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lakkis [162]
3 years ago
13

4.

Business
1 answer:
pshichka [43]3 years ago
7 0

the answer to this question is 4.70%

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Denise will receive annual payments of $10,000 for the next 25 years. The discount rate is 6.8 percent. What is the difference i
frosja888 [35]

Answer: $8,069.29

Explanation:

If it is paid at the beginning of the year, it accumulates an extra year of interest and would be an Annuity Due.

If it is paid at the end, it is an ordinary annuity.

Present value of annuity due = Annuity * Present value interest factor of Annuity due, 6.8%, 25 periods

= 10,000 * 12.673521

= $126,735.21

Present value of annuity = Annuity * Present value interest factor of annuity, 6.8%, 25 periods

= 10,000 * 11.866592

= $118,665.92

Difference :

= 126,735.21 - 118,665.92

= $8,069.29

4 0
3 years ago
When a company has issues bonds, preferred stock, and common stock to investors what investor gets paid last
sasho [114]

When a company has issues bonds, preferred stock, and common stock to investors what investor gets paid last is explained in the following

Explanation:

  • In a buyout, the purchaser is buying all of the common shares of stock for a price it believes to be the fair value of the company as a whole. ... Many preferred shares carry convertibility options, where they can trigger a conversion from preferred into common stock.
  • Preferred stock is a type of ownership that receives greater demand on a company's profits and assets than common stock. While preferred shareholders do not typically have a right to vote in the company, they do hold the benefit of being paid dividends before common shareholders.
  • Most shareholders are attracted to preferred stock because it offers consistent dividend payments without the long maturity dates of bonds or the market fluctuation of common stocks.
  • The main difference between preferred and common stock is that preferred stock gives no voting rights to shareholders while common stock does. Preferred shareholders have priority over a company's income, meaning they are paid dividends before common shareholders.
  • Preferred stocks are not debt issues, so they do not represent loans that are eventually paid back at maturity. ... The yield generated by a preferred stock's dividend payments becomes more attractive as interest rates fall, which causes investors to demand more of the stock and bid up its market value.
4 0
4 years ago
For commodity X, average cost is equal to marginal cost at every level of output. Assuming that the market for X is competitive
yuradex [85]

Answer:

2 3 For commodity X average cost is equal to marginal cost at every level of from ... curve is linear, analyze the effects when a unit tax of u dollars is imposed. Now analyze the effects of the same tax assuming that the market for X is a monopoly. ... Suppose that the demand curve is (where is the number of gallons of liquor ...

Explanation:

7 0
3 years ago
Gabriela took out a five-year fixed-rate loan from a bank so that she could purchase a car. Over the life of the loan, the infla
Marianna [84]

Answer: The answer is: "Inflation benefited Gabriela because she repaid the loan with money that was worth less than expected." I took the test. I hope this helps!

4 0
3 years ago
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What is organizational behavior in a organization​
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Organizational behavior is the academic study of how people act inside of groups. Its principles are applied primarily in attempts to make businesses work more efficiently

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3 years ago
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