1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
miskamm [114]
3 years ago
13

Your insurance agent is trying to sell you an annuity that costs $70,000 today. By buying this annuity, your agent promises that

you will receive payments of $380 per month for 25 years. What is the rate of return expressed as an APR on this investment
Business
1 answer:
Tatiana [17]3 years ago
5 0

Answer:

APR = 0.356%

Explanation:

PV = Present Value of the annuity = $70,000

PMT = Annuity payment at the end of each period = $380 per month

N = Number of periods = 25 years x 12 months = 300 Months

FV = Future Value of the annuity =  0

I =  APR or the interest rate = ?? We have to calculate this.

We shall use a financial calculator to compute the value of I.

https://www.calculator.net/finance-calculator.html?ctype=returnrate&ctargetamountv=0&cyearsv=300&cstartingprinciplev=-70000&cinterestratev=6&ccontributeamountv=380&ciadditionat1=end&printit=0&x=93&y=13

APR = 0.356%

You might be interested in
Part U16 is used by Mcvean Corporation to make one of its products. A total of 13,000 units of this part are produced and used e
ad-work [718]

Answer:

Financial disadvantage of 138,600

Explanation:

\left[\begin{array}{cccc}&produce&buy&Differential\\$Purchase&&-447,000&-447,000\\$Avoidable\: Cost&-283,400&0&283,400\\$Unavoidable\: Cost&-114,400&-114,400&0\\$Total Cost&-397,800&-561,400&-163,600\\$additional segment&0&25,000&25,000\\$Net  Effect&-397,800&-536,400&-138,600\\\end{array}\right]

The allocate cost and teh depreciation cost will be unavoidable, so should be considered as a cost for the purchase option

Also the inocme from teh additional segment is only considered for the purchase option

<u>The avoidable cost will be:</u>

Direct Materials

Direct Labors

Variable overhead

Supervisor

Thse cost are zero in the purchase escenario

4 0
3 years ago
Although transaction costs are reasonable, ASI has encountered financial problems with high production costs. Jonathan, a vetera
marshall27 [118]

Answer: B2B

Explanation:

Based on the information given, we can infer that the interaction of the employee with ASI is an example of B2B..

Business-to-business simply means a form of transaction that is done between businesses, such as between a manufacturer and the wholesaler. It doesn't take place between the producer and the consumer.

7 0
3 years ago
A negative externality is
Rus_ich [418]

Answer: The correct answer is "4. when a third party is injured by an economic activity".

Explanation: A negative externality is when a third party is injured by an economic activity.

Negative externality refers to all kinds of harmful effects on society, generated by production or consumption activities, which are not present in its costs. Negative externalities occur when the action taken in our activities as a company, individual or family causes harmful side effects to third parties. Such effects are not incorporated in all costs. Since the highlighted negative effects are not present in the price of production or of the profit when consuming.

3 0
3 years ago
if a farm has nfio of $100,000, and an opportunity cost total of $25,000, what is the farm's return to equity? (round to the nea
tiny-mole [99]

The return to equity is $75000

Another form of financial ratio is the return on equity. Financial ratios are data taken from a firm's financial statements and used to predict and draw specific conclusions about the organization.

Relative return on equity is a tool used to forecast a company's profitability. It evaluates how effectively people employed in any business have used the money that has been invested.

Since the farm has Nfio of $100,000 and an opportunity cost total of $25,000.

Therefore,

Return on equity -

Net Farm Income from Operations - Opportunity cost

= 1,00,000 - 25,000

= 75,000

Read more about a return to equity on:

brainly.com/question/28500740

#SPJ4

7 0
1 year ago
Will the business be legal and not against any existing or foreseeable government regulation
bagirrra123 [75]

Answer:

A business will only be legal and not against any existing or foreseeable government regulation if there are documents proving that the business is legally registered, with the type of business and other details fully disclosed by the promoters during the formation and documentation stages.

Explanation:

The main document for incorporating a company in the United States is the Articles of Incorporation.  The document specifies  the primary purpose of the business, its location ( and state of incorporation), and the shareholdings.

7 0
3 years ago
Other questions:
  • A Romer economy starts off with an initial stock of ideas equal to 100. The total population in the economy is 60, two of the wo
    14·1 answer
  • Jeff, the owner of the toy box (a toy store), has chosen his products carefully. they are all handmade of wood; none are cheap g
    9·1 answer
  • Once a company has prepared an adjusted trial balance it is ready to prepare financial statements. Which financial statement is
    8·1 answer
  • The presence of _____________________ in transactions involving goods can easily cause a ______________________ if the result is
    14·1 answer
  • On December 31, 2020, Blossom Inc. has a machine with a book value of $1,034,000. The original cost and related accumulated depr
    12·1 answer
  • The u. s. government's immigration act of 1990:
    13·1 answer
  • ABC company uses the equity method to account for its 40% interestt in voting stock of XYZ company. ABC paid $5,000,000 for inve
    10·1 answer
  • A style guide, such as an MLA manual, will assist you in:
    13·1 answer
  • After conducting a market research study, Ed Manufacturing decided to produce a new interior door to complement its exterior doo
    13·1 answer
  • darcy spends 5000 in bank account that does not earn any interest every week sha withdraws 10 percent of the money in the accoun
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!