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3 years ago

The Importance of Starting Early.

Business

1 answer:

Inessa05 [86]3 years ago

7 0

Answer:

1. Lulu started saving $200/month in a 401(k) earning 6% interest compounded monthly when she was 45 years old. How much will be in her account when she retires at age 65?

Lulu made 12 x 20 = 240 payments

to calculate how much she earned we can use the future value of ordinary annuity formula:

FV annuity = payment x {[(1 + r)ⁿ - 1] / i} = $200 x {[(1 + 0.5%)²⁴⁰ - 1] / 0.5%} = $200 x 462.04 = $92,408.18

2. How much money did Lulu deposit into her account over the course of the 20 years?

240 x $200 = $48,000

3. What dollar amount of interest did her account earn?

$92,408.18 - $48,000 = $44,408.18

4. Murphy started putting $100/month into his 401(k) earning 6% APR when he was 25 years old. How much will be in his account when he retires at age 65, if interest is compounded monthly?

480 payments, again we use the same formula as in (1):

FV annuity = $100 x {[(1 + 0.5%)⁴⁸⁰ - 1] / 0.5%} = $100 x 1,991.49 = $199,149.07

5. How much money did Murphy deposit into his account over the course of the 40 years?

480 x $100 = $48,000

6. What dollar amount of interest did his account earn?

$199,149.07 - $48,000 = $151,149.07

7. Murphy's account earned how much more interest than Lulu's account?

$151,149.07 - $44,408.18 = $106,740.89

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Answer: D. Derek assumed the risk of a bear attack by joining the tour group, so he cannot hold the tour company liable

Explanation:

Derek has to accept that by joining the tour group, he assumed some the risk of some elements of danger amongst them the bear attack.

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3 years ago

Kapono Farms exchanged an old tractor for a newer model. The old tractor had a book value of $18,000 (original cost of $40,000 l

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Answer:

Loss on exchange is -$7,800

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Explanation:

The amount of gain or loss recognizable on the exchange is the difference between the fair value of the old asset and its book value

Loss on the asset=$10,200-$18,000=-$7,800

Initial value of the new tractor=fair value of the old tractor+cash payment

Initial value of the new tractor=$32,000+$10,200=$42,200

If fair value were $26,000

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3 years ago

Veronica, a vice president of human resources at an auto company, wants to develop its programs for employee empowerment. Howeve

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Answer:

B) In its rulings, the NLRB has allowed employee empowerment in certain very limited situations.

Explanation:

Employee empowerment refers to a company giving its employees a higher degree of autonomy and independence regarding their normal work related activities.

Personally I don't understand how employee empowerment can affect employees negatively but unions tend to oppose it unless they are directly involved in the empowerment process.

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3 years ago

In recent years some companies have begun to work closely with their customers and/or suppliers by sharing information to develo

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Answer:

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Explanation:

Based on the information provided within the question it can be said that the procedure they are following is known as Collaborative Planning, Forecasting and Replenishment (CPFR). This is a concept whose main focus is enhancing supply chain integration by emphasizing joint practices. Which is what is being done in this situation as companies begin to work closely together with their customers and/or suppliers.

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3 years ago

The full-employment level of employment is: A. the level of employment when aggregate demand is equal to short-run aggregate

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Answer:

The correct answer is letter "C": the equilibrium level of employment reached after all wages and prices have fully adjusted.

Explanation:

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3 years ago