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marin [14]
4 years ago
13

don draper has signed a contract that will pay him 80000 at the beginning of each year for the next 6 years plus an additional a

t the end of year 6 if 8% is the appropriate discount rate, what is the present value of the contract
Business
1 answer:
Nata [24]4 years ago
4 0

Answer:

$449,830

Explanation:

A fix Payment for a specified period of time is called annuity. The discounting of these payment on a specified rate is known as present value of annuity.

Don draper will receive total 7 payments in 6 years time.

Formula for Present value of annuity is as follow

PV of annuity = P + P x [ ( 1- ( 1+ r )^-n ) / r ]

P = Payment = $80,000

r = rate of return = 8%

n = number of years = 6 years

PV of annuity = $80,000 + $80,000 x [ ( 1 - ( 1+ 8% )^-6 ) / 8% ]

PV of annuity = $80,000 + $369,830

PV of annuity = $449,830

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Interim financial statements: Multiple Choice Are required by the Congress. Are necessary to achieve full disclosure about a bus
GaryK [48]

Answer:

Are statements prepared for periods of less than one year.

Explanation:

Interim Financial Statements

This is simply known as a financial statements prepared for a timeframe (period) that is part of the entity's annual fiscal period. discontinued operations and extraordinary items that occur at midyear initially are often reported  in net income and open up in the notes to interim financial statements.The fundamental principle guarding interim reporting is that

interim reports must be considered as a part of the integral of the annual reporting period.

An interim statement as a financial report timeframe is often less than one year. It often shows an organisation's performance before the end of normal full-year financial reporting cycles and often, this statements do not need to be audited.

5 0
3 years ago
What rule did Michael Jordan break by wearing Air Jordans out onto the basketball court?
IRINA_888 [86]
21 savage was the one
3 0
3 years ago
Cahuilla Corporation predicts the following sales in units for the coming four months: April May June July Sales in units 300 34
AlladinOne [14]

Answer:

Production budget for May = 336 units

Explanation:

<em>The production budgeted for a particular period is the expected units to be produced after adjusting the sales budget figures for opening and closing inventories.  </em>

Production = Sales volume + closing inventory - opening inventory

Closing inventory in May =40%× 300

opening inventory in May = Closing inventory in April= 40%×360

Production budget = 360 + (40%× 300) -(40%× 360)=336

Production budget for May = 336 units

4 0
3 years ago
This style of leadership may stunt the development of employees and ties the organization’s success to its leader.
antiseptic1488 [7]

Answer:

Autocratic

Explanation:

In autocratic leadership, the manager or leader makes all decisions on behalf of the company or group. The leader does not seek or consider the inputs of others when making decisions. The autocratic leadership style is the same as the dictatorship style.

An autocratic leader issues orders or commands which the subordinates are expected to follow to the latter. When the organization archives success, all the credit goes to the leader.

8 0
3 years ago
Robinson Manufacturing found the following information in its accounting records: $523,000 of direct materials used, $215,000 of
cupoosta [38]

Answer:

Company’s Cost of Goods Manufactured = $1,506,500

Explanation:

Use following formula to calculate cost of goods manufactured

Cost of Goods Manufacture = Direct Material cost + Direct labor cost + Manufacturing overhead + Work in process beginning balance - Work in process Ending balance

Cost of Goods Manufacture = $523,000 + $215,000 + $774,500 + $78,000 - $84,000

Cost of Goods Manufacture = $1,506,500

3 0
3 years ago
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