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8090 [49]
3 years ago
11

How much would $1, growing at 3.5% per year, be worth after 75 years? a. $12.54b. $13.20c. $13.86d. $14.55e. $15.28

Business
2 answers:
rosijanka [135]3 years ago
7 0

Answer:

The correct answer is letter "B": $13.20.

Explanation:

The time value of money is a concept that states that a dollar today is always worth more than a dollar tomorrow based on the interest that can be accrued. In that sense, the sooner the money is received, the better since there will be more time for the interest to grow. The future value of money is calculated with the following formula:

FV=PV x [1+ i/n]^((n x t))

Where:

  • <em>FV = Future value of money </em>
  • <em>PV = Present value of money </em>
  • <em>i = interest rate </em>
  • <em>n = number of compounding periods per year </em>
  • <em>t = number of years </em>

In the example:

FV = ?

PV = $1

i = 3,5%

n = 1

t = 75

Thus,

FV= $1 x [1+ (3,5%)/1]^((1 x 75))

FV= $1 x [1+ (35/10  x 1/100)/1]^((75))

FV= $1 x [1+ (35/1000)/(1/1)]^((75))

FV= $1 x [1+ 35/1000]^((75))

FV= $13,1985 ≅$13,20

Download pdf
mixer [17]3 years ago
4 0

Answer:

14.55

Explanation:

i think this is right and I hope that it helps:)

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Which of these pavement markings separates two lanes traveling in the same direction?
kiruha [24]

The pavement markings that separate two lanes traveling in the same direction is A broken white line

<h3>What is a Pavement Marking?</h3>

This refers to the mark or sign that is on the road to show a particular function for motorists and pedestrians.

Hence, we can see that in the case of two lanes that travel in the same direction, the pavement marking that is used to clearly show this is called a broken white line.

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7 0
2 years ago
Ralph Watkins owns a large home on a two-acre lot in Tempe, Arizona. Watkins has much of the lot covered with tiff grass and is
kakasveta [241]

Answer:

(C) Brown could seek an injunction against Watkins, on the basis of nuisance

Explanation:

The bugs and pests from Watkins grass clipping pile are a menace to his neighbour Brown.

Brown has tried extermination but the source of the problem, which is still there, makes his efforts futile.

Brown now has the right to seek an injunction - a court order controlling or restricting a person's behaviour - against Watkins on the basis of nuisance.

Watkins should comply

5 0
3 years ago
Marx Company has a current production capacity level of 200,000 units per month. At this level of production, variable costs are
Misha Larkins [42]

Answer:

Effect on income= 7,500 increase

Explanation:

Giving the following information:

Variable costs are $0.50 per unit.

Current monthly sales are 183,000 units.

Heaven Company has contacted Marx Company about purchasing 15,000 units at $1.00 each.

Because it is a special offer and there is unused capacity, we will not take into account the fixed costs.

Sales= 15,000*1= 15,000

Variable cost= 15,000*0.5= (7,500)

Effect on income= 7,500 increase

5 0
3 years ago
Read 2 more answers
A perfectly competitive industry consists of many identical firms, each with a long-run average total cost of LATC = 800 – 10Q
Karolina [17]

Answer:

50

Explanation:

According to the question, The computation of the quantity produce is shown below:

Here we use the differentiation LRAC to zero

\frac{\partial LRATC}{\partial Q}=-10+0.2Q=0\\\\ 0.2Q=10\\\\ Q=50

From above calculation it can be concluded that the each firm would be produced the quantity of long run equilibrium for 50

Hence, the first option is correct

5 0
3 years ago
Mr. C made the following gifts: $12,000 to a university to pay tuition costs for his niece. An undeveloped tract of land to his
Nonamiya [84]

Answer:

$10,000

Explanation:

Gifts are only taxed when their fair market value is higher than $15,000. Any gifts made to your spouse are not taxable. Gift taxes are calculated on a  per person base, as long as they do not exceed the lifetime exemption (which is $11.58 million).

The tuition costs of her niece are not taxable since they are less than $12,000. The stocks given to his wife are not taxable either. The only taxable gift is the land given to his sister which had a FMV of $25,000. The taxable amount = $25,000 - $15,000 = $10,000

5 0
3 years ago
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