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3 years ago

You are considering investing in a European bank account that pays a nominal annual rate of 18%, compounded monthly.

Business

1 answer:

kumpel [21]3 years ago

6 0

Answer:

d. 38

Explanation:

This is an Annuity Due type of question. You get the hint from the statement "....$5,000 at the beginning of each month," In an Annuity due , the recurring payments occur at the beginning of the period i.e annually, quarterly or (monthly in this case)

So using a financial calculator on "BGN" mode

nominal rate of 18% is the I/Y. However, since it is monthly compounded, convert it to a monthly rate.

I/Y = 18%/12 = 1.5%

PMT; recurring cashflow = -5,000

FV; future value = 250,000

PV ;present value = 0 (note: in annuity, use 0 for the variable not given)

then CPT N = 37.16

Therefore, it will take approximately 38 months

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At her death Serena owned real estate worth $210,000 with her spouse in joint tenancy with the right of survivorship. Serena con

podryga [215]

Answer: $105000

Explanation:

From the question, we are informed that Serena owned real estate worth $210,000 with her spouse in joint tenancy with the right of survivorship when she died and that she contributed $50,000 to the original cost of the property and her spouse contributed the remaining $100,000.

The amount, that will be included in Serena's gross estate will be:

= $210,000 × 50%

= $210000 × 0.5

= $105,000

It should be noted that only 50% will be included since she owes the property with her spouse in joint tenancy.

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2 years ago

Data concerning Farm Corporation's single product appear below: Selling price per unit $ 170.00 Variable expense per unit $ 66.3

belka [17]

Answer:

1229.4

Explanation:

Breakeven quantity are the number of units produced and sold at which net income is zero

Breakeven quantity = fixed cost / price – variable cost per unit

$ 127,490 / ( $ 170 - $ 66.30) = 1229.4

8 0

2 years ago

Match the phrase that follows with the term (a-e) it describes. integrated set of operating and financing budgets for a period o

Mnenie [13.5K]

1. Master budget: it is an integrated set of operating and financing budgets for a period of time.

2. Production budget: it estimates the number of units to be manufactured to meet sales and inventory levels.

3. Flexible budget: it shows expected results at several activity levels.

4. Sales budget: it begins by estimating the quantity of sales.

5. Static budget: it shows expected results at only one activity level.

A budget can be defined as a financial plan that is used for the estimation of revenue and expenditures of an individual, organization or government, especially for a specified period of time, often one (1) year.

Basically, there are different types of budget and this include:

1. Master budget: it comprises an integrated set of both investing, operating and financing budgets for a specified period of time, often one (1) year.

2. Production budget: it estimates the number of units to be manufactured by a business firm, so as to meet budgeted sales and inventory levels.

3. Flexible budget: it shows expected results of a business firm (responsibility center) at several activity levels.

It is also referred to as variable budget and it's used both before and after a period's activities are completed.

4. Sales budget: it begins by estimating the quantity of sales.

Once the quantity of sales are estimated, the sales revenue that are expected is calculated by multiplying the expected unit sales price by the volume.

5. Static budget: it shows expected results of a business firm (responsibility center) at only one activity level.

A static budget is usually based on a predicted amount of sales or any other measure of activity.

Read more on budget here: brainly.com/question/8976831

8 0

2 years ago

You are the chief accountant for zm corp., which is located in illinois. in november 2017, that state had the second highest une

iogann1982 [59]

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3 years ago

The managing underwriter has set the POP for a new issue offering at $50 per share. After negotiating, the proceeds to be receiv

Vadim26 [7]

Answer:

A $2.00

Explanation:

The computation of the spread is shown below;

Spread represent the gross compensation made to the underwriters. It shows the difference between the Public Offering Price and the amount per share that was collected by the issuer.

So, it should be

= $50 per share - $48 per share

= $2 per share

hence, the correct option is a.

7 0

2 years ago