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Romashka-Z-Leto [24]
3 years ago
5

You just won the grand prize in a national writing contest! As your prize, you will receive $500 a month for 50 months. If you c

an earn 7 percent on your money, what is this prize worth to you today? A. $20,333.33 B. $21,629.93 C. $21,338.40 D. $18,411.06 E. $19,450.25
Business
1 answer:
nadya68 [22]3 years ago
5 0

Answer:

The correct answer is B.

Explanation:

Giving the following information:

Cash flow= $500

Number of months= 50

Monthly interest rate= 0.07/12= 0.00583

First, we need to calculate the future value using the following formula:

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

A= cash flow

FV= {500*[(1.00583^50) - 1]} / 0.00583

FV= $28,928.06

Now, the present value:

PV= FV/(1+i)^n

PV= 28,928.06/(1.00583^50)

PV= $21,631.67

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The following account balances appear in the 2021 adjusted trial balance of Blue Devils Corporation:
muminat

Answer and Explanation:

The preparation of the classified balance sheet is presented below:

                                        Blue Devils Corporation

                                                Balance Sheet

                                                    Dec 31, 2021

Assets Amount ($) Liabilities and shareholder equity Amount ($)

Current assets:                   Current liabilities  

cash $3,800                          Accounts payable                $24,800

Accounts receivable $7,800   Salaries payable                 $14,800

Supplies     $17,800

Total current assets $29,400   Total current liabilities        $39,600  

Long-term assets                     Stockholders equity  

Equipment   $108,000            Common stock               $48,000

Accumulated depreciation -39,000  Retained earnings        $10,800

Total assets $98,400     Total liabilities and stockholders equity $98,400

We find the retained earning balance by applying the accounting equation which is shown below:

Assets   = Liabilities + common stock + retained earnings

$98,400 = $39,600 + $48,000  + retained earning

So, the retained earning is $10,800

6 0
3 years ago
Blossom Company purchased a new machine on October 1, 2017, at a cost of $66,000. The company estimated that the machine has a s
Ugo [173]

Answer:

Results are below.

Explanation:

Giving the following information:

Purchase price= $66,000

Salvage value= $5,700

Useful life= 6

F<u>irst, we need to calculate the annual depreciation using the following formula:</u>

<u></u>

Annual depreciation= (original cost - salvage value)/estimated life (years)

Annual depreciation= (66,000 - 5,700) / 6= 10,050

<u>2017:</u>

Annual depreciation= (10,050/12)*3= $2,512.5

<u>2018:</u>

Annual depreciation= $10,050

8 0
3 years ago
How do you know you need to become a better test taker? A. You always get nervous before a test., B. You usually do better on ce
Tamiku [17]

Answer:

PREPARING FOR THE TEST. The key to confidence in anything is preparation, and tests are no different. ...

KNOW HOW YOU LEARN. ...

MAKE A PLAN. ...

FIND A BUDDY. ...

REVIEW MATERIAL. ...

REST & EAT. ...

HANDLING ANXIETY. ...

TAKING THE TEST.

Explanation:

7 0
2 years ago
Brainliest help mee please get this correct
denis23 [38]

Answer:

it should  be c

Explanation:

8 0
3 years ago
Custom Computers, Inc. assembles custom home computer systems. The heat sinks needed are bought for $14 each and are ordered in
belka [17]

Answer:

EOQ = 609.91 units

Average inventory= 600 units

Number of orders = 5.2 times

Annual inventory holding cost =$1,200

Annual ordering cost = $312

Total cost = $88,312

Explanation:

EOQ =√ (2× Co× D)/Ch

EOQ= ? , Co-60, Ch- 2, D- 6200

EOQ = √(2× 60× 6200/2)

EOQ = 609.9180273

Average inventory =  minimum level +EOQ/2

= 1200 /2 = 600 units

Number of orders = Annual demand/ order quantity

                     = 6,200/1200 =  5.166

Number of orders = 5.2 times

Annual inventory holding cost = Average inventory × holding cost per unit

        =600 × $2 =$1,200

Annual ordering cost = No of orders × ordering cost per order

                        = 5.2 times × 2 =$312

Annual inventory cost = Purchase cost + Ordering cost + Holding cost

Purchase cost=Annual demand× unit price 14× 6200= 86,800

Total cost = 86,800  + $1,200+ $312

                =88312

8 0
3 years ago
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