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
Elenna [48]
4 years ago
6

A service contract for a video projection system costs $195 a year. you expect to use the system for four years. instead of buyi

ng the service contract, what would be the future value of these annual amounts after four years if you earn 4 percent on your savings? u
Business
2 answers:
Korolek [52]4 years ago
7 0

Answer:

$828.26

Explanation:

FVA ( future value of annuity ) = P *\frac{(1+r)^{n}-1 }{r}

p ( principal amount ) = $195

r (interest rate) = 4% = 0.04

n ( number of years) = 4  

therefore to calculate the FVA we will into the following values into the given equation

FVA = 195 * \frac{(1+0.04)^{4}-1 }{0.04} = 195 * \frac{1.1699 - 1}{0.04}

       = 195 ( 0.1699 / 0.04 ) = $828.26

The future annuity will be $828.26

aleksklad [387]4 years ago
4 0

Answer:

The future value of an annuity (FVA) is $828.06

Explanation:

The future value of an annuity (FVA) is the value of payments at a specific date in the future based on the payments being recurring and assuming a discount rate. The future value of an annuity (FVA) is based on regular cash flow. The higher the discount rate, the greater the annuity's future value.

FVA= P * \frac{(1+r)^n-1}{r}

Where:

FVA is The future value of an annuity (FVA)

P is payment per period

n is the number of period

r is the discount rate

Given that:

P = $195

r = 4% = 0.04

n = 4 years

FVA= P * \frac{(1+r)^n-1}{r}

substituting values

FVA= 195 * \frac{(1+0.04)^4-1}{0.04}=195*4.246=828.06\\FVA=824.06

The future value of an annuity (FVA) is $828.06

You might be interested in
Stock X and Stock Y have a correlation coefficient of .5. Stock X has an expected return of 10% and a standard deviation of 10%.
ddd [48]

Answer:

12.53%

Explanation:

Since there are only two assets in the portfolio, its standard deviation can be determined using the two-asset portfolio standard deviation provided below;

σP = (wA2 * σA2 + wB2 * σB2 + 2 * wA * wB * σA * σB * ρAB)^(1/2)

wA=proportion of the portfolio invested in X=60%

σA=standard deviation of return on X= 10%

wB=proportion of the portfolio invested in Y=40%

σB=standard deviation of return on Y =21%

ρAB= correlation between X and Y=.5

σP=(60%^2*10%^2+40%^2*21%^2+2*60%*40%*10%*21%*.5)^(1/2)

σP=12.53%

5 0
3 years ago
The chief executive officers of the major U.S. steel makers would most likely be prosecuted under the antitrust laws if they Gro
-BARSIC- [3]

Agreed to work together to control the price of domestic steel.

The chief executive officers of the major U.S. steel makers would most likely be prosecuted under the antitrust laws if they agreed to work together to control the price of domestic steel.

<h3>What are the objectives of antitrust law?</h3>

The Sherman Act, the nation's first antitrust statute, was enacted by Congress in 1890 as a "comprehensive charter of economic liberty designed to maintain open and unhindered competition as the rule of commerce." The antitrust laws generally prohibit unauthorized mergers and business practices, leaving it to the courts to determine which ones are prohibited based on the specific facts of each case.

From the era of horses and buggies to the modern digital era, courts have applied antitrust rules to evolving marketplaces. Nevertheless, for more than a century, the antitrust laws have had the same fundamental goal: to safeguard the competitive process for the benefit of consumers, by ensuring that there are strong incentives for businesses to operate effectively, keep prices low, and keep quality high.

<h3>The three core federal antitrust laws:</h3>
  • Any "monopolization, attempted monopolization, conspiracy, or combination to monopolize" is prohibited by the Sherman Act, as is "every contract, combination, or conspiracy in restraint of trade."
  • The Sherman Act has harsh penalties that can be applied. The Sherman Act is a criminal law as well, and although the majority of enforcement actions are civil, anyone or any company that violates it may face legal action from the Department of Justice.
  • "Unfair techniques of competition" and "unfair or deceptive activities or practices" are prohibited by the Federal Trade Commission Act.

Learn more about antitrust laws here:

brainly.com/question/8431756

#SPJ4

5 0
2 years ago
Marshall Welding Company has two service departments (Cafeteria and Human Resources) and two production departments (Machining a
vovikov84 [41]

Answer: $88,889

Explanation:

Based on the information given in the question, the cost of Human Resources that would be allocated to Cafeteria will be calculated thus:

Number of employees (Human Resources to departments)

= 20 + 100 + 150

= 270 employees

The Human Resources cost would be allocated to Cafeteria will be:

= $1,200,000 / 270 x 20

= $88,889

5 0
3 years ago
A company using the perpetual inventory system purchased inventory worth $ 22 comma 000 on account with terms of 2​/10, ​n/30. D
EastWind [94]

Answer:

Discount = $420

Explanation:

Inventory purchased = $22000

Defective inventory = $ 1000

to find out

amount of the purchase discount that would be available to the company is​

solution

we know Inventory purchased = $22000

and return is $1000

so Net Purchases = $22000  - $1000

Net Purchases = $21000

so

discount claim for $21000  is 2%

Discount = 2% of $21000

Discount = $420

4 0
3 years ago
PLEASE HELP GIVING BRAINLIEST!
sukhopar [10]

Answer:

xnbbhsjbkwnjj

Explanation:nnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnnn

7 0
3 years ago
Other questions:
  • Why is the supply curve a vertical line
    10·1 answer
  • What is the main advantage of using a master maker?
    13·2 answers
  • Rex's Wrecks purchased $150,000 in new equipment during the current year. Rex used Section 179 to expense the maximum amount of
    6·1 answer
  • Laurel contributed equipment worth $200,000, purchased 10 months ago for $250,000 cash and used in her sole proprietorship, to S
    8·1 answer
  • Inventories do not include $15,000 of merchandise that was in transit on December 31, which was sold to a customer with terms f.
    8·2 answers
  • If a politician wanted to bias the net present value of $1,000 in 10 years upwards, and they know the discount rate is either 2%
    15·1 answer
  • Suppose someone believes that if a per-unit tax is placed on the producers of good Y, the consumers of good Y will end up paying
    15·1 answer
  • The self serving bias states that we ______. Attribute the cause of our success to internal factors and attribute the cause of o
    14·1 answer
  • During the month of June, Indigo Boutique recorded cash sales of $274,990 and credit sales of $165,636, both of which include th
    6·1 answer
  • Inheriting someone else’s _______ is one of the drawbacks of buying an existing business.
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!