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3 years ago

7

Cromwell enterprises is acquiring athens, inc. for $899,000. athens has agreed to accept annual payments of $210,000 at an inter

est rate of 8.5 percent. how many years will it take cromwell enterprises to pay for this purchase

1 answer:

Mumz [18]3 years ago

6 0

5.55 years

I/Y: 8.5
PV: 899000
PMT: -210000
FV:0

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When a producer offers a prospective insured a portable dishwasher as a bonus for purchasing a policy, he/she could be guilty of

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Answer:

The correct answer to the following answer will be Rebating.

Explanation:

Rebating: It is a manner to get potential insurance customers to purchase the insurance product by returning their money to the broker or agent. The insurance company can even offer premium or even donation discounts. Insurance regulators do not find this to be a good exercise since unfair competition can grow and insurance insolvency can occur.

Therefore, Rebating is the correct answer.

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3 years ago

On January 1, 2020, Mirada, Inc. issued five year bonds with a face value of $100,000 and an annual stated rate of 8%. Interest

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Answer:

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Explanation:

Given:

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Computation:

Interest payment = $100,000 x 8%

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Interest expense = $108,425 x 6%

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3 years ago

Your bank account pays an interest rate of 8 percent. You are considering buying a share of stock in XYZ Corporation for $110. A

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Your bank account pays an interest rate of 8 percent. You are considering buying a share of stock in XYZ Corporation for $110. After 1, 2, and 3 years, it will pay a dividend of $5. You expect to sell the stock after 3 years for $120. Is XYZ a good investment-This statement is False

Explanation:

Your bank account pays an interest rate of 8 percent. You are considering buying a share of stock in XYZ Corporation for $110. After 1, 2, and 3 years, it will pay a dividend of $5. You expect to sell the stock after 3 years for $120. Is XYZ a good investment

The above statement is false, since it is a bad investment because after figuring out the stock's value you get $108.15, which is less than what you initially paid for it.

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3 years ago

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mamaluj [8]

Answer:

Semi-strong form efficiency.

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Semi-strong form efficiency contends that security prices have factored in publicly-available market and that price changes to new equilibrium levels are reflections of that information. It is considered the most practical of all Efficient Market Hypothesis(EMH) hypotheses but is unable to explain the context for material nonpublic information (MNPI). It concludes that neither fundamental nor technical analysis can be used to achieve superior gains and suggests that only MNPI would benefit investors seeking to earn above average returns on investments.

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3 years ago

Assume that the banking system has total reserves of $100 billion. Assume also that required reserves are 10 percent of checking

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Answer:

The money multiplier and money supply for this banking system is 10 and $1,000 billion respectively

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The computation of the money multiplier and the money supply is shown below:

As we know that

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So, the money supply is

= Total Reserves × Money Multiplier

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