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3 years ago

"$12 million per year. grow 10% compounded annually over the next 5 years. What will demand be in 5 years?"

Business

1 answer:

Dafna1 [17]3 years ago

4 0

Answer:

$12,936,120

Explanation:

The formula for calculating compound interest

=FV = PV × (1+r)n

Fv = future value

PV present value

r interest rate =10 %

t =time = 5 years

Future value= 12million x(1+10/100)5

=12,000,000 x (1+0.1)5

=12,000,000x1.61051

= $12,936,120

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Pavlova-9 [17]

I think it'd be E. I hope that helps!

3 0

3 years ago

Based on the following information, prepare the bank reconciliation for Cougar Corp. as of December 31. A. On December 31, Couga

True [87]

Answer and Explanation:

The Preparation of bank reconciliation for Cougar Corp. as of December 31 is shown below:-

Cougar Corp.

Bank reconciliation

For the year ended December 31

Particulars Amount

Bank balance Dec 31 $24,575

Add: Deposit in transit $2,500

Less:

Outstanding checks #302 ($180)

Outstanding checks #303 ($95)

Outstanding checks #304 ($25) ($300)

Bank balance adjusted $26,775

Cash balance on 31 Dec $26,504

Add: EFT from customer $1,700

Add: Interest income $21 $1,721

Less: Posting error

($5,400 - $4,500) $900

Less: NSF check $500 $1,400

Book balance adjusted $26,775

Hence, the bank balance and the book balance are matched

8 0

3 years ago

Part E14 is used by M Corporation to make one of its products. A total of 19,000 units of this part are produced and used every

Gennadij [26K]

Answer: ($24100)

Explanation:

The annual financial advantage (disadvantage) for the company goes thus:

The relevant cost to produce will be:

= ($4.10 × 19,000) + ($8.70 × 19,000) + ($9.20 × 19,000) + ($4.60 × 19,000) + $31,000

= $77900 + $165300 + $174800 + $87400 + $31000

= $536,400

The relevant costs to buy will be:

= 19,000 × $29.5

= $560,500

Since the relevant cost to buy is more than the relevant cost to produce, then the financial disadvantage will be:

= $560500 - $536,400

= $24,100

The answer is ($24,100)

5 0

3 years ago

An investor deposits $35,000 into an IRA for her retirement in 25 years.The account pays 3.5% interest compounded continuously.

sergeinik [125]

Answer:

The value of her account after 25 years, if she stays true to the plan is:

= $152,823.31.

Explanation:

a) Data and Calculations:

Initial deposits = $35,000

Period of investment = 25 years

Interest rate per year = 3.5% compounded continuously

Annual deposit into the same account = $1,800

Period of investment = 25 at 3.5% interest rate

Total value of her IRA account after 25 years:

Future value of $35,000 = $82,713.57

Future value of $1,800 yearly = 70,109.74

Total future value = $152,823.31

From an online financial calculator:

N (# of periods) 25

I/Y (Interest per year) 3.5

PV (Present Value) 35000

PMT (Periodic Payment) 0

Results

FV = $82,713.57

Total Interest $47,713.57

N (# of periods) 25

I/Y (Interest per year) 3.5

PV (Present Value) 0

PMT (Periodic Payment) 1800

Results

FV = $70,109.74

Sum of all periodic payments $45,000.00

Total Interest $25,109.74

7 0

2 years ago

Crane, Inc. manufactures two products: missile range instruments and space pressure gauges. During April, 50 range instruments a

grigory [225]

Answer:

Requirement: Determine the overhead rate for each activity "Materials handling, Machine setups, Quality inspections"

Materials handling overhead rate = Total cost / Cost driver volume

Materials handling overhead rate = $30,000 / 1,000

Materials handling overhead rate = $30

Machine setups overhead rate = Total cost / Cost driver volume

Machine setups overhead rate = $23,750 / 475

Machine setups overhead rate = $50

Quality inspections overhead rate = Total cost / Cost driver volume

Quality inspections overhead rate = $19,000 / 475

Quality inspections overhead rate = $40

4 0

3 years ago