Answer: C. 10 years
Explanation: A long-term goal will take many years. An example is saving up enough money to buy a house. This will take many years to achieve the goal.
Answer: a. 2.90%
b. 2.81%
Explanation:
Nominal rate = 6%
Inflation rate = 3.1%
a. What is the approximate real rate of interest?
The approximate real rate of interest will be calculated as:
= Nominal rate - Inflation rate
= 6.0% - 3.1%
= 2.90%
b. What is the exact real rate?
Exact real rate will be calculated as:
= (nominal-inflation) / (1+inflation)
= (6.0% - 3.1%) / (1 + 3.1%)
= 2.9% / 1.031
= 2.81%
Answer:
B. $23,000
Explanation:
Recall that, assets are resources that an individual or an organization has which have future economic value that can be measured,
Thus,
Total current assets = Cash + account receivable + supplies + prepaid rents + inventories.
Therefore
Total current assets = 7000 + 6000 + 1000 + 4000 + 5000
= $23,000
Note: Land is not included in CURRENT asset. Land are longterm assets.
Answer:
C) $57,000
Explanation:
The gross domestic product is the total production of final and legal goods and services in an economy.
total production of final goods = (20 couches x $2,600 per couch) + (5 leather sets x $1,000 per set) = $52,000 + $5,000 = $57,000
the leather sets are considered final products since they are part of the ending inventory of Cowhide, Inc.
