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3 years ago

How much must be deposited at the beginning of each year to accumulate to $10,000 in four years if interest is at 9%

Business

1 answer:

aliina [53]3 years ago

8 0

Answer:

Annual deposit= $2,186.69

Explanation:

Giving the following information:

Future value= $10,000

Number of peridos= 4 years

Interest rate= 9% compounded annually

To calculate the annual deposit required, we need to use the following formula:

FV= {A*[(1+i)^n-1]}/i

A= annual deposit

Isolating A:

A= (FV*i)/{[(1+i)^n]-1}

A= (10,000*0.09) / [(1.09^4) - 1]

A= $2,186.69

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This type of order is called limit order. Kate wants to purchase an IBM share at a specific price. Limit order does not necessarily mean that it is a market order since order may not push through.

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In 2010, the MoreForLess Company had revenues of $2,000,000 while costs were $1,500,000. In 2011, MoreForLess will be introducin

Harlamova29_29 [7]

Answer:

Differential profit Profit = $40,000

Explanation:

The differential operating profit is the difference between the operating profit before the introduction of the product and after the introduction of the new product

Profit = Revenue - costs

Profit before the introduction of the new product

= 2,000,000 - 1,500,000 = 500,000

Profit after the introduction of the new product

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3 years ago

Stone Company has beginning equity of $1,200,000, net income of $200,000, dividends of $120,000 and investments by owners in exc

meriva

Answer:

The correct answer is D. $1,320,000 .

Explanation:

In this case, it should be considered that the Stone Company is just beginning to operate, so the capital at the end of the period is made up of the following:

Initial Capital: $ 1,200,000

Dividends: $ 120,000

TOTAL = $ 1,320,000

Net income is not part of the measurement of capital, since information on expenses must be available to calculate the profit or loss for the period. For its part, investments in shares are considered a current asset and do not enter into this calculation.

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3 years ago

An agreement to exchange dollar bank deposits for euro bank deposits in one month is a:_________

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An agreement to exchange dollar bank deposits for euro bank deposits in one month is a forward transaction.

<h3>What is a forward contract?</h3>

A tailored agreement between two parties to purchase or sell an item at a predetermined price at a later date is known as a forward contract. Although its non-standardized nature makes it particularly suitable for hedging, a forward contract can be utilized for speculating or hedging.

A forward contract can be tailored to a commodity, amount, and delivery date, unlike typical futures contracts. Grain, precious metals, natural gas, oil, and even chicken are examples of traded commodities. Settlement of a forward contract may take place in cash or by delivery.

Forward contracts are categorized as over-the-counter (OTC) instruments because they are not traded on a centralized exchange. While the OTC nature of these products makes it simpler to adjust terms, the absence of a centralized clearinghouse also increases the chance of default.

Thus, it is a forward transaction that is used to exchange dollar bank deposits for euro bank deposits in one month.

For more information on Forward Transaction, refer to the given link:

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1 year ago

What is the difference between absolute advantage and comparative advantage?

Yuliya22 [10]

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