Answer:
$49,709.34
Explanation:
Payments of fixed amount for a certain period of time is known as an Annuity.
Step 1 : We need to calculate the Net Present Value of the Annuity
<em>Using a financial calculator the following data will need to be captured.</em>
PMT = $4,200
P/Yr = 4
N = 4 x 4 = 12
I = 0.82 %
FV = $ 0
PV = ?
Therefore, the Net Present Value of the Annuity is $49,734.80
Step 2 : Then we calculate the Present Value (Value today of this Annuity)
Since you need to have $49,734.80 in 3 months.
Then, today you require :
FV = $49,734.80
I = 0.82 %
P/Yr = 4
N = 0.25
PMT = $0
PV = ?
therefore, today you require $49,709.34
Conclusion
We are discounting the payments in both stages by the rate of 0.83 % .Therefore, you need to have in your bank account $49,709.34 today to meet your expense needs over the next four years.
Answer:
Total PV= $522.92
Explanation:
Giving the following information:
First payment= $450 at the end of the 7th year
Second payment= $450 at the end of the 12 year
Interest rate= 6% compounded annually
<u>To calculate the present value, we need to use the following formula on each payment:</u>
PV= FV/(1+i)^n
Cf1= 450/1.06^7= 299.28
Cf2= 450/1.06^12= 223.64
Total PV= $522.92
Repayment Limitation Table for 2017
Household Income Percentage of Federal Poverty Line Limitation Amount for Single Limitation Amount for all other filing statuses
At least 200%, but less than 300% $750 $1,500
At least 300%, but less than 400% $1,275 $2,550
400% or more No limit No limit
Answer: The correct answer is "a. the bulk of the public debt is owned by U.S. citizens and institutions.".
Explanation: To say that "the U.S. public debt is mostly held internally" is to say that:<u> the bulk of the public debt is owned by U.S. citizens and institutions.</u>
Answer:
Hand saw is cheaper.
Explanation:
Given:
Material cost = $500
Electric saw cost rent per hour = $20
Building hour from electric saw = 6 hour
Building hour from hand saw = 15 hour
Time off pay from job = $8/hour
Computation of total cost from Electric saw :
Total cost from Electric saw = Material cost + Renting cost of electric saw + Time of from job
Total cost from Electric saw = $500 + (6 × $20) + (6 × $8)
Total cost from Electric saw = $500 + $120 + $48
Total cost from Electric saw = $668
Computation of total cost from hand saw :
Total cost from hand saw = Material cost + Time of from job
Total cost from hand saw = $500 + (15 × $8)
Total cost from hand saw = $500 + $120
Total cost from hand saw = $620
Hand saw is cheaper.
