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mrs_skeptik [129]
3 years ago
10

A perpetuity of $6,000 per year beginning one year from today is said to offer a 15% interest rate. What is its present value? g

Business
1 answer:
N76 [4]3 years ago
3 0

Answer:

PV= $40,000

Explanation:

Giving the following information:

Perpetuity of $6,000 per year beginning one year from today is said to offer a 15% interest rate.

To calculate the present value, we need to use the following formula:

PV= Cf/i

Cf= cash flow

i= interest rate

PV= 6,000/0.15

PV= $40,000

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melamori03 [73]
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A lot of Money in that business
4 0
3 years ago
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Loyal Pet Company expects to sell 7 comma 000 beefy dog treats in January and 5 comma 000 in February for $ 2.00 each. What will
marin [14]

Answer:

<u>January:</u>

Sales revenue= $14,000

<u>February:</u>

Sales revenue= $10,000

Explanation:

Giving the following information:

Sales:

January= 7,000 units

February= 5,000 units

Selling price= $2

The sales revenue reflected in the sales budget is the result of multiplying the number of units sold with the selling price.

January:

Sales revenue= 7,000*2= $14,000

February:

Sales revenue= 5,000*2= $10,000

3 0
4 years ago
The accounts in the ledger of Monroe Entertainment Co. are listed below. All accounts have normal balances.
lara [203]

Answer:

The correct answer is $13.900.

Explanation:

To carry out the verification balance, the nature of the accounts presented in the normal balance of the organization must be taken into account. We have that the assets and income have a debit nature, so it is necessary that the corresponding to that premise are:

Accounts receivable $ 1,800 - Active

Insurance expenses $ 1,300 - Expenses

Prepaid insurance $ 2,000 - Expenses

Land $ 3,000 - Active

Cash $ 3,200 - Assets

Salary Expenses $ 1,400 - Expenses

On the other hand there are accounts that despite being of a credit nature, have credit movements as a result of ordinary activities, which would be:

Dividends: $ 1,200 - Debit nature liability

TOTAL DEBITS: $ 13,900

8 0
3 years ago
Which questions can help someone who is starting to think about personal vision and goals?
Reil [10]

6/66

born with

talents

things you like to do for fun, such as cooking, reading, or painting.

Some people will share your hobbies, but others might not find those things interesting at all. The skills you learn from your hobbies can give you an advantage in careers in those fields.

You might also get to know other people who share your hobby, and this could help you build a career in that field.

7 0
4 years ago
Use the midpoint method when applicable to calculate the price elasticity of demand.
Neko [114]

Answer:

Follows are the solution to the given points:

Explanation:

In point a:

This business of plastic containers is increasing its Lunchbox Product Signature price around $3.00 and $4.00.   The volumes produced consequently declined around 20,000 to 15,000.

\text{Price elasticity} =  \frac{\frac{15000-20000}{(\frac{15000+20000}{2})}}{\frac{4-3}{(4+\frac{3}{2})}}

                        =\frac{\frac{-5000}{(\frac{35000}{2})}}{\frac{1}{(\frac{7}{2})}}\\\\=\frac{\frac{-5000}{17500}}{\frac{1}{3.6}}\\\\=\frac{\frac{-50}{175}}{\frac{1}{3.6}}\\\\= \frac{-0.2857}{0.2857} \\\\ =-1

The price elasticity also becomes unitary

In point b:

U.S. economic theory states that the elasticity of fuel demand is 0.5 because prices would be less than 1 and so are non-elastic.

In point c:

The capital Metro agrees and add $2.00 to $2.21 also for bus fares. Consequently, with an average of 70,000 drivers a days to both a daily average 61,000 drivers, its passenger numbers who take the bus in Austin falls.

\text{Price elasticity} = \frac{\frac{61000-70000}{(61000+ \frac{70000}{2})}}{ \frac{2.21-2}{(2.21+\frac{2}{2})}}

                        = \frac{\frac{-9000}{(61000+ 35000)}}{ \frac{0.21}{(2.21+1)}} \\\\= \frac{\frac{-9000}{(96000)}}{ \frac{0.21}{(3.21)}} \\\\= \frac{\frac{-9}{(96)}}{ \frac{0.21}{(3.21)}} \\\\= \frac{-0.1374}{0.099} \\\\ = -1.38

The value being higher than 1 is elastic.

5 0
3 years ago
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