Answer:
£718,607
Explanation:
Annuities are investment opportunities that require an initial settlement and gives a series of returns of a fixed amount for a specific number of periods.
In simple terms, the question requires us to calculate the amount to be paid today (Present Value) of an annuity that pays £80,000 per year for the next 10 years.
To establish the [Present Value of the Annuity, the future Cash Flows must be discounted to the Present Value using the appropriate discount rate. In our case, we will use the annual effective interest rate of 2%.
Present Value = PMT × [ 1 - 1/(1+r)^n ÷ r ]
Where,
PMT = £80,000
n = 10
r = 2%
Therefore,
Present Value = £80,000 × [ 1 - 1 / (1.02) ^ 10 ÷ 0.02]
= £718,606.80 or £718,607
Conclusion :
She be willing to pay £718,607 today for the annuity.
For a manufacturing process to be smart instituting employee surveillance and monitoring is very important.
<h3>What is Smart Manufacturing?</h3>
Smart Manufacturing also called CAD/CAM, computer aided design and computer aided manufacturing involves the integration of computer in the production of goods and services.
In recent times the concept of internet of things is being added to smart manufacturing for data collection
Learn more about Smart Manufacturing here:
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Answer:
The correct answer is : Planned Investment Spending
Explanation:
This is the spending which business plans to commit to during a special period of time. It is related to the interest rate. It is done in order to gain capital goods or stock and they are used to speed up the movement of cash in a company. This investment is intended by firms
Answer:
. C) a drop in the foreign exchange value of the dollar.
Explanation:
An aggregate demand curve can be regarded as a curve that display total spending that is available
domestic goods/services with respect to their price level. the horizontal axis provide the real GDP while price level is displayed by vertical axis. It should be noted that The aggregate demand curve would shift to the right as a result a drop in the foreign exchange value of the dollar.
Answer:
D. Limited Partnership
Explanation:
Limited partnership is a form of business where two or more people create an entity and in which the liability of the partners are limited to their initial investment in the business. Limited partnership has benefits of operating a business with combined expertise of two or more people without facing the complex challenges of operating a corporate corporation.
Since Toby and Keith want an a form of entity that is simple enough to operate a business without creating a product, distribute their earnings without retaining them and not having the intention of raising capital from any other investors, they should consider a limited partnership.
Limited partnership will be perfect for their need to only share earnings, and not doing other things that a corporate corporation is known for.