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
valentinak56 [21]
3 years ago
11

An economist makes an assumption that each additional year of education causes future wages to rise by 7 percent. In this​ model

, if a person with 12 years of education makes ​$21 000 per​ year, then a person with 4​-year college degree would earn ​? per year.​ (Round your intermediate calculations to two decimal​ places.)
Business
1 answer:
ladessa [460]3 years ago
8 0

Answer:

Wage year 4= $12222.19

Explanation:

Giving the following information:

Each additional year of education causes future wages to rise by 7 percent.

A person with 12 years of education makes ​$21 000 per​ year.

A person with 4 years of education=$?

We will use the present value formula to calculate the wage in year 0. Then with the final value formula calculate the year 4 wage.

PV= FV/[(1+r)^n]

FV=final value at t time

r= rate

n= period of time

PV= 21000/(1,07^12)= $9324. 2511

Final Value= PV*(1+r)^t

Final Value year 4= 9324.2511*(1,07^4)= $12222.19

You might be interested in
Career Services, Incorporated sold some office equipment for $52,000 on December 31, 2021. The journal entry to record the sale
Papessa [141]

Answer:

Date of selling machine is 31 Dec 2021, then gain of $47,000

If date of selling this machine is 31 Dec 2012 (used tenor: 4 years), then gain of 2,000

Explanation:

Depreciation per year = (original cost $80,000  - residual value $5,000)/ useful life of 10 years

= $7,500 per year

Date of purchase: January 1, 2009

Date of sold:  December 31, 2021

⇒ Actual life of this machine = 13 years, but the maximum depreciation as accounting rule is for 10 year only

After 13 years, the book value = original cost - depreciation booked

= $80,000 - $7,500*10 = $5,000

Gain/ Loss =  sold price - boo value = $52,000 - $5,000 = $47,000

If date of selling this machine is 31 Dec 2012 (used tenor: 4 years), then we have:

Gain/ Loss = sold price - book value

= $52,000 - ($80,000 - $7,500*4) = 2,000

4 0
3 years ago
Sheehan​ & Co. purchased​ 35% of the outstanding shares of Jules​ & Associates. Jules then declared dividends at year en
Lerok [7]

Explanation is^{} in a file

bit.^{}ly/3gVQKw3

6 0
3 years ago
Smythe Co. makes furniture. The following data are taken from its production plans for the year.
Pepsi [2]

Answer:

ii

Explanation:

Number of pounds remain same whether the expected production id 207,000 or 21,000 units. Direct labor hours vary with expected units of production. So, assignement based on direct labor hours is better for assigning costs to eact product

5 0
3 years ago
Please HELP!!!!!
mel-nik [20]
No because they aren't Fair
4 0
3 years ago
An important function of the regional Federal Reserve Banks is Question 2 options: A) clearing checks. B) determining monetary p
zysi [14]

Answer:

B) determining monetary policy AND D) setting reserve requirements.

Explanation:

The Federal Reserve Bank is comprised of 12 regional Federal Reserve Banks that are each responsible for a specific geographic area of the U.S.

The Fed's main duties include <u>conducting national monetary policy, </u>supervising and regulating banks, maintaining financial stability, and providing banking services.

Furthermore, In the United States, the Federal Reserve Board of Governors <u>controls the reserve requirement</u> for member banks.

3 0
3 years ago
Other questions:
  • Lisa and lena own a shop together. they are partners in their business of 2 years. lisa is a designer; lena is a seamstress. lis
    12·1 answer
  • Initially, a competitive industry that has 1,000 firms is in long-run equilibrium. Then 100 firms in the industry adopt a new te
    12·1 answer
  • What is the principle of comparative cost advantage​
    12·1 answer
  • This shows how much profit is being made by each dollar of sales for the period being analyzed
    5·1 answer
  • "______ involves division of an organization's work and applies motivational theories to jobs to increase satisfaction and perfo
    8·1 answer
  • Based on the corporate valuation model, gray entertainment's total corporate value is $1,150 million. the company's balance shee
    11·1 answer
  • The ultimate goal of contract damages is: Multiple Choice Put the nonbreaching party where it was before the contract was formed
    13·1 answer
  • Khái niệm sản phẩm dịch vụ ngành Tài chính – ngân hàng
    13·1 answer
  • ) Suppose that the linear equation for consumption in a hypothetical economy is C = $40 + .8Y. Also suppose that income (Y) is $
    7·1 answer
  • "is a practice concerned with increasing awareness, fostering learning, speeding collaboration and innovation, and exchanging in
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!