Answer:
Equal annual contributions to the college savings account over the next 18 years is : $4,745.6
Explanation:
Suppose the time the child was born is the Beginning of Year 0 (Y0). So, 18 equal contributions need to be made at the beginning of each year from Y0 to Year 17. Denote these cash flow as Annuity 1 which equal: ( C/ 2%) x ( 1.02^18 -1) = 21.4123 x C with C is the equal annual contribution
The tuition fee starting from the beginning of Year 18 end at the Beginning of Year 21 is a growing annuity at 2.5% growth rate. The Value of this annuity ( Annuity 2) discounted to the Beginning of Year 17 calculated as followed:
(28,000 / (2% - 2.5% ) x ( 1 - [( 1+2.5%)/(1+2%)]^4 ) = $110,614
To save enough for college fee, The future value of Annuity 2 must equal the present value of Annuity 2 calculated above.
Thus, we have: 21.4123 x C = 110,614 <=> C = $4,745.6
Answer:
$2,338
Explanation:
For computing the ending inventory, first we have to determine the average cost per unit, then ending inventory units which are shown below:
= (Beginning inventory units × price per unit + first purchase inventory units × price per unit + second purchase inventory units × price per unit + third purchase inventory units × price per unit) ÷ (Beginning inventory units + one purchase inventory units + second purchase inventory units + third purchase inventory units)
= (11 units × $51 + 15 units × $53 + 21 units × $55 + 17 units × $57) ÷ (11 units + 15 units + 21 units + 17 units)
= ($561 + $795 + $1,155 + $969 ) ÷ (64 units)
= ($3,480) ÷ (64 units)
= $54.375 per unit
Now the ending inventory units would be
= Available units for sale - sale units
= 64 units - 21 units
= 43 units
Now the ending inventory would be
= Ending inventory units × average cost per unit
= 43 units × $54.375 per unit
= $2,338
there really isntt an answer
Answer:
False. This is because 1 is an odd number and that it is too low in value.
Answer:
Asset allocation.
Explanation:
A basic decision that every investor must make is how to distribute his or her investable founds amongst the various asset classes available in the marketplace.
-Stocks
-Fixed income
-Cash equivalents
-Alternative assets
-Real estate
The strategic allocation is the proportion of wealth the investor decides to place in each of these asset classes. It is something also referred to as the investor´s long term normal allocation because it is presumed to be the baseline allocation that will remain in place until the investor´s life circumstances change appreciably.
