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
Flauer [41]
3 years ago
5

Investments and loans base their interest calculations on one of two possible methods: the the interest and interest methods. Bo

th methods apply three variables--the amount of principal, the interest rate, and the investment or deposit period-to the amount deposited or invested in order compute the amount of to interest. However, the two methods differ in their relationship between the variables.Assume that the variables I, N, and Pv represent the interest rate, investment or deposit period, and present value of the amount deposited or invested respectively.Which equation best represents the calculation of a future value (FV) using:Compound Interest?FV=PVx(1+I)N
FV=PV+(PVxIxN)
FV=PV/(1+I)NSimple Interest?FV=PV/(1xIxN)
FV=PVxIxN
FV=PV+(PVxIxN)
Business
1 answer:
Ghella [55]3 years ago
3 0

Answer:

  • Compound Interest ⇒ FV = PV x (1 + I ) ^N
  • Simple Interest ⇒ FV = PV x I x N

Explanation:

With compound interest the rate of growth needs to be compounded which is why the time period is used to exponentially adjust it.

With simple interest there is no compounding so the value is simply the interest that will be earned every period (which is a constant value) multiplied by the number of periods and the amount to be invested.

You might be interested in
When the Writers Guild of America went on strike in 2007-2008, the union and studios met with a third party who helped continue
garik1379 [7]

Answer:

mediation

Explanation:

The Writers Guild of America and the film studios used a mediator when they started their negotiations. The mediator is an impartial third party that is present during the negotiations and tries to help both parties reach an agreement or settlement. The decisions taken by the mediator are not mutually binding so any party can accept or reject them. A mediator only helps to solve the problem, offers possible solutions, but shouldn't decide anything.

In order for the decisions taken by the third to be binding, the third party must be an arbitrator. In an arbitration process all parties involved must accept the decision of the arbitrator.

5 0
3 years ago
31. A portfolio manager in charge of a portfolio worth $10 million is concerned that stock prices might decline rapidly during t
Angelina_Jolie [31]

Answer:

200

Explanation:

Base on the scenario been described in the question, the position required if the portfolio has a beta 1 is been calculated as follows .

number of contracts required is

Number of contract =10,000,000/(500×100)

Number of contract =10,000,000/50,000

Number of contract =200.

A long put position is needed because the contracts must provide a positive payoff when the market reduces.

6 0
3 years ago
Two brothers wish to open an account to trade stocks, with one brother depositing $100,000, and the other brother depositing $20
Lostsunrise [7]

Answer:

The account should be opened as a Joint account with tenancy in common. Option C.

Explanation: This type of account is one that is owned by at least two people and in which there is no rights of survivorship.

In this type of account, the members do not want their investments to go to other members of the joint account upon their death, but they specify in a will how the investment will be distributed to their beneficiaries.

Joint account with tenancy in common can hold an unequal amount of investment among members, but they still have equal rights to the account.

4 0
3 years ago
Dan kim does a lot of customer research on his ideas for new products before actually making a prototype. in the new-product dev
GarryVolchara [31]
<span>the part of the development process where Dan Kim does his research on his ideas is called innovation which is where new ideas are transformed into new products</span>
7 0
3 years ago
The consumer price index is __
Yanka [14]

Answer:

The consumer price index is a systematic calculation used to estimate price increases in a basket of goods and services that are indicative of consumption expenditure in the economy.

Explanation:

The Consumer Price Index refers to a metric used to determine the weighted average price of a set of consumer goods and services, such as food, transportation, and healthcare.  CPI is accountable for monitoring the change in retail prices of fundamental and everyday goods and services purchased by households across the world. Changes in the CPI are required to measure increases in the price of living. The CPI is one of the most commonly used indicators for the detection of inflation or deflation cycles.

7 0
4 years ago
Other questions:
  • Your company is upgrading the breakroom and kitchen. It is going to include an expresso machine, a fridge with compartments for
    15·1 answer
  • Define primary industry .<br>​
    7·1 answer
  • Define present value.a. The present value is the value today of a sum of money to be received in the future and in general is le
    15·1 answer
  • Suppose the economy is in long-run equilibrium. Then because of corporate scandal, in- ternational tensions, and loss of confide
    10·1 answer
  • In the face of demographic pressures dealing with an aging workforce, many employers try to use _____ among their older workers
    7·1 answer
  • A marketing company wants to determine which cola beverage is most preferred by consumers. A group of participants tastes Cola A
    6·1 answer
  • To verify the quality and integrity of completed visuals ask yourself all of the following questions, except
    5·2 answers
  • Why is management is inexact​
    8·1 answer
  • Tropical Tours reported revenue of $411,000 for its year ended December 31, 2021. Accounts receivable at December 31, 2020 and 2
    5·1 answer
  • What amount must be invested today at an interest rate of 5. 5% compounded monthly, if you want to purchase a $550,000 machine 5
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!