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seropon [69]
3 years ago
7

mark and kate are establsihing a fund for their son's college education. what lump sum must they deposit in an account that give

s 5% annual interest rate, compounded monthly, in order for them to have $85,000 in the fund at the end of the 10 years
Business
1 answer:
Elan Coil [88]3 years ago
8 0

Answer:

$51,608.69

Explanation:

Given that

Interest rate = 5%

Future value = $85,000

Time period = 10 years

So by considering the above information, the Present value is

= Future value ÷ (1 + interest rate)^time period

where,

Future value = $85,000

Interest rate = 5% ÷ 12 months = 0.4166%

Time period = 10 years × 12 months = 120 months

Now the present value is

= $85,000 ÷ (1 + 0.4166%)^120

= $51,608.69

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Suppose that a museum of modern art discovers the following: adults are willing to pay $20 per ticket to see a Monet exhibit. St
padilas [110]

Answer:

50%

Explanation:

From the question we have here

If adults would pay 20$

Out of a 100% students:

60% would pay 15

40% would pay 10

If regular price = 20$

We are required to find discount

Discount = (20 - 10)/20 x 100

Discount = 0.5 x 100

Discount = 50%

The museum should offer 50percent discount.

6 0
3 years ago
A. True
timurjin [86]
<span>FALSE.  You must carry insurance on motorcycles as well as cars. </span>
8 0
3 years ago
Read 2 more answers
Which of the following are the three characteristics that an advertising appeal should have? A. humorous, memorable, and interes
mihalych1998 [28]

Answer: (E) Meaningful, believable, and distinctive

Explanation:

  The advertising appeal is one of the type of communication process in which the the various types of organizations and the companies using this business strategy for promoting their brands and the products in the market.

 The main objective of the advertising appeal is to creating awareness and inform customers or users about the new brands, various types of products and the services in the market.  

 According to the given question, there are mainly three type of characteristics of the advertising appeal that are as follows:

  1. Meaningful
  2. Distinctive
  3. Believable  

 The main aim of the meaningful characteristic is to make the product more interesting to the customers by highlighting its various types of meaningful advantages. Distinctive makes the product unique from all the products available in the market and believable appeal ensure the customer about the accurate delivery of the products.

 Therefore, Option (E) is correct answer.

6 0
3 years ago
Current operating income for Bay Area Cycles Co. is $34,000. Selling price per unit is $100, the contribution margin ratio is 25
leonid [27]

Answer:

break even point in unit =5440 units

break even point in sales = $544000

total sale = $680000

Explanation:

given data

Current operating income = $34,000

Selling price = $100

margin ratio = 25%

to find out

Bay Area Cycle’s break even point in units and total sales dollars

solution

we get here first break even point that is express as

break even point in unit =  \frac{fixed\ cost}{contribution\ per\ unit}   ..................1

break even point in unit =  \frac{136000}{100*0.25}

break even point in unit =5440 units

so

break even point in sales =  \frac{fixed\ cost}{margin\ ratio}   ..................2

break even point in sales = \frac{136000}{0.25}

break even point in sales = $544000

and

total sales will be

total sale =  \frac{operating\ income+ fixed\ expense}{margin\ ratio}   ..................3

total sale =  \frac{34000+136000}{0.25}

total sale = $680000

3 0
3 years ago
Wendell Company provided the following pertaining to its recent year of operation:• Common stock with a $10,000 par value was
den301095 [7]

Answer:

Option (D) $27,000

Explanation:

Data provided in the question:

Cash dividends declared = $20,000

Dividends paid = $15,000

Net income = $70,000

Market value of the stock dividend = $23,000

Treasury stock = $9,000

Selling cost of the treasury stock = $7,000

Now,

Retained earnings increase during the recent year of operation will be

= Net income - Cash dividends declared - Market value of the stock dividend

= $70,000 -  $20,000 - $23,000

= $27,000

Hence,

Option (D) $27,000

3 0
3 years ago
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