Answer:
$444,444.44
Explanation:
Larry's life insurance corporation is trying to sell an investment policy that will pay you and your heirs a total amount of $32,000 per year
The required return on this investment is 7.2%
= 7.2/100
= 0.072
Since the cash flow is a perpetuity then, the amount that will be paid for the policy can be calculated as follows
PV= C/r
= $32,000/0.072
= $444,444.44
Hence the amount of money that will be paid for the policy is $444,444.44
<span>A customer expects a support technician to be knowledgeable, patient, and friendly. The support technician must be knowledgeable to the degree that they solve the issue at hand, but can also give basic information to a customer.</span>
Answer: (D) Styling
Explanation:
The coca-cola is changing the styling of products as it increase the marketing and the business. By changing the styling of existing product we make the product more attractive by developing new ideas on the product.
We can create and develop the new product by changing the existing drawbacks and create into the new styling of the product and also re-position the existing product in the market.
By advertising the new products on the different types of platform like the social media we advertising the brand of the products.
Therefore, Option (D) is correct.
Answer:
a. 4.89%
b. 5.23%
Explanation:
We use the rate formula which is shown in the attached spreadsheet
Given that,
Present value = $2,000 × 108.96% = $2,179.20
Future value or Face value = $2,000
PMT = $2,000 × 5.7% ÷ 2 = $57
NPER = 16 years × 2 = 32 years
The formula is shown below:
= Rate(NPER;PMT;-PV;FV;type)
The present value come in negative
So, after solving this,
a. The yield to maturity of the bond is 4.89%
b. The current yield would be
= 57 × 2 ÷ $2,179.20
= 5.23%
