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
SpyIntel [72]
3 years ago
12

The Maybe Pay Life Insurance Co. is trying to sell you an investment policy that will pay you and your heirs $25,000 per year fo

rever. If the required return on this investment is 5.8 percent, how much will you pay for the policy
Business
1 answer:
Sati [7]3 years ago
4 0

Answer:

the amount that should be paid for the policy is $431,034.48

Explanation:

The computation of the amount that should be paid for the policy is given below:

Present value of perpetual cash flow = Perpetual cash flow ÷ Rate of return

= $25,000 ÷ 5.8%

= $431,034.48

Hence, the amount that should be paid for the policy is $431,034.48

The same should be considered and relevant

You might be interested in
Please it is pyscology questions please help me with this​
Anestetic [448]

Answer:

not even a little

Explanation:

Ido you know what is physics

6 0
2 years ago
Which margin size is most appropriate for a business card?
yan [13]
3.5 inches because the normal business card is 3.5 in × 2 in 
3 0
4 years ago
Read 2 more answers
A rich relative has bequeathed you a growing perpetuity. the first payment will occur in a year and will be $ 3 comma 000$3,000.
MAVERICK [17]
A. For knowing today's value of the bequest we need to know the period of time.
When the first payment occure and how many payments were made. 
b. Immediate value of bequest is $3,000 After one year it needto be 1.16*3,000=$3,480 Plus the second payment will be 1.04*3,000=$3,120
8 0
4 years ago
Common stock can have which of the following characteristics? It can be:_____.
REY [17]

Answer:

d. shareholder voting rights

Explanation:

Cumulative is characteristic of preferred stock, in that dividend not paid in a year is carried forward and to be paid in the future.

When the  preferred stock is non-cumulative, the dividend not paid in a year is forfeited.

Preferred stock or debenture can be convertible into a known number of common stock in the future.

The characteristic of common stock is that it entitles its holders to vote on certain major decisions.

4 0
3 years ago
Bari Jay, a gown manufacturer, received an order for 600 prom dresses from China. Her cost is $35 a gown. If her markup based on
grin007 [14]
8374 is the answer to this question
6 0
4 years ago
Other questions:
  • Rhonda plans to buy an $85 Father's Day present for her father, and the holiday falls on the third Sunday of June. She can affor
    14·1 answer
  • in the camria company, materials are entered at the beginning of the process. if there is no beginning work in process, but ther
    5·1 answer
  • Explain the reporting requirements for internal service funds and enterprise funds. internal service funds and enterprise funds
    13·1 answer
  • In January 2012, one US dollar was worth 50 Indian rupees. Suppose that over the next year the value of the Indian rupee decreas
    5·1 answer
  • The following are national income account data for a hypothetical economy in billions of dollars: gross private domestic investm
    12·1 answer
  • Some of the transactions of Torres Company during August are listed below. Torres uses the periodic inventory method.
    10·1 answer
  • Presented below are a number of balance sheet accounts of Deep Blue Something, Inc. For each of the accounts below, indicate the
    14·1 answer
  • The following table presents Generic Motors Company's production budget. GM's inventory policy is to have ending inventory equal
    14·1 answer
  • What is the area of the triangle below?<br> 4<br> 18
    12·1 answer
  • Determine a formula for the capacitance in terms of K1 , K2 , the area A of the plates, and the separation d . [Hint: Can you co
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!