Answer:
A. $38,500
Explanation:
The net present value is the present value of after tax cash flows from an investment less the amount invested.
Npv can be calculated using a financial calculator.
Cash flow in year 0 = $-190,000
Cash flow each year from 1 to 3 = $75,000
Cash flow in year 4 = $75,000 + $25,000 = $100,000
I = 15%
NPV = $38,417.21
To find the NPV using a financial calacutor:
1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.
2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.
3. Press compute
I hope my answer helps you
Answer:
The gain on retirement = $4,600
Explanation:
The gain or loss on retirement = Carrying Value of the Bonds - Call price of the Bonds
The gain or loss on retirement = $111,100 - $106,500
The gain on retirement = $4,600
Note: Par value will not be taken for the calculation of the above
Answer:
The above statement is<u> true</u>.
Explanation:
As said in above statement , A will is the final declaration of how person desires to have her or his property disposed of after death and must follow exactly the requirements of state law to be effective. A will is good , as it express your feelings , that to whom you want to give your property after your death . It is always provided to that person you choose.
It protect your children from become homeless after your death. It also protect your property from being contested. A will is only valid if it is having number of years after the persons death.
A will should not include future plans, gifts and request , life insurance etc.
