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lukranit [14]
3 years ago
8

Jeff wishes to accumulate $5,000 in 5 years. Use the appropriate formula to find the sinking fund payment she would need to make

at the end of each year, at 5% interest, compounded annually
Business
1 answer:
miss Akunina [59]3 years ago
3 0

Answer:

$1, 154.873

Explanation:

The appropriate formula is

P   = PV ×      <u>       r     </u>

                    1 − (1+r)−n

P is the amount that needs to be set aside every year

Where PV  is $5000

r is 5% or 0.05

n is five years

P = 5000 x  <u>    0.05          </u>

       1-(1+0.05)-5

P= 5000 x <u>      0.05      </u>

             1-0.783526166

P= 5000 x (0.05/0.216473834)

P = 5000 x 0.2309747976

P= 1, 154.873

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Last year, Linus earned a salary of $25,000 and he spent $24,000, thus saving $1000. At the end of the year, he received a bonus
Evgen [1.6K]

Answer:

0.5

Explanation:

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Marginal propensity to consume = change in consumption/ increase in disposable income

$500 / $1000 = 0.5

I hope my answer helps you

8 0
4 years ago
Explain how a price system moves a market toward the quilibrium price
lions [1.4K]

Answer:

By setting the price of goods and services at a level where the suppliers and consumers feel comfortable, the quantity of goods and services supplied will be the same as the quantity of goods demanded.

Explanation:

A price system is a means of arranging economic activities by setting the standard prices of goods and services in that particular economy. In this way the agents of demand and supply can have an estimate of the price of various goods and services. In this way, a supplier who doesn't know the price of a goods or service that he/she plans to sell to a different country or region can use the price system to adjust their selling price effectively. On the same note, the consumers can also acquire goods and services that they have never demanded before by using the price system to determine the standard prices for those goods or services.  

Prices are a reflection of the consensus between suppliers and consumers about the value of goods and services. The equilibrium price can be defined as the price where the quantity of goods supplied equals the quantity demanded. By setting the price of goods and services at a level where the suppliers and consumers feel comfortable, the quantity of goods and services supplied will be the same as the quantity of goods demanded.

8 0
3 years ago
Lake Incorporated purchased all of the outstanding stock of Huron Company paying $950,000 cash. Lake assumed all of the liabilit
liraira [26]

Answer:

d. $250,000.

Explanation:

In order to calculate the expense of the goodwill, we must first calculate the net asset's fair value shown below:

The fair value of net asset = The fair market value of total assets - the fair market value of liabilities

= $125,000 + $750,000 - $175,000

= $700,000

And, the purchase value of all outstanding stocks is $950,000

So, the goodwill would be  

= $950,000 - $700,000

= $250,000

3 0
4 years ago
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Savatey [412]
What r u supposed to be figuring out?

7 0
4 years ago
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liberstina [14]
I believe the answer might be b and c:

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4 0
4 years ago
Read 2 more answers
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