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Volgvan
4 years ago
6

New Jersey Mutual has offered you a single premium annuity that will pay you $12,000 per year (end of year) for the next 15 year

s. If you must pay $109,296 today for this annuity, what is your expected rate of return?
Business
1 answer:
Leona [35]4 years ago
3 0

Answer:

7%

Explanation:

The Present value of this single annuity= $109295.  

$amount of each annuity= 12000.  

By estimation, if we take interest rate(r) =0.07 or 7% in annuity factor formula it will be ((1-(1/(1+0.07)^15))/0.07)=9.1079.  

Now, 109295/12000 =9.1079. So, here answer will be 7%

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Answer:

When it incurs expenditures under the grant

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According to the revenue recognition principle, the revenue is recognized when it is earned plus in this question the matching principle is also applied that refers that when revenue is recognized so at the same time the expenditure should also be recorded i.e on same period the revenue and the expenditure should be matched.

8 0
3 years ago
Clark enjoys fishing and hunting. He divides his leisure hours between the two outdoor activities. Suppose we were to draw Clark
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Answer: please look at the Explanation for the answer

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For example, if Clark has spent

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3 years ago
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Answer:

$500

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4 0
3 years ago
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Answer: a) discourage news coverage of the event.

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Answer:

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since The main goal of the Head of the Human resources department is to transform the company's production level to a higher level of productivity in a quicker timer frame, dedicating more resources and support to the initiative will help to speed up activities and the company will start producing  at a very fast rate. having to increase salary will not help because the workers can only do what they can do they can't go beyond their limit hence there will be health emergencies.

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