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Vika [28.1K]
3 years ago
11

You are planning your retirement in 10 years. You currently have $162,000 in a bond account and $602,000 in a stock account. You

plan to add $7,800 per year at the end of each of the next 10 years to your bond account. The stock account will earn a return of 11 percent and the bond account will earn a return of 7.5 percent. When you retire, you plan to withdraw an equal amount for each of the next 23 years at the end of each year and have nothing left. Additionally, when you retire you will transfer your money to an account that earns 6.75 percent. How much can you withdraw each year in your retirement?
Business
1 answer:
UNO [17]3 years ago
7 0

Answer:

Amount withdraw each year = $ 186,991.24

Explanation:

Amount accumulate at the time of retirement = FV of Current Investment in Bond + FV of Current Investment in Stock + FV of annuity deposited in bond

Amount accumulate at the time of retirement = 162000 x (1+7.5%)^10 + 602000 x (1+11%)^10 + 7800 x ((1+7.5%)^10 -1) / 7.5%

Amount accumulate at the time of retirement = $ 2,153,565.83

Amount withdraw each year = Amount accumulate at the time of retirement/Annuity factor

Amount withdraw each year = 2153565.83 / ((1-(1+6.75%)^-23) / 6.75%)

Amount withdraw each year = $ 186,991.24

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An industrialization policy of restricting imports in order to boost local production for local consumption of goods that would
raketka [301]

Answer:

The correct answer is letter "A": import substitution.

Explanation:

Import substitution is the strategy by which a government sets restrictions on imports so the same products being imported are consumed domestically instead of being exported. This approach is implemented to boost domestic production which increases the employment rate of a country.

<em>Protectionist countries</em> tend to impose tariffs on other countries' imports in an attempt to prioritize the industries within their borders.

4 0
3 years ago
Caroline is conducting a share point analysis for Bloomingdale's. First, she estimates total industry sales by compiling a list
Pepsi [2]

The correct answer is B) Compute gross margin per sales point.

Caroline is conducting a share point analysis for Bloomingdale's. First, she estimates total industry sales by compiling a list of all department stores and their sales for the previous year. Next, she estimates Bloomingdale's market share within the industry. To find the value of one share point, Caroline must <em>compute the gross margin per sales point.</em>

Gross margin is part of the income statement that firms or industries need to elaborate every year. This metric indicates a detailed description of a company's revenues, expenses, and profit. When preparing a budget, gross margin defines the limits a company must take into account. That is why Caroline must pay close attention to the calculation and computing.

3 0
3 years ago
Instruments had retained earnings of $ 390 comma 000 at December​ 31, 2017. Net income for 2018 totaled $ 220 comma 000​, and di
VashaNatasha [74]

Answer:

The retained earnings should Quartz report at December​ 31, 2018 is $570,000

Explanation:

In this question, we apply the retained earnings equation which is shown below:

Ending retained earnings balance = Beginning retained earning balance + net income - dividend paid

= $390,000 + $220,000 - $40,000

= $570,000

The net income should be added while dividend should be deducted for finding out the ending retained earnings balance

3 0
3 years ago
The owner of a valuable painting hired professional movers to transport it to an auction house when she decided to sell it. As t
MAVERICK [17]

Answer:

No. She suffered no physical impact

Explanation:

Negligent infliction of emotional distress occurs when a person engages in an act that can cause  severe emotional distress to another .

The plaintiff must be able to prove that the act was done willfully or provide an evidence that

  • It was a result of defendant's negligence
  • Plaintiff suffered emotional distress a direct  result of the action
  • The action was foreseeable by the defendant
  • The plaintiff was in a danger zone

before he can win a claim.

The question here is how to prove emotional stress? The plaintiff must be able to show a verifiable physical injury that is linked to the emotional distressed suffered.

7 0
3 years ago
Vaughn Manufacturing began the year with retained earnings of $114000. During 2022, the company issued $84500 of common stock fo
il63 [147K]

The net income for the year 2022 is: c. $88,000.

<h3>Net income for the year 2022</h3>

Using this formula

Net income=Revenues - Expenses

Let plug in the formula

Net income=$735,000-$647,000

Net income=$88,000

Therefore the correct option is c.

Learn more about net income here:brainly.com/question/15530787

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7 0
2 years ago
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