Answer:
Instructions are listed below
Explanation:
Giving the following information:
Suppose you just bought an annuity with 9 annual payments of $15,400 at the current interest rate of 11 percent per year.
First, we need to determine the final value with the following formula:
FV= {A*[(1+i)^n-1]}/i
A= annual deposit
Then, we can calculate the present value with the following formula:
PV= FV/(1+i)^n
A)i=11%
FV= {15400*[(1.11^9)-1]}/0.11
FV= $218,125.17
PV= 218,125.17/(1.11^9)= $85,270.53
B) i= 6%
FV= {15400*[(1.06^9)-1]}/0.06
FV= $176,966.27
PV= 176,966.27/(1.06^9)= $104,746.06
C) i= 16%
FV= $269,785.02
PV= $70,940.77
False. The stock market is essential to the economy. The Great Depression is a prime example.
Historical returns have generally been higher for stocks of small firms as (than) for stocks of large firms.
<h3>What is
stocks?</h3>
Stock in finance refers to the shares into which a corporation or company's ownership is divided. A single share of stock represents fractional ownership of the firm based on the total number of shares.
A stock is a type of instrument that implies the holder owns a share of the issuing firm and is typically traded on stock markets. Corporations issue stock in order to raise funds to run their enterprises. Stock is classified into two types: common and preferred.
Stocks are ownership stakes in a publicly traded corporation. When you purchase stock in a corporation, you become a part-owner of that company. If a corporation has 100,000 shares and you purchase 1,000 of them, you own 1% of the company.
To know more about stocks follow the link:
brainly.com/question/25818989
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Clearer question;
Tom, who owns a successful business with two locations and a few international clients, was approached by a large organization about dramatically expanding his company. Tom later told his wife that he is happy with his success, but he wants to stay small because if he decides to add new products, small companies ____.
Answer:
<u>3. can get started more easily and maneuver faster</u>
Explanation:
Remember, a small company is officially viewed as one having less than 500 employees.
So, Tom's business qualifies as such, and it is quite true to a large degree that small companies can get started more easily and maneuver faster since they require less staff management.
When total utility starts to decrease, each additional song hurts MORE than the previous song.