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IgorLugansk [536]
4 years ago
9

Suppose, you sold an apartment house by accepting $1,000,000 down and monthly payments of $15,000 per month for 10 years. You pl

ace the entire down payment and all payments as they are received into a money market account earning 5 percent compounded monthly. What is the amount you will have accumulated in the money market account when the mortgage is paid of
Business
1 answer:
Nadya [2.5K]4 years ago
3 0

Answer:

The present value is $3,991,855.88

Explanation:

The interest given can be converted into effective annual rate using the below formula:

EAR = [(1 +stated rate/no. of compounding periods) ^no. of compounding periods - 1]* 100

EAR=(1+5%/12)^12-1*100

       =5.12%

FV of downpayment=PV*(1+r)^N

                                  =$1000000*(1+5.12%)^10

                                   =$ 1,647,606.60  

Future of an ordinary annuity=A((1+r)^N-1/r

                                                =$15000*((1+5.12%/120)^10*12-1))/5.12%/120

                                                =$2,344,249.28

Total present values=2344249.28+1,647,606.60  

                                  =$3,991,855.88

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The _____ is the product of the percent complete and the sum of the estimated costs of all the specific activities that make up
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The answer is the total budget cost. It is the one responsible of the expense that the company needs and the estimated expense that they had used that may be of use as their basis and for the their future  period.


7 0
3 years ago
The competitive moves and business approaches a company’s management uses to grow the business, stake out a market position, att
Ksivusya [100]

Answer:

Strategy.

Explanation:

The competitive moves and business approaches a company’s management uses to grow the business, stake out a market position, attract and please customers, compete successfully, conduct operations, and achieve organizational objectives are referred to as strategy.

In Business management, a strategy can be defined as a set of guiding principles, actions and decisions that an organization combines so as to achieve its business goals, attract customers and possess a competitive advantage over its rivals in the industry.

An organization's strategy sets the overall direction for its business; it focuses on defining how a business would achieve its goals, objectives, and mission; as well as the funds and material resources required to implement or execute the business plan.

Basically, for an organization to formulate strategies that are in tandem with its mission, the organization will need to assess internal weaknesses and strengths, know its core competencies, analyze its rivals (competitors) and examine the external environment.

5 0
3 years ago
You are faced with the following alternative choices on Saturday afternoon. You can only do one of these activities. None of the
garri49 [273]

Answer:

Missing out on the benefits I get from working out using exercise equipment in my garage.

Explanation:

When an option is chosen from alternatives, the opportunity cost is the "cost" incurred by not enjoying the benefit associated with the best alternative choice. The New Oxford American Dictionary defines it as "the loss of potential gain from other alternatives when one alternative is chosen." Since Choice B is the next best choice to hiking, missing out on the benefits of working out will be my opportunity cost.

3 0
3 years ago
Consider the closed (no exports or imports) Latverian economy in which the consumption function is C = 300 + 0.75DI (where DI =
777dan777 [17]

Answer:

0.66

Explanation:

Marginal propensity to consume is the proportion of disposable income that is spent on consumption

Marginal propensity to consume = change in consumption / change in income = C / Y

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In a closed economy, GDP = Consumption + Investment spending + Government Spending

Y = 300 + 0.75(Y - $1,200) + $900 + $1,300

Y = 300 + 0.75Y - $900 + $900 + $1,300

Collect like terms

Y - 0.75Y = $1600

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Y = $6400

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300 + 0.75($6400 - $1,200)

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C = $4200

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4 0
4 years ago
Helen Heartwell flew to New York City a few weeks after the September 11, 2001, bombing of the World Trade Center. She wanted to
Ymorist [56]

Answer:

<u>Phenomenological</u>

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Helen Heartwell flew to New York City a few weeks after the  September 11 , 2001, bombing of the World Trade Center . She wanted to know how the victims of the attack were making sense of what had happened to them . Dr. Heartwell is probably employing<em><u> Phenomenological</u></em> qualitative research design.

Phenomenological is the study in which we can study about the phenomena of the human as they experienced in real pr may they lived that.

There are two main approach of Phenomenological they are descriptive and interpretive . In recent time , Phenomenological is used widely in any field. It considered the important aspect which a person experienced or lived , but not interested in the explanation .

6 0
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