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8090 [49]
3 years ago
7

You are planning to make monthly deposits of $300 into a retirement account that pays 8 percent interest compounded monthly. If

your first deposit will be made one month from now, how large will your retirement account be in 25 years?

Business
1 answer:
iVinArrow [24]3 years ago
5 0

Answer:

The correct answer is $285.308.1

Explanation:

According to the scenario, computation of the given data are as follows:

Monthly payment (Pmt) = $300

Interest rate = 8%

Interest rate (monthly)  (rate) = 8% ÷ 12 = 0.666667%

Time period = 25 years

Time period (monthly) (Nper) = 25 × 12 = 300

So, we can calculate the Future value by using Financial calculator.

The attachment is attached below:

Future value = $285,308.1

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Stoneheart Group is expected to pay a dividend of $3.27 next year. The company's dividend growth rate is expected to be 3.4 perc
shepuryov [24]

Answer:

The stock price is $37.16

Explanation:

Dividend Valuation method is used to value the stock price of a company based on the dividend paid, its growth rate and rate of return. The price is calculated by calculating present value of future dividend payment.

Formula to calculate the value of stock

Price = Dividend / ( Rate or return - growth rate )

Price = $3.27 / ( 12.2% - 3.4% )

Price = $3.27 / 12.2% - 3.4%

Price = $3.27 / 8.8%

Price = $37.16

7 0
3 years ago
During 2020, LAL Corp. had the following cash flows: (1) received cash of $5,000 billed to a customer in 2020; (2) earned $20,00
Juliette [100K]

Answer: $21,000

Explanation:

Financing activities refer to those that a company engages in, in relation to capital needed to run the affairs of the business which means it included Equity and Debt.

Financing Activities: Interest paid, dividends paid, money borrowed from bank, stock repurchase

Net cash flows from financing = Money borrowed from bank - Interest paid - dividends paid - Stock repurchase

= 50,000 - 6,000 - 8,000 - 15,000

= $21,000

4 0
3 years ago
The manager of the bank where you work tells you that the bank has $300 million in deposits and $255 million dollars in loans. I
tigry1 [53]

Answer:

The bank is holding $19.5 million in excess reserves.

Explanation:

If the bank has $300 million is deposits and the reserve ratio is 8.5% then the bank needs to have minimum reserves of 8.5% of 300 million so the minimum reserves are 0.085*300 million = 25.5 million

How ever the actual reserves of the bank is the difference between deposits and loans. The deposits are 300 million and loans are 255 million so the actual reserves are 300 million-255 million= $45 million

Excess reserves is the difference between the actual reserves and the minimum reserves so 45 million - 25.5 million = 19.5 million.

4 0
3 years ago
Which task does a busser generally perform?
Vera_Pavlovna [14]

If your taking about resturants a busser usually buss tables meaning they clean and make sure the table is nice and clean for the next customer who arives.

6 0
4 years ago
Some families may not wish to fill out a css profile because:
serious [3.7K]

Answer: It asks for detailed financial information

Explanation:A P E X

4 0
2 years ago
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