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
Irina18 [472]
3 years ago
15

Which of the following statements is true?

Business
1 answer:
netineya [11]3 years ago
4 0

Answer:

d. The present value of perpetuity varies directly with the annual repayments.

Explanation:

A perpetuity is a security or bond which pays a fixed amount of cash flow at a fixed interval forever. So the amount it pays stays the same and it keeps paying for ever. The formula to find the present value of a perpetuity is

Cash flow of perpetuity/Interest Rate

So if the annual payment is 100 and the interest rate is 5% the present value of the annuity is

100/0.05=2,000

If we keep the interest rate the same at 5% and increase the cash flow by 100 to 200 the new present value of the perpetuity is

200/0.05=4,000

This proves that the present value of a perpetuity varies directly with the annual repayments or cash flow of perpetuity.

You might be interested in
Suppose a stock market crash makes people feel poorer this decrease in wealth would induce people to desire __________. a decrea
dusya [7]
Hive me the answer key
8 0
3 years ago
A method for selecting multiple lines of text is to _______.
antiseptic1488 [7]
The answer to this question is by clicking and draging in the white space to the left of the lines. In word processing, copying and selecting multiple lines is a technique that can help you work on your document faster. Also in word processing, the user can create, edits, and save the document.
4 0
3 years ago
If insurance premiums are going to be set below the actuarially fair level for a certain group, who will likely be targeted to m
Yanka [14]

Answer:A. government regulators and taxpayers.

Explanation: Insurance premium is the amount of money initially paid by an organisation which can be a profit making Organisation or non profit making Organisation or an individual before the start of an insurance policy.

An actuarially fair level is the compensation level that is commensurate with the premium of the policy holder.

IF THE INSURANCE PREMIUM IS TO BE SET BELOW THE ACTUARIALLY FAIR LEVEL THE GOVERNMENT AND TAX PAYERS WILL BE EXPECTED TO PAY THE FOR THE DIFFERENCE.

4 0
3 years ago
Bachelor’s degrees are typically earned in _____.
WARRIOR [948]

Answer:

A bachelor degree is typically earned between 3 and 4 years. Many schools require students to complete about 40 courses or 120 credit hours.

8 0
2 years ago
Read 2 more answers
Use these rental pricing data to answer the questions below: City 2009 Rent 2015 Rent Boise $583 $745 Boston $1,577 $2,150 Seatt
lisabon 2012 [21]

Answer:

Rate of change of rent [Seattle] = $95.5

Explanation:

Given:

2009 Rent $583

2015 Rent  $745

2009 Boston $1,577

2015 Boston $2,150

2009 Seattle $958

2015 Seattle $1,600

Find:

Rate of change of rent [Seattle]

Computation:

Rate of change of rent [Seattle] = Change in price / Change in time

Rate of change of rent [Seattle] = [$2,150 - $1,577] / [2015 - 2009]

Rate of change of rent [Seattle] = $573 / 6

Rate of change of rent [Seattle] = $95.5

8 0
3 years ago
Other questions:
  • Refer to the original data. assume that the company sold 18,000 units last year. the sales manager is convinced that a 10% reduc
    6·1 answer
  • For your business to be successful you will need a strategy for beating the competition, that is, a ________.
    12·1 answer
  • Which of the following statements is FALSE? A. Individual investors should be involved in choosing a mutual fund because they kn
    12·1 answer
  • Productive resources are _____.
    12·2 answers
  • The Food and Drug Administration and the Consumer Product Safety Commission are two examples of _[blank]_.
    6·1 answer
  • Kline Corp. recognizes revenue over time to account for long-term contracts. The contract price is $5 million, total constructio
    9·1 answer
  • A person who owned a bakery figured out that cookies were selling better than brownies. So, she took the resources that she was
    14·1 answer
  • Baron Corporation has two sequential processing departments: Assembly and Shaping. The Shaping Department reports the following
    15·1 answer
  • For the current year, Hodges Department Store reported the following data:
    8·1 answer
  • Irshad's company requires every employee to participate in two half-day harassment training workshops. what ethical responsibili
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!