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jeka94
3 years ago
13

Pete Morton is planning to go to graduate school in a program of study that will take three years. Pete wants to have $8,000 ava

ilable each year for various school and living expenses. If he earns 4 percent on his money, how much must he deposit at the start of his studies to be able to withdraw $8,000 a year for three years
Business
1 answer:
pochemuha3 years ago
4 0

Answer: $22,200.72

Explanation:

Given the following :

Amount Pete Morton wants to be able to withdraw each period = $8000

Number of periods = 3

Interest rate on deposit = 4%

The amount Pete must deposit at the beginning of his study to be eligible is the product of the payment per period and the present value of annuity factor.

From the present value of annuity factor table ; the factor obtained for a 3 years period at 4 % Interest rate is 2.77509

Hence,

$8000 × 2.77509 = $22,200.72

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Answer: 18.43%

Explanation:

Based on the information given, the cash flow on total assets ratio will be calculated as:

= (net cash flows from operations / average total asset) × 100

= ($341,000 / $1850000) × 100

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Therefore, the answer to the question is 18.43%

8 0
3 years ago
A concentration ratio indicates the:
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Answer:

The correct answer is letter "A": number of firms in an industry.

Explanation:

A concentration ratio measures the number of competitors within the same industry. The lowest concentration ratio of a firm, it represents there are more market rivals. The highest the concentration ratio, the lower the number of competitors of the firm. The ratio is expressed in percentage terms. A firm having a 100% concentration ratio is a monopoly.

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3 years ago
Manten is a popular brand of hiking boots. Its advertisements emphasize the experience of conquering unfamiliar terrain in the w
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Answer: Transformational advertising  

Explanation:

From the given case/scenario, we can state that this approach is an example of Transformational advertising. Transformational advertisement is referred to as or known as advertising which tends to associate experience of consuming advertised brand in association with unique parts of the psychological characteristics that are not typically associated with brand or the experience.

3 0
3 years ago
An audit plan of substantive procedures for cash would not includeA. request a cutoff bank statement be mailed to the client. B.
faltersainse [42]

Answer:

The correct answer is option A.

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Substantive is a type of auditing procedure. It involves the process of examining financial statements and other related documents to  check for error.

These tests are conducted to ensure that the financial records are complete and correct.

These procedures are conducted by an auditor and include examining journal entering, testing account balances and transactions.

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5 0
3 years ago
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Explanation:

The organizational structure and culture are essential for the design of a strategic plan aligned with the organization's purpose.

What happens is that the structure and culture of an organization constitute its identity, its way of organizing itself and creating an environment designed to obtain the objectives and goals stipulated by strategic planning. So it can be said that there is no way to develop a strategic plan without considering the structure or culture, because it is through these two variables that action plans are developed and modeled according to what the company is, and what it plans to be in the future. All organizational systems must be foreseen in the planning and be developed with the same degree of importance, because together they form the organizational whole that will lead a company to be well positioned in the market, achieve continuous improvement in its processes, achieve competitive advantage in the market, etc.

7 0
3 years ago
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