Answer:
IRR 6% for Jabob
His friend will need 12 years saving cash to obtain their collegue funds.
Explanation:
We will solve for the rate being the annuity of 3 payment of 800
and the present value 2,138.41
C 800
time 3
PV 2,138.41
rate ?
To solve we can use excel, a financial calculator or trial and error
For excel we will do the following:
write the list of cash through the loan life:
-2,138.41
+800
+800
+800
then we write in the empy cell
=IRR(
select the values and press enter
This will give the IRR which is 6%
For the second assignment:
we need to solve for time:
C 3,800
time n
rate 0.06
PV $31,897
We work out the formula:
Now we solve the right side and apply logarithmic properties
-n = -11.77128325
n = 11.77
It will take 12 years to obtain their target amount
Answer:
W = $27.34
Explanation:
Given data:
Percentage Decline in average income is = 2%
CPI in 1990 1.30
CPI in 2000 is 1.69
Average nominal wage is 2000 is $35
Inflation rate is given as
Inflation rate = % Change in CPI
= (1.69 / 1.3) - 1
= 1.3 - 1 = 0.3 = 30%
Real wage = Nominal wage / Price level, hence
Percentage change in real wage = % Change in (nominal wage - inflation rate)
-2% = % Change in nominal wage - 30%
% Change in nominal wage = 28%
let nominal wage in 1990 is w
W\times 1.28% = $35
solving for W = $27.34
Answer:
ending work in process and the cost of units transferred out.
Explanation:
In a cost reconciliation schedule, costs accounted for is computed by adding the cost of the ending work in process and the cost of units transferred out.
The cost reconciliation schedule gives the relationship between total costs accounted for and total costs to be accounted for.
When the total costs accounted for equal the total costs to be accounted for, this is a cost reconciliation schedule.
Streching, first by raising your arms to while bressthing, and centering yourself to start your yoga moves
Answer:
The amount of gain that Red Blossom recognize in the exchange is $322500 and its basis in the land it receives is $635000.
Explanation:
Red Blossom recognize the gain
= Fair market value of land – corporation basis
= $635000 - $312500
= $322500
Basis of Land = Fair market value
= $635000
$322500 gain recognized and a basis in the land of $635000
Therefore, The amount of gain that Red Blossom recognize in the exchange is $322500 and its basis in the land it receives is $635000.
