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
nadezda [96]
3 years ago
7

An insurance company forwards fixed annuity premiums to their general account, where the money is invested. The guaranteed minim

um interest is set at 3%. During an economic downswing, the investments only drew 2.5%. What interest rate will the insurer pay to its policyholders?
a. 3% regardless of what the investment draws since that's the guaranteed rate
b. 2.5%
c. 3%
d. 3% this payment. The over payment this time will be subtracted from the next time the rate exceeds the 3%
Business
1 answer:
tatyana61 [14]3 years ago
3 0

Answer: c. 3%

Explanation:

The Insurance company guaranteed that the minimum rate that they will pay their policyholders as 3%. Just because the investments are now drawing only 2.5% due to the economic downtown does not absolve them of this agreement.

They must therefore still pay their policy holders the minimum return guaranteed which is 3%.

You might be interested in
On July 1, Year 4, Pell Co. purchased Green Corp. 10-year, 8% bonds with a face amount of $500,000 for $420,000. The bonds are c
gayaneshka [121]

Answer:

$21,800

Explanation:

The computation of 4-year revenue is as shown below:-

Bond Income of 4th Year = Face amount × Bond × 1 ÷ 2

= $500,000 × 8% × 1 ÷ 2

= $20,000

Interest Revenue = Bond Income + Amount of Discount Amortized

= $20,000 + $1,800

= $21,800

Therefore for computing the interest revenue we simply bond income with the amount of discount amortized.

6 0
3 years ago
Expenses follow the same debit and credit rules as
Archy [21]
The correct answer is drawing account
7 0
3 years ago
Danny, a longtime hotel manager for Hilton, was meeting with Sara, a regional manager, and telling her about his recent decision
sesenic [268]

Answer: rational decision-making model

Explanation:

Rational decision-making model could be seen as when the decision maker has all alternatives on a decision with much information, with time on their hands and resources to evaluate the various choices thats made available before them.

Danny's choice to go against other people decision and using a detailed and different consideration for the employee decribed he used a rational decision making model, he still believed in the individual when others did not, and this affected his decision and didn't allow that of others to influence him.

8 0
3 years ago
In the Unified Process (UP) methodology, "most of the Requirements activities" occurs during the _____ phases.
qwelly [4]

Answer:

Inception and Elaboration phases

Explanation:

INCEPTION PHASES can be defined as the phase in which the vision of the end-product is been define as well as the associated business case and as well enables the defining the overall scope of a project.

The ELABOTATION PHASE on the other hand can be seen as the phase which help to refine the definition of a product as well help to develop a more precise plan for its development as well as the deployment.

Therefore In the Unified Process (UP) methodology, "most of the Requirements activities" occurs during the INCEPTION AND ELABORATION phases because unified process is a software development process that enables as well uses the UML language to help represent models or type of the software system to be developed.

7 0
3 years ago
You must decide between $25,000 in cash today or $30,000 in cash to be received two years from now. If you can earn 8 percent in
Anna71 [15]

Answer:

The deal to receive $30000 is better.

Explanation:

To find the better deal we need to calculate the present value of $30000 and then compare it with the amount $25000. If the amount is greater than the $25000, then the amount should be received after the 2 years.

The given time period (n )= 2

Interest rate (r ) = 8%

The amount received after 2 years = $30000

\text{Present value of money} = \frac{Future \ value}{(1 + r)^n } \\= \frac{30000}{(1+0.08)^2} \\= $25720.16

Since the amount is more than $25000 so the deal to receive the money after 2 years will be better.

5 0
3 years ago
Other questions:
  • Falcon Co. produces a single product. Its normal selling price is $29 per unit. The variable costs are $15 per unit. Fixed costs
    5·1 answer
  • The price of coffee rose sharply last month, while the quantity sold remained the same. Five people suggest various explanations
    12·1 answer
  • Dunkin' donuts garners​ consumers' feedback and opinions to help determine which products to create. this is an example of the​
    14·2 answers
  • ​a primary source of organizational culture is _____.
    12·1 answer
  • Which decisional role involves the manager in resolving conflicts? a. Disturbance handler b. Resource allocator c. Leader d. Lia
    6·1 answer
  • Interest groups will fight to protect and extend existing social arrangements when they are viewed as beneficial to their member
    13·1 answer
  • At Heritage Chocolates, the raw materials are processed at a plant and then sent to the manufacturing plant. The manufactured ch
    9·1 answer
  • Amy wants to invest money for two years. She doesn’t know which investment is best for her. What should Amy do?
    7·1 answer
  • Allison bought a bond when it was issued by ABC Corporation 20 years ago. The bond, which has a $1,000 face value and a coupon r
    15·1 answer
  • If you are e-filing your tax returns, explain why it is beneficial to file your federal and state taxes through the same e-filin
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!