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muminat
3 years ago
8

Warren, Inc. purchased a $400,000 life insurance policy on the company president on January 1, 2017. The premium that was paid o

n January 1 amounted to $11,600. In the first year, cash surrender value increased by $900 and dividends received by Warren from the insurance company for the year amounted to $300. What was Warren’s insurance expense for 2017?
Business
1 answer:
stealth61 [152]3 years ago
4 0

Answer: $10,400

Explanation:

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A portfolio has an expected return of 12.3 percent. This portfolio contains two stocks and one risk-free security. The expected
geniusboy [140]

Answer:

Investment in stock X is worth $21,387.60

Explanation:

Expected Return of the protfolio is calculated:

Stock.X.return*invest.x + Stock.Y.return*invest.Y + Risk.free*invest.RF

Where:

  • Stock X return = 9.7%
  • Stock Y Return = 17.7%
  • Risk free = 3.8% (investment in Risk free = 18,000/78,000 = 23.08%)
  • Investment in X+Y = 1 - Invetment in RF = 1 - 0.2308 = 0.7692

So, replacing the numbers

0.097*x + 0.177*Y + 0.038*0.2308 = 0.123

Where X+Y = 0.7692, so X = 0.7692-Y

0.097*(0.7692-Y) + 0.177*Y = 0.123 - 0.0088

Then

0.0746 - 0.097*Y + 0.177*Y = 0.1142

0.08*Y = 0.0396

So Y = 0.0396/0.08 = 0.495 = 49.5%

X = 0.7692 - 0.495 = 0.2742 = 27.42%

27.42% * 78000 =

3 0
3 years ago
Suppose the government increases taxes by ​$11110 billion and the marginal propensity to consume is 0.990. By how will equilibri
Helen [10]

Answer:

- $1,099,890 billion.

Explanation:

Marginal propensity to consume (MPC) = 0.990

Tax multiplier = - MPC ÷ (1 - MPC)

= - 0.990 ÷ (1 - 0.990)

= - 9 9

change in GDP = Change in taxes × Tax multiplier

                         = $11110 × (-99)

                         = - $1,099,890

the minus sign shows a decrease

Hence, the change in equilibrium GDP is - $1,099,890 billion.

5 0
3 years ago
​O'Mally Department Stores is considering two possible expansion plans. One proposal involves opening 5 stores in Indiana at the
Tatiana [17]

Answer:

3.63yrs

Explanation:

CExplanation: C) Investment / Annual cash flows$2,900,000 / 800,000 = 3.63 yrs

4 0
3 years ago
. What will happen in the market for shotgun-shell ammunition now if buyers expect higher shotgun-shell prices in the near futur
Temka [501]

Answer:

A.

Explanation:

The demand for some of products have a relationship, where the quantity demanded for one product depends somehow on the prices of both.

If two goods are substitutes, an increase in the price of one increases the demand of the other.

The demand for brand A depends on its price and also in the price of its main competitor.

In this case, shotgun-shell  and shotgun-shell ammunition are substitutes.

6 0
3 years ago
Orion Steel is the chief provider of metals to Accline Cars, which manufactures twomodels of vehicles-cars and large buses. Accl
lesya [120]

Answer:

E. a conflict between Accline Cars and its dealers.

Explanation:

As for the information provided,

We know a vertical conflict refers to a kind of conflict between two different people in the same channel of sales, in which they are not on the same level.

The conflict between Accline cars and its dealers is a conflict in the same chain, in between two different people, and at two different positions.

This clearly demonstrates that the conflict is in between the supplier and the dealer, within the same chain representing a vertical chain.

6 0
3 years ago
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