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scoundrel [369]
3 years ago
6

You anticipate having to pay $30,000 per year for your child’s college education starting 10 years from now. You plan to finance

four years of college by making quarterly deposits in a savings account starting now. The final deposit is made three months prior to the first college payment, for a total of 40 deposits. Each annual college payment is made in full at the beginning of the school year. If the savings account earns 8% per annum convertible quarterly, what should your quarterly deposit be?
Business
1 answer:
SIZIF [17.4K]3 years ago
4 0

Answer:

$1,741.81

Explanation:

we must first determine the total cost of college using the present value of an annuity due:

present value = $30,000 x 3.5771 (PV factor annuity due, 8%, 4 periods) = $107,313

to find the quarterly payment we can use the following formula:

future value of an annuity due = quarterly payment x FV annuity factor (2%, 40 periods)

  • future value of annuity due = $107,313
  • FV annuity factor (2%, 40 periods) = 61.61002

$107,313 = quarterly payment x 61.61002

quarterly payment = $107,313 / 61.61002 = $1,741.81

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Zinc, LP was formed on August 1, 20X9. When the partnership was formed, Al contributed $10,000 in cash and inventory with a FMV
elena55 [62]
C is the correct answer
7 0
3 years ago
Consider the market for a breakfast cereal. The​ cereal's price is initially ​$3.003.00 and 7070 thousand boxes are demanded per
arlik [135]

Answer:

0.539

Explanation:

Price elasticity of demand measure the responsiveness of demand against the change in price of the product. It shows how much demand changes if there is the change in price.

Under mid-point method the price elasticity can be calculated as follow

where

S = Quantity

P = Price

Change in Quantity = ( S2 - S1 ) / [ ( S2 + S1 )/2 ]

Change in Quantity = ( 6,060 - 7,070 ) / [ ( 6,060 + 7,070 )/2 ]

Change in Quantity = -1,010 / 6,565

Change in Quantity = -0.153846

Change in price = ( P2 - P1 ) / [ ( P2 + P1 )/2 ]

Change in price = ( $4,004 - $3,003 ) / [ ( $4,004 + $3,003 )/2 ]

Change in price  = $1,001 / $3,503.5

Change in price  = 0.285714

Elasticity of Supply = Change in Quantity / Change in Price

Elasticity of Supply = -0.153846 / 0.285714 = -0.5385

Elasticity of Supply = -0.539

3 0
3 years ago
When Coca-Cola purchased first a part and then all of Honest Tea, what would have been appropriate ways to help this change be s
tensa zangetsu [6.8K]

Answer:

The most applicable choices in the order of importance are

C, B then A. Of course, they have to be applied at various stages of the acquisition.

Explanation:

C should have occurred (if possible) before the acquisition. Usually, when there is a major acquisition such as the one described above, it comes with good and bad tidings.

In some cases, especially one involving a large and efficient system like Coca-Cola, many positions become redundant.

In other cases, people are worried if their compensation will be affected. There are usually questions such as:

  • Will my compensation be reviewed upwards or, downwards?
  • Will my insurance or 401K be affected adversely? e.t.c.

Thus, executing a survey of Honest Teas' employees to identify such sources of anxiety and conflict related to the acquisition with the goal to address them constructively, will help the change to be successful.

Option B is one strategy that ought to have been executed upon the conclusion and official announcement of the acquisition exercise. This is the most crucial and maybe the most important part of the acquisition/takeover process.

This is true especially if there is going to be changes in management,  communication styles, and the culture.  Other benefits of team building excercises are, it increases and or improves:

  • Productivity
  • Morale
  • Staff Motivation and
  • Communication all of which are critical to the success of any organisation.

Option C: On the balance of probability, it is expected that when a bigger company like Coca-Cola acquires a smaller one, the process comes with a lot of benefits. One of such benefits is the payroll upgrade.

After all is said and done, it will serve to boost the motivation and morale of the staff if Honest Tea began to use Coca-Cola's payroll which is likely to be more robust.

Because Cocal-cola is an older, more experience and more global company, it is more likely to have more efficient reimbursement systems. If these are inculcated into the Honest Tea process, with adequate training on how to use it, it will also serve to ensure homogeneity of systems and operations which is critical to the success of an acquisition.

Cheers!

3 0
2 years ago
The major issues in the __________ stage of team development concern how the tasks and responsibilities will be divided among me
defon

Answer:

3rd stage or Norming stage of group development.

Explanation:

3rd stage or Norming stage of group development.

In this stage responsibilities among group member is divided on the basis of  their skills.  During this stage members start to cooperate with other co members. A bonding among the members is start to developed which result in understanding each other contribution and identity. The main advantage of this understanding is that conflicts and misunderstanding issues has been  resolved at faster rate.

8 0
3 years ago
Bernie is a participant in his employer's non-contributory ESOP. Two years ago, his employer contributed stock with a fair marke
vampirchik [111]

Answer:

taxable amount = $10,000

Explanation:

given data

2 year ago fair market value = $30,000

fair market value = $40,000

sold the stock =  $50,000

solution

we get here taxable amount  when ESOP sold

so taxable amount = Selling price - fair market value on distribution  date ...........1

put here value

taxable amount = $50000 - $40000

taxable amount = $10,000 long term capital gain

3 0
2 years ago
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