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Zanzabum
4 years ago
9

Present value computation kerry bales won the state lottery and was given four choices for receiving her winnings. receive $400,

000 right now. receive $432,000 in one year. receive $40,000 at the end of each year for 20 years. receive $36,000 at the end of each year for 30 years. assuming kerry can earn interest of 8% compounded annually, which option should kerry choose?
Business
1 answer:
Mekhanik [1.2K]4 years ago
4 0
Option 1: PV = $400,000
Option 2: Receive (FV) $432,000 in one year

PV = FV(1/(1+i)^n), where i= 8% = 0.08, n = 1 year

PV = 432,000(1/(1+0.08)^1) = $400,000

Option 3: Receive (A) $40,000 each year fro 20 years

PV= A{[1-(1+i)^-n]/i} where, n = 20 years

PV = 40,000{[1-(1+0.08)^-20]/0.08} = $392,725.90

Option 4: Receive (A) $36,000 each year from 30 years
PV = 36,000{[1-(1+0.08)^-30]/0.08} = $405,280.20

On the basis of present value computations above, option 4 is the best option for Kerry Blales. This option has the highest present value of $405,280.20

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LenKa [72]

Answer:

Option (B) is correct.

Explanation:

An import quota is defined as the restriction on the imports from the other nations. It is the direct restriction on the quantity of goods imported from the other countries. This restriction takes place to protect the domestic producers of the home nation from the foreign competition.

For example: The united states wants to import 50,000 cars from Japan but there is an import quota of 40,000 cars. So, the consumers in the United States won't be able to import remaining 10,000 cars.

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3 years ago
A rational person does not act unless a. the action makes money for the person. b. the action is ethical. c. the action produces
Natali [406]

Answer:

d. the action produces marginal benefits that exceed marginal costs.

Explanation:

The rational person is the person who takes the decision with keeping in mind about its future events and in practicable in nature instead of the emotional nature

When a company earns a net income, its revenue is more than its cost

So a rational person does not act unless when the action generates the marginal benefits that are exceeded from the marginal cost.

3 0
3 years ago
1. What arguments do Feingold and Heuvel offer in defense of Roosevelt?
DiKsa [7]

1. The arguments that these people put forward was to exonerate the president by saying the situation was beyond his control.

<h3>The argument that Feingold put forward</h3>

He argued that there were many situations that occurred that were beyond the capacity of Roosevelt's administration. These were

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<h3>The argument that Heuvel put forward</h3>

Heuvel sternly said that it was ironic to put any blames on Roosevelt because he was not the one that caused the holocaust.

According to him, no one had any backgrounds to fault him for what was being done by Hitler because he was not the cause.

2. What Michael meant was that it was not a common occurrence for the president to be silent on issues that are as pressing as this.

According to him, the president was a person that would speak up fast on serious world issues. He meant it was not in the character of the president to be late in issues of this sort.

3. Wyman called it the worst failure of his presidency because he refused to act for a long time during the extermination.

From what he said, the president only stepped in to save the Jews out of pressure.

Read more on  the holocaust here:

brainly.com/question/12962

5 0
2 years ago
For most people, almost two-thirds of each work day is taken up by work and sleep. Please select the best answer from the choice
laiz [17]

Answer:

it's true

Explanation:

<em>if</em><em> </em><em>by</em><em> </em><em> </em><em>T</em><em> </em><em>and</em><em> </em><em>F</em><em> </em><em>you</em><em> </em><em> </em><em>mean</em><em> </em><em> </em><em>true</em><em> </em><em> </em><em>or</em><em> </em><em>false</em><em> </em><em>then</em><em> </em><em> </em><em>it's</em><em> </em><em> </em><em>definitely</em><em> </em><em> </em><em>true</em><em> </em>

8 0
3 years ago
Earth presently has 1.4 billion hectares of arable land, and each hectare produces between 1 and 2 tons of grain annually. What
olga nikolaevna [1]

Answer:

a) 2.1 billion tons/yr

b) 10.5 billion people

Explanation:

Given:

Total arable land = 1.4 billion

Grain produced by each hectare of land = 1 and 2 tons annually

therefore,

The average Grain produced by each hectare of land = \frac{\textup{1+2}}{\textup{2}} = 1.5 tons/yr

Therefore,

The total grain produced annually

= average Grain produced × Total arable land

= 1.5 × 1.4 billion

= 2.1 billion tons/yr

b) Sufficient grain for each people = 200 kg

Now,

1 ton = 1000 kg

thus,

2.1 billion tons = 2.1 × 10⁹ × 1000 kg = 2.1 × 10¹² kg

The number of people Earth can support = \frac{\textup{ total grain produced annually }}{\textup{Sufficient grain for each people}}

or

The number of people Earth can support = \frac{\textup{ 2.1}\times10^{12}}{\textup{200}}

or

The number of people Earth can support = 10.5 × 10⁹ people

= 10.5 billion people

6 0
3 years ago
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