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Olegator [25]
3 years ago
12

Moore’s Inc. will be making lease payments of $3,895.50 for a 10-year period, starting at the end of this year. If the firm uses

a 9 percent discount rate, what is the present value of this annuity? (Round to the nearest dollar.)
Business
1 answer:
labwork [276]3 years ago
7 0

Answer:

PV of lease annuity is $25000

Explanation:

As the paymengt will be made at the end of the year, the annuity is an ordinary annuity. We will calculate the present value of the ordinary annuity using the following formula,

PV Annuity = PMT * [( 1 - (1+r)^-n) / r]

Where,

  • PMT is periodic payment
  • r is discount rate per peiod
  • n is number of periods

Thus,

PV of annuity = 3895.5 * [( 1 - (1+0.09)^-10) / 0.09]

PV of annuity = $24999.985 rounded off to $25000

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Walden’s family is shopping for a reclining chair. The chair the family decided on has a retail price of $800 plus 5% sales tax
Licemer1 [7]

Just by looking at the answer you can take out D because C already offers no tax and 5% off, do C is better than D, so we only have to do t math for A, B, and CA is 800 plus tax, with $75 back800×1.05 (because it's 5% tax) -75 =$765B is 800×.90 (because 10% off means he's paying 90%)×.05=$756C is 800×.95 (because 5% off means he's paying 95%) =760A=765B=756C=760So B is the best deal


:)

7 0
3 years ago
Read 2 more answers
A researcher is asked to determine whether or not a productivity objective (in dollars) of better than $75,000 per employee is p
exis [7]

Answer:

Hence the null hypothesis is not rejected.

We conclude that productivity objective (in dollars) is not better than $75,000 per employee.

Explanation:

Single sample t-test ( upper tail test)

H_0: \mu = 75000\\H_1: \mu > 75000

N=20

Mean =75500

Sd=18968.117

t = \frac { (\bar x - \mu)} {\frac {s} {\sqrt{n}}}\\\\t = \frac{(75500-75000)}{\frac{18968.117}{\sqrt{20}}}\\t=0.1179

DF= 20-1=19

Table value of t at 0.05 level of significance =1.7291

Calculated t=0.1179 < table value 1.7291

The null hypothesis is not rejected

We conclude that productivity objective (in dollars) is not better than $75,000 per employee

4 0
2 years ago
Who is a person who works and provides services for free, but not a full-time employee
luda_lava [24]

i believe it is a contractor

3 0
3 years ago
The various tasks in IBM's manufacturing plant are arranged so that one worker draws the wiring, another strengthens the wires,
Scilla [17]

Answer: Specialization

Explanation:

 The job specialization is the one of the concept that basically focuses on the special areas and also the expertise in which the people perform various types of tasks based on their abilities.

The job specialization is one of the important factor that helps the organization for achieve the desired goals and also increase the growth of the business quality.  

 According to the given question, the IBM's manufacturing plant are basically arranged by the workers in more efficient way where the one worker performed the duty by drawing the strengthen of the wiring and other workers doing their expertise task.

Therefore, the above given example is refers to the job specialization.

4 0
3 years ago
At December 31, 2020, Sandra’s Boutique had 1850 gift certificates outstanding, which had been sold to customers during 2020 for
zhannawk [14.2K]

Answer: $129,500

Explanation:

According to the Accrual Basis in Accounting, revenue and expenses should only be recognised when goods have been delivered.

On the December 31, 2020 Sandra's Boutique had 1,850 gift certificates outstanding but these had been sold already to people during the year for $70.

This means that they have been paid for a service that they have not given (they provide the service when the GIFT certificate is renewed).

They cannot therefore recognize the revenue as Revenue yet and have to defer it.

The amount to be Deferred will therefore be,

= 1,850 * $70

= $129,500

5 0
4 years ago
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