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In-s [12.5K]
3 years ago
5

A perpetuity has a PV of $34,000. If the interest rate is 6%, how much will the perpetuity pay every year

Business
1 answer:
Svetradugi [14.3K]3 years ago
6 0

Answer:

The perpetuity pays $2,040 every year.

Explanation:

The formula to find the present value of a perpetuity is

present value = cash flow/interest rate

In this question we are given the interest rate and present value and we need to find the cash flow, so we will just input these values in the formula.

Present value = 34,000

Interest rate =6%

34,000=Cash flow/0.06

34,000*0.06= cash flow

Cash flow =2,040

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djverab [1.8K]

Explanation:

An organization to be successful in the long term and competitive in the market, needs financial capital to carry out its activities, for this they open the company's capital to investors, who are the capital holders willing to inject capital into the company and receive dividends business, thus becoming a partner of that company.

It is essential that companies attract investors willing to inject a large amount into the business, as this benefits both, since a company with larger amounts of assets will produce more, have its obligations up to date and remain better positioned in the market.

To attract investors to a company, it is necessary that the company has a good reputation in the market and there is a favorable negotiation process, where there is a demonstration of results and the opportunity that the investor will have to invest his money in an organization that will generate profits.

6 0
2 years ago
""The question remains: How many guns are necessary to maintain a high level of security for the U.S., and how much butter can t
jenyasd209 [6]

Answer:

social welfare spending (education, hospitals, housing, schools, etc.).

Explanation:

This quote deals with the problem of the ever increasing cost of national defense versus the welfare of the citizens. The US spends more money on national defense than any other country in the world, around 37% of the total military budget of the world. It also represents 15% of the total federal budget and almost half of all discretionary spending.

That is a lot of money to be distributed among a small number of private firms. Usually Republicans tend to favor a large army, but Democrats never lower their budget either. The largest military contractors are Lockheed Martin, Boeing and Raytheon. They are all located in blue states, actually Maryland currently has a Republican governor but both their senators are democrats as well as most of the representatives. Boeing has its headquarters in Washington State and Raytheon in Massachusetts. These aren't blue states, they are indigo states.

But as the military budget increases and the power of military contractors also increases, who will dare to stop them. Military spending is much higher than welfare spending, even if you throw in Medicaid into the equation ($1.6 trillion vs $1 trillion).

The question really is, are guns more important than the well being of our citizens? I guess it depends who you ask.

3 0
3 years ago
Statement
RoseWind [281]
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7 0
3 years ago
If the number of people classified as unemployed is 50,000 and the number of people classified as employed is 250,000, what is t
Liula [17]
Based on the given values above, it is said that there are 50,000 people who are unemployed and 250,000 are employed. This means that the total number of people basing on these numbers is 300,000. So we just have to divide 50,000 by 300,000 and we get 0.17. Therefore, the unemployment rate is 17%. Hope this helps.
5 0
3 years ago
Read 2 more answers
The expected value of each course of action in a decision tree is determined by starting at the beginning of the tree (the left-
zvonat [6]

Answer:

False

Explanation:

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5 0
3 years ago
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