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Margaret [11]
3 years ago
6

Live Forever Life Insurance Co. is selling a perpetuity contract that pays $1,500 monthly. The contract currently sells for $115

,000.
a. What is the monthly return on this investment vehicle?
b. What is the APR?
c. What is the effective annual return?
Business
1 answer:
vfiekz [6]3 years ago
5 0

Answer:

1.30%

15.60%

16.77%

Explanation:

The monthly return is the amount payable monthly divided  by the current price of the investment vehicle.

monthly return=$1500/$115,000=1.30%

Annual percentage return=monthly return*12=1.30% *12=15.60%

Effective annual return=(1+1.30%)^12-1

EAR=1.167651776 -1

EAR=16.77%

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Prior to labor unions, both the employer and employee had the legal right to terminate an employment
Kruka [31]

Before the times of the labor unions, both the employer and the employee reserved the right of employment at will, meaning either one could terminate the agreement at any time and for any reason.

The correct term for the situation proposed in the question is employment at will. The other options describe agreements that have arisen since the creation of the labor unions.

The first option, a closed shop, described an agreement made between the hiring party and the labor unions in which the hiring party agrees to <u>only hire members of the union</u>, while an open shop is just the opposite.

Collective bargaining, on the other hand, is the long process in which the workers of an institution work through their labor unions in order to <u>negotiate contracts </u><u>and the terms of </u><u>employment</u><u>, which include income and benefits. </u>

Therefore the only option that existed prior to the development of labor unions is employment at will, which allowed the termination of a contract at any time for any reason.

To learn more visit:

brainly.com/question/518131?referrer=searchResults

3 0
3 years ago
Abused children live in families of all socioeconomic levels, races, nationalities, and religious groups, although child abuse i
Digiron [165]

Answer:

The correct answer is lower-class nonwhite.

Explanation:

The lower class is the poorest population segment of human society. It is characterized by having great gaps in its way of life and limitations in terms of access to economic resources. They are usually unemployed people, who do not own their own home or other goods or properties that are essential for living.

To this socioeconomic class belong people with very low educational levels, barely with primary education and some with secondary education. Some casual or independent workers also enter this class. Lower class families do not have good basic services in their homes.

6 0
3 years ago
Due to limited production space, Computer Inc needs to adjust its sales mix. Current production is 500 flash drives (contributio
liubo4ka [24]

Answer:

Computer Inc should produce and sell 500 charging cords since their contribution margin is the highest, resulting in a gross profit of $8 per unit x 500 units = $4,000. And produce and sell 650 flash drives with a contribution margin of $7 per unit which results in a gross profit = $7 x 650 units = $4,550.

Explanation:

Companies must focus on producing and selling the products that generate them the largest profit.

3 0
3 years ago
Find the final amount in the following retirement​ account, in which the rate of return on the account and the regular contribut
ICE Princess25 [194]

Answer:

Total value of the investment= $57,320.73

Explanation:

<u>First, we need to calculate the future value of the first part of the investment. We will calculate the future value for the monthly deposit for five years and then the lump sum for another five years.</u>

FV= {A*[(1+i)^n-1]}/i

A= monthly deposit

i= 0.04/12= 0.003333

n= 5*12= 60 months

FV= {322*[(1.003333^60) - 1]} / 0.003333

FV= $21,348.05

<u>For the lump sum:</u>

FV= PV*(1+i)^n

n= 12*5= 60

i= 0.05/12= 0.004167

FV= 21,348.05*(1.004167^60)

FV= $27,397.75

<u>Now, the future value of the second part of the investment:</u>

<u></u>

n= 60

i= 0.0041667

A= 440

FV= {440*[(1.004167^60) - 1]} / 0.004167

FV= $29,922.98

Total value of the investment= 27,397.75 + 29,922.98

Total value of the investment= $57,320.73

3 0
3 years ago
Weaver Company's predetermined overhead rate is $21.00 per direct labor-hour and its direct labor wage rate is $15.00 per hour.
Misha Larkins [42]

Answer:

1. $590

2. $9.83

Explanation:

1.

Total Number of Direct Labor Hours:

= Total Labor Cost ÷ Labor Rate Per Hour

= 150 ÷ 15

= 10 Hours

Total Overheads:

= Total Number of Direct Labor Hours*Predetermined Overhead Rate

= 10 × 21

= 210

Total Manufacturing Cost = 230 + 150 + 210

                                           = $590

2.

Average Cost:

= Total Manufacturing Cost ÷ Number of Units

= 590 ÷ 60

= $9.83

3 0
3 years ago
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