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Ivenika [448]
3 years ago
14

An annuity that goes on indefinitely is called a perpetuity. The payments of a perpetuity constitute a/an series. The equation i

s: A stock with no maturity is an example of a perpetuity. Quantitative Problem: You own a security that provides an annual dividend of $115 forever. The security’s annual return is 5%. What is the present value of this security? Round your answer to the nearest cent. $
Business
1 answer:
stepladder [879]3 years ago
6 0

Answer:

The present value of security is $2300

Explanation:

The value or price of the perpetuity today is calculated by dividing the constant cash flow it provides per period by the interest rate or the rate of return (r). Thus the price of this perpetuity according to the formula will be,

Value of perpetuity = Cash flow / r

Value of perpetuity = 115 / 0.05

Value of perpetuity = $2300

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Economists define potential income as the level of income that: Group of answer choices an economy is capable of producing witho
andrey2020 [161]

Answer:

an economy is capable of sustaining or producing without generating higher inflation.              

Explanation:

In simple words, potential economy refers to that level of output or GDP that an economy can produce and sustain over  along term with its given level of inflation and resources available.

Potential income has to be maintained over a long term and is based on the assumption that all of the resources available, whether human or natural, will be utilized as according to their maximum utility power.    

6 0
3 years ago
Jake’s Market recorded the following events involving a recent purchase of merchandise: Received goods for $60000, terms 2/10, n
castortr0y [4]

Answer:

$57924

Explanation:

(60000- 1200 x.98) + 300= $57924

3 0
3 years ago
Read 2 more answers
1. Make the following statement True by filling in the blank from the choices below: Critical infrastructure owners and operator
Nadya [2.5K]

Answer:

The answer is "Develop and implement security and resilience programs for the critical infrastructure under their control, while taking into consideration the public good as well".

Explanation:

In the past, industrial control  systems were generally not connected to IT networks and did not contain complex computing  capabilities; therefore, they could be adequately protected using physical security measures like locks  and fences. However, as OT has become more integrated with IT, such physical measures are becoming  less adequate in securing the underlying critical assets.

8 0
3 years ago
Laura is a gourmet chef who runs a small catering business in a competitive industry. laura specializes in making wedding cakes.
quester [9]
<span>Laura should both reduce her variable costs and increase her total revenue. If she charged 10% more ($275 instead of $250) and reduced her variable costs by 10% ($162 instead of $180), she would nearly double her profits. She would profit $93 per cake compared to her current $50.</span>
8 0
3 years ago
For each of the following items, calculate the cash sources or cash uses that should be recognized on the statement of cash flow
Serhud [2]

Answer:

$784,700

Explanation:

Data provided

Revenue from sales = $762,000

Decrease in accounts receivables = $22,700

The computation of cash received from customers is shown below:-

Cash receipts from customers = Revenue from sales + Decrease in accounts receivables

= $762,000 + $22,700

= $784,700

Therefore for computing the cash received from customers we simply applied the above formula.

5 0
3 years ago
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