1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Savatey [412]
3 years ago
6

Amanda Sorenson is planning her retirement. She is presently investing in a 401(k) but needs an additional $500,000 to reach her

retirement goal. As luck would have it. Amanda just won a brand new car that is worth $36,000 in a raffle. If Amanda were to sell the car and invest the $36,000 proceeds at a rate of 6.50%, compounded annually, how long will it be before Amanda could retire? (Round off to the nearest 1/10 of a year) a. 36.6 years b. 41.8 years c. 24.0 years d. 52.2 years
Business
1 answer:
Maurinko [17]3 years ago
5 0

Answer:

Number of year = 41.8 (Approx)

Explanation:

Given:

Total amount Amanda want (Future value) = $500,000

Amanda investment amount (Present Value) = $36,000

Rate of interest (r) = 6.50% = 6.50 / 100 = 0.065

Number of year (n) = ?

Computation of Number of year:

Future\ value =  Present\ Value(1+r)^n\\\\500,000 = 36,000(1+0.065)^n\\\\500,000/36,000 = (1.065)^n\\\\13.8888889 = (1.065)^n\\\\n = 41.78

Number of year = 41.8 (Approx)

You might be interested in
Compute the current ratio, acid-test ratio, and gross margin ratio as of January 31. (Round your answers to 2 decimal places.)
Ierofanga [76]

Answer:

Can you plssssssssssss help me

Can you do plsssssssss help me

7 0
3 years ago
Read 2 more answers
Singh Co. reports a contribution margin of $960,000 and fixed costs of $720,000. (1) Compute the company’s degree of operating l
Alex

Answer: 1. Degree of Operating Leverage = 4

2. $384,000

Explanation:

1. Degree of Operating Leverage is calculated by dividing the Contribution margin by the Net Operating income.

Now, the Contribution margin is the difference between Price and Variable Cost. This means that if you remove fixed costs from it as well you get your profit.

Therefore 1. can be calculated thus,

Degree of Operating Leverage = Contribution Margin / Net Operating income

Degree of Operating Leverage = 960,000 / 960,000 - 720,000

Degree of Operating Leverage = 4

2. When Sales increases by a certain percentage we multiply that percentage by the Degree of Operating Leverage to find out how much Income will increase by.

Because sales went up by 15%, Singh Co. can expect that income would rise by,

= 15% * 4

= 60%.

Now income is Contribution margin - fixed costs so we have,

Income = 960,000 - 720,000

Income = $240,000

An increase of 60% would be

= 240,000( 1+ 60%)

=$384,000

$384,000 is the amount of income that Singh Co. can expect.

4 0
3 years ago
Morrow Enterprises Inc. manufactures bathroom fixtures. The stockholders’ equity accounts of Morrow Enterprises Inc., with balan
algol13

Answer:

Morrow Enterprises Inc.

A. January 1 balances in T-accounts:

                                         Common Stock

                                                Jan. 1     Balance b/d        $7,500,000

                                        Additional Paid-in Capital -Common Stock

                                                Jan. 1     Balance b/d        $825,000

                                        Retained Earnings

                                                Jan. 1     Balance b/d        $33,600,000

                                        Treasury Stock

Jan. 1  Balance b/d $450,000

B1. Journal entries to record the transactions:

Jan. 22

Debit Dividends Payable $28,000

Credit Cash Account $28,000

To record payment of $0.08 dividends per share.

April 10

Debit Cash Account $1,800,000

Credit Common Stock $1,500,000

Credit Additional Paid-in Capital $300,000

To record the issue of 75,000 shares for $24 per share.

June 6

Debit Cash Account $650,000

Credit Treasury Stock $450,000

Credit Additional Paid-in Capital $200,000

To record reissue of 25,000 shares of treasury stock at $26 per share and close the Treasury Stock balance to Additional Paid-in Capital.

July 5

Debit Stock Dividends $450,000

Credit Dividends Payable $450,000

To record the declaration of the 4% stock dividend on 450,000 shares of common stock.

August 15

Debit Dividends Payable $450,000

Credit Common Stock $360,000

Credit Additional Paid-in Capital $90,000

To record the  issue of a 4% stock dividend certificates on 450,000 shares at $25

Nov. 23

Debit Treasury Stock $570,000

Credit Cash Account $570,000

To record the purchase of 30,000 shares of treasury stock for $19 per share.

Dec. 28

Debit Dividends $42,000

Credit Dividends Payable $42,000

To record the declaration of a $0.10 per share dividend on 420,000 shares of common stock.

Dec. 31

Debit Income Summary Account $1,125,000

Credit Retained Earnings $1,125,000

To close the credit balance of the income summary.

Dec. 31

Debit Retained Earnings $492,000

Credit Stock Dividends $450,000

Credit Dividends $42,000

To close the two dividends accounts.

B2) Posting to the selected accounts:

                                        Common Stock

Dec. 31 Balance c/d  $9,360,000 Jan. 1    Balance b/d         $7,500,000

                                                        Apr. 10  Balance b/d         $1,500,000

                                   <u>                   </u>  Aug 15  Dividend Payable  <u>$360,000</u>

                                  <u>$9,360,000 </u>                                          <u>$9,360,000</u>

                                                        Jan. 1 Balance b/d           $9,360,000

                                        Additional Paid-in Capital -Common Stock

Dec. 31 Balance c/d $1,415,000 Jan. 1   Balance b/d               $825,000

                                                   Apr. 10     Balance b/d            $300,000

                                                   Jun. 6   Treasury Stock         $200,000

                                <u>                 </u>  Aug 15  Dividend Payable      <u> $90,000</u>

                               <u> $1,415,000</u>                                               <u>$1,415,000</u>

                                                   Jan. 1 Balance b/d                $1,415,000

                                        Retained Earnings

Dec. 31 Stock Dividends   $450,000 Jan. 1    Balance b/d       $33,600,000

Dec. 31 Dividends               $42,000 Dec. 31  Income Summary $1,125,000

Dec. 31 Balance c/d     <u>$34,233,000</u>                                          <u>                     </u>

                                    <u>$34,725,000</u>                                          <u>$34,725,000</u>

                                                           Jan. 1 Balance b/d           $34,233,000

                                        Treasury Stock

Jan. 1      Balance b/d $450,000  Jun. 6 Cash                          $450,000

Nov. 23  Cash            <u>$570,000</u>   Dec. 31 Balance c/d             <u>$570,000</u>

                                <u>$1,020,000</u>                                               <u>$1,020,000</u>

Jan. 1   Balance b/d   $570,000

                                        Dividends Payable

Jan. 22  Cash                    $28,000  Jan. 1 Balance b/d             $28,000

Aug. 15 Common Stock $360,000   Jul. 5 Stock Dividends   $450,000

Aug. 15 Additional Paid-in$90,000   Dec. 23 Cash Dividends $42,000

Dec. 31 Balance c/d          <u>$42,000</u>                                           <u>                </u>

                                       <u>$520,000</u>                                          <u>$520,000</u>

                                                           Jan. 1 Balance b/d           $42,000

                                        Stock Dividends

Jul. 5 Dividends Payable $450,000 Dec. 31 Retained Earnings $450,000

                                      Cash Dividends

Dec. 28 Dividends Payable $42,000 Dec. 31 Retained Earnings $42,000

 

                                       Income Summary Account

Dec. 31  Retained Earnings $1,125,000 Dec. 31 Balance b/d   $1,125,000

C. Retained Earnings Statment for the year ended December 31, 2016:

Beginning Balance     $33,600,000

Income Summary           $1,125,000

Stock Dividends             ($450,000)

Cash Dividends               ($42,000)

Ending Balance         $34,233,000

Explanation:

a)                                       Cash Account                                                            

Apr. 10   Common Stock  $1,500,000 Jan. 22  Dividends Payable$28,000

April 10  Additional Paid-in $300,000  Nov. 23 Treasury Stock   $570,000

Jun. 6    Treasury Stock     $450,000  

Jun. 6    Additional Paid-in $200,000

6 0
3 years ago
Gaming the gamers case study answers
UNO [17]
Huh? What does that mean
3 0
1 year ago
Think of a product that you purchased within the past 6 months
dalvyx [7]

Answer:

<em>Product purchased:</em> a purse

<u />

<u>How did you recognize that you needed the product?</u>

Through a need for more space to carry personal items to work.

<u>Where or how do you look for information about alternative products that meet this need (product)?</u>

Buying online is one of the facilities made possible by new technologies, which allows us to choose the product that meets our desires and needs without having to go to a physical store, in addition to the possibility of comparing prices and getting special discounts.

<u>What alternatives did the research process generate and what variables did you use to make the final purchase decision?</u>

The alternatives found were fast fashion sites that offered a bag of the ideal size, with the expected quality and defined average price.

<u>Where did you buy the product and why?</u>

I bought the product at Zara, which is a top quality fashion department store that would meet all requirements and needs with the purchase.

<u />

<u>Were you satisfied after using or consuming the product? Explain.</u>

Yes, because the benefits added to the product met my needs and desires.

<u>There are 5 categories of influences as described in your text: economic, psychological. social, culture and ethnicity, purchasing situation. Which one(s) do you think had the greatest effect on your purchase decision? Please explain.</u>

The item that had the most effect on the purchase decision was the psychological and economic item, as the choice of the product was made due to a need for work, but whose purchase decision process took into account factors such as brand, quality and the price of the product.

6 0
3 years ago
Other questions:
  • It is understandable that productivity is rising faster in the service sector because service businesses have newer technologies
    15·2 answers
  • The following transactions were selected from the records of OceanView Company:
    14·1 answer
  • A large increase in the income level in the U.S. along with no growth in Mexico’s income level is normally expected to cause (as
    11·1 answer
  • One ethical dilemma that multinational firms must face is
    13·1 answer
  • The owner of Marshall Restaurant is disappointed because the restaurant has been averaging 7,500 pizza sales per month, but the
    9·1 answer
  • Does each Subway $5 Footlong cost the franchisee more than $5? Subway, the fast food restaurant franchise, recently announced it
    13·1 answer
  • Suppose that a demand curve exhibits two points. Initially, at price P 0 , the quantity demanded is Q 0 . When price changes to
    13·1 answer
  • As a member of the media audience, what are some ways you can control the persuasive process? Explain who you think has more pow
    12·1 answer
  • Alice listed a three-bedroom home for her client, but before she finds a buyer, the home burns to the ground. What happens to th
    6·1 answer
  • How can a country achieve higher levels of competition and a variety of products in an industry with only one or two domestic fi
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!