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Gnesinka [82]
3 years ago
5

If $ 9 comma 000 is invested in a certain business at the start of the​ year, the investor will receive $ 2 comma 700 at the end

of each of the next four years. What is the present value of this business opportunity if the interest rate is 6​% per​ year?
Business
1 answer:
Marianna [84]3 years ago
4 0

Answer:

PV= $9,355.78

Explanation:

Giving the following information:

If $ 9,000 is invested in a certain business at the start of the​ year, the investor will receive $ 2,700 at the end of each of the next four years.

Interest rate= 6%.

First, we need to find the final value

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

A= payment

FV= {2,700*[(1.06^4)-1]}/0.06= 11,811.46

Now, we calculate the present value:

PV= FV/(1+i)^n

PV= 11,811.46/1.06^4= $9,355.78

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Norbert and Suzie are both lineworkers for a utility company who have been working together for almost two years. Norbert freque
Korolek [52]

Answer:

Norbert will be found to have committed sexual harassment against Suzie because his behavior towards Suzie is based on her gender and has unreasonably interfered with Suzie's ability to do her job.

8 0
3 years ago
Deferred income taxes arise because a. corporations often make errors in their tax estimations. b. companies can use accounting
svetlana [45]

Answer:

b. companies can use accounting methods that minimize net income for tax purposes and other methods that maximize net income for reporting to shareholders.

As they use a basis for accounting and prepare the financial statement temporary difference arise which, are settled overtime as in the end both, tax basis and accounting basis much get the same income

The most common example is depreciation if a company uses S179 and depreciate the entire of the asset purchase next year, while the accounting will have a depreciation expense associate with the equipment for tax purposes this assets basis is zero as it was completely depreciate thus, it will have a higher income making more tax payable than accounting income tax expense.

Explanation:

a. corporations often make errors in their tax estimations.

While this can occur is not the reason for deferred income taxes

c. the IRS owes a company a refund from last year.

No, the refund will not generate deferrd income tax It will be a receivable for the company.

d. large corporations generally have operations in foreign countries whose tax law is quite different from U.S. tax

While corporations do operate in foreing countries these doesn't necessary generate deferred taxes. Difference arise when the company uses a different method in his accounting than the State to determinate the tax basis.

8 0
4 years ago
If consumers view the output of any firm in a market to be identical to the output of any other firm in the market and the marke
hichkok12 [17]

Answer:

B. will be horizontal

Explanation:

A type of market where output is identical to the output of any other firm in the market and the market has many firms and transaction costs are​ low is the perfect competition.

The demand curve is horizontal because in this type of market, price is set by the forces of demand and supply. Buyers are sellers are price takers and they don't have any influence over prices. At the going market price, sellers sell all the quantities of their products.

But if they attempt to increase price, quanitity demanded would fall to zero as consumers would easily shift to other sellers. Also, there would be no incentive to reduce price because they would be earning a loss.

I hope my answer helps you

7 0
3 years ago
A large personal care products company adopts a(n) ________ approach to gain a competitive edge in light of intense foreign comp
lawyer [7]

Answer:

"Total quality management " is the correct answer.

Explanation:

  • TQM seems to be a management philosophy focused mostly on the idea that such a company can achieve long-term performance by making all its participants concentrate on enhancing efficiency and thereby providing customer loyalty, including low-level staff to their highest position representatives.
  • This can be accomplished by the incorporation of all roles and processes relating to quality throughout the business.
8 0
3 years ago
Rudyard Corporation had 160,000 shares of common stock and 16,000 shares of 8%, $100 par convertible preferred stock outstanding
snow_lady [41]

Answer:

Diluted EPS = $3.0625

Explanation:

Earning per share (EPS) = earnings available to ordinary shareholders/ number of ordinary shares  possible after conversion

Conversion of preferred stock into common stock

= 16,000 × 5 = 80,000

Number of ordinary shares = common stock + converted preferred stock

= 160000+ 80000  =240,000 units

                                                                     $

Net Income                                             520,000

Preferred dividend (8%×100×16000)     (<u>128000) </u>

Earnings available to shareholders     <u>  392000 </u>

Number of shares                                   240,000

Diluted Earnings per share          

        392,000/240,000= $3.0625

Diluted EPS = $3.0625

                     

5 0
3 years ago
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