1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
just olya [345]
3 years ago
6

How much money would you have to invest today, at an interest rate of 5% in order to reach your goal of $1,000,000 in 30 years?

Assume no additional money is invested.
Business
1 answer:
kykrilka [37]3 years ago
6 0
1.000.000 = X+(1+0.05x30)

If you invest $ 231.500 for 30 years with an yearly interest rate of 5% and you don't contribute extra money to the investment over this 30 yrs period you will have at the end $ 1.000.000 officially becoming a millionaire!
You might be interested in
Need asap solve the variable please
Mariulka [41]
X=-3.5 is the answer if you are allowed to have negatives as your answer
5 0
2 years ago
Read 2 more answers
Company X wants to borrow $10,000,000 floating for 5 years. Company Y wants to borrow $10,000,000 fixed for 5 years. Their exter
CaHeK987 [17]

Answer:

The answer is:

10% fixed rate = Company X's external borrowing (rate);

11.8% fixed rate = Company Y's payment to X (rate);

LIBOR + 1.5% = Company X's payment to Y (rate);

LIBOR + 1.5% = Company Y's external borrowing rate.

Explanation:

First, X will borrow at 10% fixed and Y will borrow at LIBOR + 1.5% floating; both at notational principal of $10 million.

Then; they will enter into a interest swap where:

- X will pay to the swap the interest rate of Libor +1.5% and receive from the swap the fixed interest rate of 11.8%. Thus, X interest income and interest expenses will be: Borrowed at fixed 10% and payment at Libor+1.5% to the swap; Receipt of 11.8% from the Swap=> Net effect: X borrowed at LIBOR - 0.3% ( saving of 0.3%).

- Y will pay to the swap the fixed interest rate 11.8% and receive from the swap LIBOR +1.5%. Thus, Y interest income and interest expenses will be: Borrowed at LIBOR +1.5 and payment 11.8% fixed to the swap; Receipt of Libor + 1.5% from Bthe Swap=> Net effect: Y borrowed at 11.8% fixed ( saving of 0.2%).

4 0
3 years ago
In a catalog a coat was on sale for $65.55 this week. It regularly sells for $77.77. If the sales tax is 6% and shipping is belo
bazaltina [42]

Answer:

$14.96

Explanation:

Shipping and handling charges are attached.

Given: Discounted price= $65.55.

           Regular sales price= $77.77

           Sales tax= 6%.

Now, find the cost of coat after tax.

Cost of coat= 77.77+(77.77\times 6\%)

⇒ Cost of coat= 77.77+ 4.66= \$ 82.43

Adding shipping charges to the cost= 82.43+8.95= \$91.39

Hence, cost of coat after tax and shipping charges= $91.39.

Next finding total cost of coat if sold at discount after tax.

Cost of coat at discounted price after tax= 65.55+(65.55\times 6\%)

⇒ Cost of coat at discounted price after tax= 65.55+ 3.93

⇒ Cost of coat at discounted price after tax= \$ 69.48

Adding shipping charges to the cost of coat= 69.48+6.95=\$ 76.43

Hence, cost of coat at discounted price after tax and shipping charges= $76.43.

Finding saving amount by ordering coat at the sale price or discounted price.

∴ Saving = Total\ cost\ of\ coat\ at\ regular\ price - Total\ cost\ of\ coat\ at\ discounted\ price

Saving= 91.39-76.43= \$ 14.96

Hene, Total saving by ordering coat at the sale price is $14.96

7 0
3 years ago
Financial data for Joel de Paris, Inc., for last year follow: Joel de Paris, Inc. Balance Sheet Beginning Balance Ending Balance
kondor19780726 [428]

Explanation:

The  computation is shown below:

1. Average operating assets is

= (Opening operating assets + closing operating assets) ÷ 2

where,

Opening operating assets is

= Total assets -  Land (undeveloped) - Investment in Buisson, S.A

=$2,020,000 - $180,000 - $250,000

= $1,590,000

And, the closing operating assets is

= Total assets -  Land (undeveloped) - Investment in Buisson, S.A

= $2,100,000 - $170,000 - $280,000

= $1,650,000

So, average operating assets is

= ($1,590,000 + $1,650,000) ÷ 2

= $1,620,000

2.

Margin = Net operating income ÷ Sales

= $405,000 ÷ $4,050,000

= 0.1 or 10%

Turnover is

= Sales ÷ Average operating assets

= $4,050,000 ÷ $1,620,000

= 2.5

Return on Investment = Margin ×Turnover

= 0.1 × 2.5

= 0.25 or 25%

3.  Residual Income = Net operating Income - (Average operating assets × Minimum required rate of return)

= $405,000 - ($1,620,000 × 15%)

= $405,000 - $243000

= $162,000

3 0
3 years ago
Lorraine belongs to a national consumer panel created by a market research company. She regularly receives samples of new produc
kherson [118]

Answer:

A. premarket testing.

Explanation:

The pre market testing is when people from a certain business send products to people that are the target of that product to see if they would use it, continue to use it and how much would they be willing to pay for that product, this is done prior to the launch of the product, in order to get to know better the consumer and how they can improve their product, also to see if it is viable to start mass production and launch it into the market, so what Lorraine is doing is premarket testing.

5 0
3 years ago
Other questions:
  • Your uncle is about to retire, and he wants to buy an annuity that will provide him with $75,000 of income a year for 20 years,
    6·1 answer
  • Although china has a strong appreciation for tradition and its rich history of​ culture, it highly values enduring relationships
    13·2 answers
  • The journal entry to record the purchase of equipment for a $140 cash down payment and a balance of $480 due in 30 days would in
    10·1 answer
  • The minimum acceptable price for a product that producer Sam is willing to receive is $15. The price he could get for the produc
    10·1 answer
  • how to calculate the hourly wage based on the monthly income and state the hourly wage. assume that each full time worker works
    7·1 answer
  • The question, "What are the distinguishing characteristics of effective leaders?" sparked which approach to the study of leaders
    8·1 answer
  • After 10 years of regular monthly payments on a 25-year amortized loan for $245,000 at 3.125% interest compounded monthly, how m
    6·1 answer
  • Which of the following is an example of earned income?
    10·1 answer
  • what term is used to describe the approach taken by companies such as magicleap.com where physical and digital objects are able
    10·1 answer
  • wyanot company issued 1,000 shares of its 5%, $100 par value, cumulative preferred stock for $110 cash per share. the journal en
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!