1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Inessa [10]
3 years ago
7

1. A business acquaintance promises to deliver a $20 bill to you one year from today. How much should you be willing to pay toda

y for this promise? More than $20 Exactly $20 Less than $20 2. What is the present value of $1,000 received three years from today if interest rates are currently 6 percent? $943.40 $839.62 $1,191.02 $1,000.00 3. What is the interest rate on a three-year investment with a future value of $1000 and a present value of $863.84?
Business
1 answer:
riadik2000 [5.3K]3 years ago
6 0

Answer and Explanation:

The computation is shown below;

1. The willing amount to pay for the promise should be less than $20 that represents the time value of money

2. Now the present value is

= Received amount × discounting factor at 6% for 3 years

= $1,000 × 0.839

= $839

3. Now the interest rate is

As we know that

Future value = Present value × (1 + rate of interest)^number of years

$1,000 = $863.84 × (1 + rate of interest)^3

rate of interest =5% approx

You might be interested in
Lomani Ltd acquired two new machines for cash on 1 January 2017. The cost of machine A was $400 000, plus GST, and of machine B,
PolarNik [594]

Answer:

Explanation:هاي

7 0
2 years ago
Airline F leases all its aircraft under finance leases. Airline O leases all its aircraft under operating leases. Assuming that
Usimov [2.4K]

Answer: e. Airline O has less lease assets at the inception of the lease

Explanation:

With operating leases, the entity leasing the asset or the lessee, does not get the rights to ownership of the asset being leased but instead simply pay a fee or sort of rent for leasing the asset.

With a finance lease however, ownership is passed to the lessee for the lease period and the lessee would have to depreciate the asset and record it in its books.

Airline O will therefore not record any assets but Airline F will. This means that Airline F will have more assets than O because it had to record its assets but O did not.

5 0
3 years ago
Which of the following provides the best explanation for how consumer credit can exacerbate inequality?
Flura [38]

Answer:

people with lower wealth and income may have less access to credit and pay higher interest rates when they are approved

Explanation:

8 0
1 year ago
Veronica Mars, a recent graduate of Bell’s accounting program, evaluated the operating performance of Dunn Company’s six divisio
Nat2105 [25]
You expect me to answer this
3 0
3 years ago
If the purpose of your message is to ask local businesses to sponsor your event, your desired outcome would most likely be
larisa86 [58]

Answer:

the business will provide finance for the event

Explanation:

When messages are sent to business, local or international, to sponsor events, it is more often than not thought to be a request fro financial backing or financial muscle for the event. For this reason, the business being courted does not involves itself in the event but rather provides financial aid and maybe send out company representatives to see the event if necessary.

Cheers.

5 0
3 years ago
Other questions:
  • Select the sentence that would best appear in the end of a narrative.
    6·2 answers
  • A grocery store is trying to find a new vendor for carrots. Its three criteria are 1. Freshness, 2. Lot Size, and 3. Cost with f
    14·1 answer
  • Mack's guitar fabrication shop produces low cost, highly durable guitars for beginners. Typically, out of the 100 guitars that b
    5·1 answer
  • Suppose you find that prices of stocks before large dividend increases show on average consistently positive abnormal returns. i
    11·2 answers
  • The Grondas, who owned a party store along with land, fixtures, equipment, and a liquor license, entered into a contract to sell
    5·1 answer
  • John Porter is an hourly employee of Motter Company located in New York City. This week, Porter had to travel to the company's r
    14·1 answer
  • Given question three, what is the equilibrium quantity​
    8·1 answer
  • A1 Co. has a process costing system. All materials are added when the process is first begun. At the beginning of May, there wer
    8·1 answer
  • Although GDP is a reasonably good measure of a nation's output, it does not necessarily include all transactions and production
    9·1 answer
  • if there is an increase in the demand for a good, what will happen to the equilibrium price and quantity of the good exchanged?
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!