The answer to the question above is "a. This transaction will decrease Korey’s gross monthly profit by $625" based on Korey's financial situation above. Korey has purchased the $625 assortment of comic however he will not receive his new additional comics until last month. This transaction will increase his cost of good sold and decrease his gross profit.
M = 4
n = 1
If you substitute in your values, you can see that 4 + 1 = 5
And 4 - 1 = 3
Hope this helped :)
Answer:
Present value = $4,122.4
Accumulated amount = $4,742
Step-by-step explanation:
Data provided in the question:
Amount at the Start of money flow = $1,000
Increase in amount is exponentially at the rate of 5% per year
Time = 4 years
Interest rate = 3.5% compounded continuously
Now,
Accumulated Value of the money flow =
The present value of the money flow =
=
=
=
= 1000 × [70.7891 - 66.6667]
= $4,122.4
Accumulated interest =
=
= $4,742