Answer: It's advisable to start saving and investing as early as possible in order to take advantage of compound interest.
Explanation:
<u><em>C IS THE ANSWER</em></u>
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Answer:
A.57.9%
Explanation:
Return on Assets (ROA) measures how effective a business generates income from its total assets. It is calculated from the net income and total assets using the following formula;
Return on assets (ROA ) = Net income / Total assets
Net income = 275,000
Total assets = 475,000
ROA = 275,000 / 475,000
= 0.5789 or 57.9%
The minimum amount of money you may have in an account for said account to be, and stay opened.
The price should you be willing to pay for this stock is $24.86
<h3>Zephyr Inc. sells wind based systems for generating electricity. The company pays no dividends, but you estimate the stock will be worth $50 per share 5 years from now and you require a 15% rate of return for stock investments of this type. What price should you be willing to pay for this stock?</h3>
A) $12.50.
B) $24.86.
C) $43.48.
D) $57.50.
Solution:
The price that will be paid for this stock can be calculated as follows:
50= x (15/100^5)
50= x (0.15+1^5)
50= x (1.15^5)
50= 2.0113x
Divide both sides by the coefficient of x
= 50/2.0113
= 24.86
Thus, the price that will be paid for the stock is $24.86
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