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sergey [27]
3 years ago
5

You are going to deposit $26,000 today. You will earn an annual rate of 6.1 percent for 11 years, and then earn an annual rate o

f 5.5 percent for 14 years. How much will you have in your account in 25 years?
Business
1 answer:
yawa3891 [41]3 years ago
5 0

Answer:

Total value in the account after 25 years = $105,530.26

Explanation:

The value of an amount invested at a certain rate of return for certain number of years where interest compounded annually is known as the future value.  

The future value of an investment can be determined using the future value formula. This formula is stated below:

FV = PV × (1+r)^(n)

FV - Future Value , PV- Present Value, r-rate of return, n- number of years

<em>For the first compounding, 6.1% for 11 years</em>

<em>PV - 26,000, r- 6.1% and n- 11</em>

FV = 26,000 × (1.061)^11 = 49,870.367

<em>For the second round of compounding at 5.5% for 14 years</em>

<em>PV - </em> 49,870.367 , r -5.5%, n- 14

FV = 49,870.367× 1.055^14 = 105,530.259

Total value in the account after 25 years = $105,530.26

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What is investment firms?
Anvisha [2.4K]

Answer:

An investment firm or fund is a partnership, trust or corporation that “pools” money from shareholders and invests it in the appropriate security instruments and multiply investment money.

3 0
3 years ago
Ellen purchased a dishwasher, which cost $315 before the 9. 22% sales tax. She used the machine an average of 10 times per week
antiseptic1488 [7]

Cost is the amount of spending on a product or service. The lifetime cost of the dishwasher was $1029.8 which is $1030 approximately.

<h3>What is the cost?</h3>

Cost is the amount incurred on acquiring a product or using a service. Cost is the value of the product or service.

The lifetime value of an asset is the total expense incurred on the asset from acquisition till disposal.

The lifetime cost of the dishwasher will be the sum of its cost, sales tax, and water and electricity charges for 6 years.

The water and electricity charges are $0.09 and $0.13 per use. The total number of times the dishwasher is used can be calculated as:

The number of use per week are 10, number of weeks in a year are 52, and number of years of use are 6.

\rm Number\:of\:uses = 10\:times\times 52\:weeks\:\times6\:years\\\\\rm Number\:of\:uses = 3120\:times

Therefore, the water and electricity charges will be:

\rm Water\:charges = 3,120 \times \$0.09\\\\\rm Water\:charges = \$280.08\\\\\rm Electricity \:charges = 3,120\times \$0.13\\\\\rm Electricity \:charges = \$405.60

The cost of the dishwasher will be a combination of its purchase price and sales tax. Therefore:

\rm Cost\:of\:dishwasher = \$315 + 9.22\%\\\\\rm Cost\:of\:dishwasher = \$344.043

The lifetime cost of the dishwasher will be:

\rm Lifetime\:cost\:of\:dishwasher = \$344.043 + \$280.08 +\$405.60\\\\\rm Lifetime\:cost\:of\:dishwasher = \$1029.7\\\\\rm Lifetime\:cost\:of\:dishwasher = \$1030 (approximately)

Therefore the correct option is A.

Learn more about cost here:

brainly.com/question/4557688

8 0
2 years ago
A periodic review system is __________. a. a term used to indicate the amount of demand b. to be met under conditions of demand
vladimir2022 [97]

Answer:

The correct answer is letter "C": an inventory system that is used to manage independent demand inventory.

Explanation:

A Periodic Review System is used to keep track of the inventory of a firm after determined periods. Review intervals are set by the company in an attempt to find out the amount of stock needed to fulfill consumers' orders or to reach the company's Target Inventory (TI). This inventory system is used to handle independent demand inventory.

3 0
3 years ago
A cash payment of $130 on account was recorded as a $310 debit to accounts payable and a $310 credit to cash. the necessary corr
dexar [7]

(310-130=180)

debit cash $180; credit Accounts Payable, $180

Hope this helped :) !

8 0
3 years ago
Read 2 more answers
The more information an entrepreneur acquires during the process of _____, the higher the chance that his or her predictions wil
Mashutka [201]

The more information an entrepreneur acquires during the process of feasibility analysis, the higher the chance that his or her predictions will be close to the mark, risk will be reduced, and uncertainty managed.

<h3><u>Explanation:</u></h3>

The study or examination about the extent to which the proposed idea will be practical and can be achieved at an economic manner refers to the feasibility study. In business it is very essential to decide whether to take up a project or not. It also helps in narrowing the project and plan accordingly.

It also helps in making predictions about whether the expected results can be attained from a particular idea or a project. Thus during the feasibility study the entrepreneur must obtain as much information as possible as it helps him in the evaluation of risks, uncertainties and other related things.

7 0
3 years ago
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