Answer:
The correct answer for future value if first payment occur today is $449,645.24 and if first payment occur at the end of year is $408,761.13.
Explanation:
According to the scenario, the given data are as follows:
Payment (pmt) = $7,990
Rate of interest (r) = 10%
Time (n) = 19 years
So, we can calculate the future value by using following formula:
Future Value ( if payment occurs today) :
FV = Pmt (((1+r)^n - 1) ÷ r) x (1+r)
By putting the value:
= $7,990 ((( 1+ 0.10)^19 -1) ÷ .10) × ( 1 + 0.10)
= $7,990 ( 51.16) × ( 1.10)
= $449,645.24
Future Value ( if payment occurs at the end of year):
FV = Pmt x ((1+r)^n -1)) ÷ r)
= $7,990 ((1 + 0.10)^19 -1) ÷ 0.10)
= $7,990 × 51.16
= $408,761.13
The correct answer is product development.
In the product development stage the company will work on things like the positioning and marketing of the new board game. Their goal is to create a need for the game and make people want to buy it.
Answer:
1-a.
in order to determine the present value of option a we can look for the PVIFA (annuity factor) for 24% / 12 = 2% monthly rate and 25 payments.
PVIFA = 19.523
Present value of the 25 payments = $540 x 19.523 = $10,542.42
+
Present value of final payment = $10,000 / (1 + 24%)²⁵/¹² = $6,388.10
PV = $16,930.52
Present value of option b = $16,638
1-b.
- b. option b (lower present value)
Answer:
(b) After-closing balance in the Retained Earnings account on December 31, Year 1,
Total Stockholder's equity = Total assets - Total liabilities
= $220,000 - $66,000
= $154,000
After-closing balance of Retained Earnings = Total Stockholder's equity - Common stock
= $154,000 - $110,000
= $44,000
(a) Before-closing balance in the Retained Earnings account on December 31, Year 1.
Net Income = Revenue - Expenses
= $40,000 - $23,000
= $17,000
Before-closing balance of Retained Earnings:
= After-closing balance of Retained Earnings + Dividend paid - Net Income
= $44,000 + $3,200 - $17,000
= $30,200
(c) Before-closing balances in the following accounts:
Revenue = $40,000
Expenses = $23,000
Dividend = $3,200
(d) After-closing balances in the following accounts:
Revenue = $0
Expenses = $0
Dividend = $0
Because revenue and expenses are transferred to income statement and dividend are transferred to retained earnings.
Answer:
The best answer is C.
Explanation:
Regulation T initial margin to short stock is 50% of $3,000 = $1,500. However, since this is a new account, it must meet the minimum initial margin of $2,000 needed to open an account. Therefore, $2,000 must be deposited.
