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Lady_Fox [76]
3 years ago
13

An investment will pay $200 at the end of each of the next 3 years, $300 at the end of Year 4, $500 at the end of Year 5, and $8

00 at the end of Year 6. If other investments of equal risk earn 5% annually, what is its present value? Round your answer to the nearest cent. $ 2255.30 What is its future value? Round your answer to the nearest cent. $ 3022.32
Business
1 answer:
pantera1 [17]3 years ago
8 0

Answer:

Present value = $1,780.20

Future value = $2,385.64

Explanation:

Years     Annual cash flows   Discount factor @5%       Present value

1              $200.00                  0.9523809524             $190.48

2             $200.00                  0.9070294785             $181.41

3             $200.00                  0.8638375985              $172.77

4             $300.00                  0.8227024748              $246.81

5             $500.00                  0.7835261665               $391.76

6             $800.00                  0.7462153966               $596.97

Present value                                                         $1,780.20

Now the future value is

Future value = Present value × (1 + interest rate)^number of years

= $1,780.20 × (1 + 0.05)^6

= $1,780.20 × 1.3400956406

= $2,385.64

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What happens to the peasant who cannot pay his tax in grain?
nataly862011 [7]

The King or Queen that's ruling during the time will choose what they want to do.

A. Kill Him

B. Ban Him

C. Humiliate Him

D. Put Him In Prison

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2 years ago
In 2012, former Chief Financial Officer (CFO), Jennifer Cue, returned to Jones Soda as Chief Executive Officer, with a mandate t
Dvinal [7]

Part of the new strategy to save the company was to establish B2B partnerships with companies such as 7-Eleven and Fiat, in order to tap into the robust reseller market.

<h3>What is the B2B partnership?</h3>
  • A B2B partnership is a collaboration between two or more businesses with the aim of creating a win-win situation that will sustain growth and provide substantial value to all parties.
  • This might take the form of opportunities for product development, marketing, or general corporate growth.
<h3>What is the reseller market?</h3>
  • The market is made up of wholesalers and merchants that purchase goods to resell.
  • A reseller purchases goods with the intention of reselling them for a profit later.
  • Since resellers buy products and services in bulk from suppliers, they frequently get deals.
  • Then, through the process of resale, resellers establish a connection between producers and customers, delivering goods and services to customers.
  • These include supermarkets, department stores, and specialist shops like those that provide pet supplies or home improvement products.

Therefore, part of the new strategy to save the company was to establish B2B partnerships with companies such as 7-Eleven and Fiat, in order to tap into the robust reseller market.

Know more about wholesalers here:

brainly.com/question/7062667

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8 0
2 years ago
rationale of organizing strike in resolving dispute with a focus on the detrimental effects on stakeholders?
hodyreva [135]

Answer:

stuck on that question as well

Explanation:

6 0
3 years ago
An automobile dealer expects to sell 1250 cars a year. The cars cost $9000 plus a fixed charge of $1000 per delivery. If it cost
Brilliant_brown [7]

Answer:

Order size = 50 cars

The number of orders=25

Explanation:

<em>The Economic Order Quantity (EOQ) is the order size that minimizes the balance of ordering cost and holding cost. At the EOQ, the carrying cost is equal to the holding cost.  </em>

It is computed using the formulae below  

EOQ = √ (2× Co× D)/Ch  

Co- Ordering cost, Ch- Carrying cost - D- Annual demand  

EOQ= √2× 1000× 1250/1000= 50

Number of cars to be ordered per time, i.e optimal order size= 50 cars

Order size = 50 cars

b)

The number of times orders should be placed per year would be calculated as follows:

The number of orders = Annual demand/ order size

The number of orders= 1250/50 = 25

The number of orders=25

4 0
2 years ago
Sage Company is operating at 90% of capacity and is currently purchasing a part used in its manufacturing operations for $13.00
densk [106]

Answer:

$64,708 cost decrease

Explanation:

Calculation to determine the amount of differential cost increase or decrease from making the part rather than purchasing it

First step

Purchase cost =$13

Manufacturing cost = $11 (variable)

Profit in manufacturing =$13-$11

Profit in manufacturing=$2

Now let determine the amount of differential cost increase or decrease

Cost decrease by =$2*32,354

Cost ​decrease by $64,708

Therefore the amount of differential cost DECREASE from making the part rather than purchasing it is $64,708

4 0
3 years ago
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