]

Answer:

a We can more easily obtain products from all over the world

5 0
2 years ago
The Foundational 15 [LO7-1, LO7-2, LO7-3, LO7-4, LO7-5][The following information applies to the questions displayed below.]Dieg
Pavlova-9 [17]

Answer:

See attached file

Explanation:

To obtain sales, the quantity sold is multiplied by the sale price in each of the regions.

Variable costs are multiplied by each of the quantities

Fixed costs are distributed according to what the company determined

From the difference between sales and variable costs we get the Contribution Margin. If the fixed costs are subtracted, the Segment Margin of each sector is obtained. Subtracting fixed costs that cannot be distributed, gives the Net Income.

The Fixed manufacturing overhead $ 800,000 was distributed between 40.000 units (produced units) not 35.000 (sold units)

4 0
3 years ago
Natalie, age 17, rented a power washer and while using the machine, she negligently damaged it beyond repair. Under the majority
anzhelika [568]

Answer:

False

Explanation:

Natalie can return the washing machine without being liable for any replacement costs. Natalie is a minor, and minors cannot legally sign a contract except for purchasing necessities, e.g. food, clothes.  

Since the washing machine probably had a significant cost, there should have been a written contract between the parties. The rental company should have requested Natalie some type of legal identification before renting the washing machine and signing the contract. Their only possible defense is that Natalie used a forged ID when she rented the machine, and that they were ticked by it.

But if the rental company cannot prove that Natalie tricked them using some fake ID, then Natalie has the right to void the contract and return the item. It doesn't matter if the washing machine suffered damages or not, Natalie is not liable for any reparation or replacement costs.  

8 0
3 years ago
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