Answer:
The amount that will be received when CD matures is $1514.30
Explanation:
To calculate the amount that will be received at the maturity of the CD, we simply need to calculate the future value of the invested amount using annual compounding. The formula for the future value that we will use is,
Future value = Present value * (1+r)^t
Where,
- r is the rate of interest
- t is the time in years
Future value = 1275 * (1+0.035)^5
Future value = $1514.30
Investments, Savings, and Expenses are the three basic strategies, which can help a person take better and efficient financial decisions on a personal level.
<h3>What are better financial decisions?</h3>
- The strategies to choose the investments in different assets and debt classes will enable a person to increase his chances of gaining better financial returns.
- The amount of money, a person decides to save for any future requirements will help him out of the financial crises that may take place in his life.
- The strategy on where to spend and where not to spend will help a person have more disposable income to fulfill the financial needs in the future.
Hence, the strategies for taking better financial decisions are as aforementioned.
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Answer:
$58,002.60
Explanation:
First, it is clear to include the $21,000 as part of the value of the equipment.
Now, the $9,000 annual payment after every year for six years need to be presented in its present value, meaning what is the value of those future amounts of $9,000 on June 30, 2018.
To calculate the present value of annuity (annuity means constant and equal payments) for those 6 payments of $9,000, we would need the Present Value Factor which is supplied from the Present Value Table.
Looking at 12% for 6 periods ("six annual installments") on the table, it gives the PV factor of 4.1114.
Just multiply $9,000 by 4.1114 and we get 37,002.60
Finally add the downpayment of $21,000 with the present value $37,002.60 and we would get the total value of the equipment of 58,002.60
Answer:
Value of the bond = $862.013
Explanation:
The value of the bond is the present value of the future cash receipts expected from the bond. The value is equal to present values of interest payment and the redemption value (RV).
Value of Bond = PV of interest + PV of RV
The value of the bond can be worked out as follows:
Step 1
<em>Calculate the PV of Interest payment
</em>
Present value of the interest payment
PV = Interest payment × (1- (1+r)^(-n))/r
Interest payment = $40
PV = 40 × (1 - (1.05)^(-12×2)/0.05)
= 40 × 13.7986
= 551.945
Step 2
<em>PV of redemption Value
</em>
PV of RV = RV × (1+r)^(-n)
= 1000 × (1.05)^(-12×2)
= 310.067
Step 3
<em>Calculate Value of the bond </em>
= 551.94567 + 310.067
=862.01
Value of the bond = $862.013
what recognizes the potential for valuable innovations to be launched from lower organizational levels and diverse locations, including merging markets, is known as:
"Reverse Innovation."
This is because reverse innovation is a type of innovation in which the product is originally innovated for poor neighborhoods such as developing regions, then repackaged in a way that is then sold to the rich neighborhoods such as developed regions.
Reverse innovation is a term originally coined by Vijay Govindarajan and Chris Trimble.
They claimed that reverse innovation is a kind of bottom-up innovation strategy whereby the products designed for poor areas are then redefined and sold to the rich areas.
Hence, in this case, it is concluded that the correct answer is "Reverse Innovations."
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