Answer:
Initial investment= $12,055.22
Explanation:
Giving the following information:
Future Value (FV)= $16,860
Number of periods (n)= 6 years
Interest rate (i)= 5.75% = 0.0575
<u>To calculate the initial investment (PV), we need to use the following formula:</u>
<u></u>
PV= FV / (1 + i)^n
PV= 16,860 / (1.0575^6)
PV= $12,055.22
Answer:
A. an overstatement of net income and an understatement of liabilities.
Explanation:
Answer:
No, their economic cost of enrolling in the business program is not the same for both,
Explanation:
The explicit costs of going back to college are the same for Walter and Jesse, e.g. they might be $20,000 per year, or even $30,000 doesn't matter for this analysis. But Walter is currently working as a teacher and that means taht if he decides to go to college, his implicit costs will include the forgone salary as a teacher which is $50,000 per year. Implicit costs are opportunity costs, i.e. additional costs or benefits lost from choosing one activity or investment instead of another alternative.
Since Jesse is not working, whether she goes back to college or not will not affect her income, it will still be $0, but if Walter goes back to college he will lose his salary.
Answer:
The correct answer is letter "B": cash budget.
Explanation:
General-purpose financial statements are those reports that can be issued during a period to provide investors and managers relevant information to make decisions on the company's operations. Those reports are the <em>balance sheet, income statement, owner's equity statement, retained earnings, </em>and <em>the cash flow statement.
</em>
As its name says, <em>the cash budget is an estimate of the inflows and outflows of a company for a given period. This budget is not a financial statement.</em>