Answer:There u go
Explanation:
Perhaps you have heard of the miracle of compounding. Innumerable investors have used it to their advantage to make their money grow faster than would be the case with simple interest. The great thing about compounding is that it doesn't require additional work on your part: you just sit back and watch your money grow. How's that for an investment strategy?
There are two basic types of interest: simple and compound. Simple interest is the amount of interest earned on the original amount of money invested. Simple interest is paid out as it is earned and does not become part of an account's interest-bearing balance. The invested amount is called principal. Let's say you invest $100 (the principal) at a yearly interest rate of 5 percent. Multiplying the principal by the interest rate gives you an interest payment of $5. This is your simple interest. The next year and each year thereafter, you will be paid $5 of interest on the principal of $100.
Compound interest is interest paid on interest. At 5 percent interest compounded annually, you will have $105 after the first year. If you keep this investment for another year, you will be paid interest on your original $100 and on the $5 you made in interest the first year. The longer you invest your money, the higher your interest payments will grow, not only on your original amount but on the additional interest you earn each year. This is what makes compounding interest so powerful.
When credit unions speak of compounding, they refer to dividends rather than interest.
The longer an investment is allowed to compound interest, the faster your balance will grow and the higher your returns will be. In the case of compounding interest, time really is money. Let's say you invest $1,000 for five years, with an annual interest rate of 5 percent. The difference in your investment earnings from simple and compounded interest will look like this:
Comparison of Simple and Compound Interest
Answer: Rooney should accept as there is a chance to make a profit of $53,580
Explanation:
Rooney has the capacity to build the additional slabs so can do so without stopping other orders.
Revenue should Rooney accept project:
= 47 * 2,510
= $117,970
Cost should Rooney accept project:
= (870 * 47) + (500 * 47)
= $64,390
Total profit:
= 117,970 - 64,390
= $53,580
<em>Rooney should accept as there is a chance to make a profit of $53,580</em>
Answer:
TRUE
Explanation:
A basket purchase is the acquisition of a number of assets as a group, in a single purchase transaction. This is common when the basket purchase is lower than the price charged for individual assets.
Answer:
(a). For every additional square foot of area of a house, the price is predicted to increase by $61
(b) The asking price is $145410 and the residual is a negative $4100
Explanation:
As per the data given in the question,
a) From regression equation Slope = 0.061
So slope = (0.061 × 1,000) ÷ 1 sq. ft.
= $61 per sq. ft.
For every additional square foot area price is increased by $61
b) If size of the house is = 1600 square foot then
Price = 47.81 + 1600*0.061
=$145,410
The asked price is $4,100 less than estimated price and residual is not positive
Hence,
Asking price = $145,410
Residual price = a negative $4,100
Answer: Participating preferred
Explanation:
Participating preferred is a stock which pays specific dividends rate to their customers and also receives additional dividends, this is made known Board of Directors and paid by the company, this meets up with the objectives a customers has for investing and having a stable income. It is so known as performance preferred and it gives the holder the benefit of collecting extra dividends.
