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
Umnica [9.8K]
3 years ago
15

A rich relative has bequeathed you a growing perpetuity. the first payment will occur in a year and will be $ 3 comma 000$3,000.

each year after​ that, you will receive a payment on the anniversary of the last payment that is nbsp 4 % 4% larger than the last payment. this pattern of payments will go on forever. assume that the interest rate is 16 %16% per year.
a. what is​ today's value of the​ bequest?
b. what is the value of the bequest immediately after the first payment is​ made?
Business
1 answer:
MAVERICK [17]3 years ago
8 0
A. For knowing today's value of the bequest we need to know the period of time.
When the first payment occure and how many payments were made. 
b. Immediate value of bequest is $3,000 After one year it needto be 1.16*3,000=$3,480 Plus the second payment will be 1.04*3,000=$3,120
You might be interested in
Data about the size and composition of a population are gathered in a survey called
Svet_ta [14]
Systematic acquisition and recording information concerning members of a given population is called census. This involves collecting and gathering data about the size and the composition of a population in a given country or nation. In the U.S for example census is undertaken after every ten years which involves tallying the population in the country and recording basic information such as age, sex and race. The census is used by the federal government among other reasons to establish the allocation of funding for education programs in the communities and states
3 0
3 years ago
Read 2 more answers
In 2003, the fraudulent accounting practices at ____________, a Houston-based energy company, was the largest of several busines
oksano4ka [1.4K]

Answer: Enron

Explanation:

Enron scandal was an accounting scandal that involved Enron Corporation, which was an American energy company that was based in Houston, Texas.

Enron hid huge amount of trading losses, which led to its bankruptcy. The company used fraudulent accounting practices in order to inflate the revenue of the company and.hid the debt that the company incurred.

4 0
2 years ago
A company purchased land for $100,000 cash. Accrued real estate taxes on the land, $2,000, and real estate taxes on the land for
zheka24 [161]

Answer:

$118,000

Explanation:

We know the purchase price of land = $100,000

Also any kind of brokerage or commission is added to such cost as it is part of acquisition and one time expense, thus capital in nature.

Thus, $8,000 paid as brokerage will be added.

Also the one time expense in the capital nature being the demolishing expense will be added to cost.

Thus, net cost of land = $100,000 + $8,000 + $10,000 = $118,000

Some of the salvage sold results in an income for the company, and that shall form part of income statement, and has nothing to do with cost of land.

Thus, net historical cost = $118,000

7 0
3 years ago
In some cases, governments use trade and investment policies to keep foreign companies out of their countries. What is the purpo
lana66690 [7]

Answer: I think it is A

Explanation:

5 0
3 years ago
A physical count of merchandise inventory on July 30 reveals that there are 180 units on hand. Using the FIFO inventory method,
Nookie1986 [14]

Answer: $3,708

Explanation:

Using FIFO means that the earlier goods are sold before the later ones so the closing inventory would have the latest goods purchased.

If there are 180 units on hand, the cost would be:

  • 54 units purchased at $22
  • (180 - 54) units purchased at $20

Closing inventory is:

= (54 * 22) + ( (180 - 54) * 20)

= (54 * 22) + ( 126 * 20)

= $3,708

8 0
3 years ago
Other questions:
  • Mary works in the accounting department of new trends sales company. her job includes reviewing expense reports submitted by man
    6·1 answer
  • Consider an offer to supply 5 paintings per year to an art gallery in Rome for the next five years. The contract is exclusive, m
    12·1 answer
  • Which agency enforces truth in advertising laws and defines deceptive and unfair advertising practices?
    9·1 answer
  • The existence of trade for country that has developed an expertise or reputation for quantity in the production of a particular
    15·1 answer
  • Randomly listed below are the steps for preparing a trial balance: (1) Verify that the total of the Debit column equals the tota
    13·1 answer
  • Vega Enterprises has computed the following unit costs for the year just ended: Direct material used $12 Direct labor 18 Variabl
    15·1 answer
  • 4) An investor has $60,000 to invest in a $280,000 property. She can obtain either a $220,000 loan at 9.5 percent for 20 years o
    5·1 answer
  • Question 1
    15·1 answer
  • Assume that consumers' incomes and the number of sellers in the market for good A (a normal good) both decrease. Based upon this
    11·1 answer
  • NEED THIS SUPER FAST! ASAP!!!
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!