Reduced by an amount that is equal to an individual's income from other sources
Answer:
$2681.30 approx.
Explanation:
The first annuity is case of annuity due
For the first annuity, $2500 + 2500 × cumulative present value factor at 7.25% for 14 years
= $2500 + 8.6158 × 2500
= $24040 approx
The second annuity is the case of deferred annuity wherein payments are made at the end of the year.
Payment amount of second annuity = Present Value of first annuity ÷ cumulative present value annuity factor at 7.25% for 15 years
This will be equal to 24,040/8.9658 = $2681.30 approx.
Answer:
6.2%
Explanation:
The instrinsic value of the company's preferred stock can be determined as the sum of all discounted dividends. The cashflow pattern of preferred shares is similiar to perpetuity.
Preferred share price = CF/(1 + Cost of preferred stock) + CF/(1 + Cost of preferred stock)^2 + ... + CF/(1 + Cost of preferred stock)^n, or reduced form as
= CF/Cost of preferred stock
Putting all the number together, we get:
96 = 5.95/Cost of preferred stock, or Cost of preferred stock = 6.2%
A complex urban environment poses a lot of challenges for individuals living in there. An urban setting usually is home to a lot of economic activities and brings about a lot of equations to solve. You'll have to deal with traffic congestion, pollution, criminality, etc. The best way to deal with all the challenges is to get to know the setting well to adapt your lifestyle accordingly. You may want to get a job near your place or home work. That will save you time, money, as well energy you need everyday. You may also want to live where the industrial activity is lowest to avoid air pollution and any related pollution type. As for safety, make sure you behave in a cautious manner and get along with people well. The bottom line is you'll need to have a thorough knowledge of the environment to be able to cope effectively in there.
Economic growth in China has led to more Chinese people owning cars, which "increased demand for oil, causing oil prices to rise".
<u>Answer:</u> Option C
<u>Explanation:</u>
Economic growth resulted from efforts made by Chinese population, imports and exports, tax collection etc, which allow people to invest more in buying new goods and services. Here for example if the market of car is increasing on development of economy than oil demand will increase, and after sometime it may lead to oil crisis. It is the common understanding in economy that the thing which become more in market demand, will always face crisis within completion of one cycle.
