1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Scrat [10]
3 years ago
13

A home improvement firm has quoted a price of? $9,800 to fix up? eric's backyard. five years? ago, eric put? $7,500 into a home

improvement account that has earned an average of? 5.25% per year. does eric have enough money in his account to pay for the backyard fixminus??up?
Business
1 answer:
lana [24]3 years ago
4 0

The amount of money that Eric will have after 5 years given the initial amount and the interest per year (which we will assume to be compounded)

<span>                                    F = P x (1 + r)^n</span>

Substituting,

<span>                                    F = ($7,500)(1 + 0.0525)^5</span>

<span>                                    F = $9,686</span>

<span>Therefore, Eric will be short of about $113.39. </span>

You might be interested in
A manager is trying to decide whether to purchase a certain part or to have it produced internally. Internal production could us
Sergio [31]

Answer:

For both 10,000 units and 20,000 units, the best alternative is Vendor B

Explanation:

Using the information provided in the question, we can write the following:

Annual Volume of 10,000 units

Internal Alternative 1

Variable costs = 170,000 (we multiply the variable cost per unit by total units)

Fixed costs = 20,000

Total costs = 370,000

Internal Alternative 2

Variable costs = 140,000

Fixed costs = 240,000

Total costs = 380,000

Vendor A

Total cost = 200,000 (we simply multiply the price by the quantity)

Vendor B

Total cost = 180,000

Vendor C

Total cost = 190,000

The cheapest option is Vendor B

Now for the 20,000 units:

Internal Alternative 1

Variable costs = 340,000

Fixed costs = 200,000

Total costs = 540,000

Internal Alternative 2

Variable costs = 280,000

Fixed costs = 240,000

Total costs = 520,000

Vendor A

Total cost = 400,000

Vendor B

Total cost = 360,000

Vendor C

Total cost = 380,000

Therefore, Vendor B is once again, the cheapest alternative.

5 0
3 years ago
Who were the byzantines
Fantom [35]
A byzantine is a person who belonged to the byzantine empire, also called the eastern roman empire.
7 0
2 years ago
Read 2 more answers
For a given level of significance, if the sample size is increased, the power of the test will increase.
Andru [333]
The answer is True. You have more samples, the result is more accurate.
3 0
3 years ago
Zacher Co.'s stock has a beta of 1.40, the risk-free rate is 4.25%, and the market risk premium is 5.50%. What is the firm's req
mihalych1998 [28]

Answer:

The answer is option (C). The firm's required rate of return=11.95%

Explanation:

The required rate of return can be expressed using the formula below;

RRR=RFR+B(MRR)

where;

RRR=required rate of return

RFR=risk free return

B=beta

MRR=market rate of return

In our case;

RRR=unknown

RFR=4.25%

B=1.4

MRR=5.5%

This can be written as;

Required rate of return=risk free return+(beta×market rate of return)

replacing;

RRR=4.25%+(1.4×5.5)

RRR=(4.25%+7.7)=11.95%

The firm's required rate of return=11.95%

5 0
3 years ago
Terra Company has two divisions, the Retail Division and the Wholesale Division. The following information was gathered for the
sveta [45]

Answer:

a. Wholesale division.

Explanation:

The formula to compute for return on investment is shown below:

Return on investment = Operating Income ÷ Operating Assets

For Retail Division, it would be

= $2,500,000 ÷ $16,000,0000

= 15.625%

For Wholesale Division, it would be

= $6,000,000 ÷ $36,000,0000

= 16.67%

Based on the calculation, the wholesale division perform better

3 0
2 years ago
Other questions:
  • You are the marketing analyst for Better Beans Coffee Company, which has nine stores nationwide. The company wants to build two
    15·1 answer
  • True or false? an hie moves health information among organizations while adhering to national standards.
    12·1 answer
  • A customer who lives in New York has an account with a broker-dealer and sales representative that are both registered in State
    15·1 answer
  • 6. Grammar and Mechanics - Apostrophes and Other Punctuation Punctuation marks such as apostrophes, parentheses, dashes, and quo
    14·1 answer
  • Lupo Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The
    7·1 answer
  • Bulldog Holdings is a U.S.-based consumer electronics company. It owns smaller firms in Japan and Taiwan where most of its cell
    10·1 answer
  • _______ control is the use of hierarchical authority to influence employee behavior by rewarding or punishing employees for comp
    13·1 answer
  • Who benefits from an import-substitution strategy? who is harmed?
    8·1 answer
  • 18) Fred purchased shares of stock In a fast-food corporatlon for $10,000. Marla ls a sole proprletor of a
    15·1 answer
  • unearned revenue, an operating liability, arises when a company receives cash before any goods are delivered or services are ren
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!