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
NARA [144]
3 years ago
8

You would like to have enough money saved to receive $80,000 per year in perpetuity after retirement for you and your heirs. How

much would you need to have saved in your retirement fund to achieve this goal
Business
1 answer:
scoray [572]3 years ago
8 0

Answer:

$1,000,000

Explanation:

The full question is shown below:

You would like to have enough money saved to receive $80,000 per year in perpetuity after retirement for you and your heirs. How much would you need to have saved in your retirement fund to achieve this goal? (Assume that the perpetuity payments start one year from the date of your retirement. The annual interest rate is 8 percent.)

In order to receive $80,000 per year forever, one needs to save the present value of the annual  cash flow using the present value formula for perpetuity as provided below:

PV of perpetuity=annual cash flow/annual interest rate

PV of perpetuity=$80,000/8%

PV of perpetuity=$1,000,000

You might be interested in
If Wesley Corporation has 80,000 shares of common stock authorized. 50,000 shares of common stock issued, and holds 12,000 share
Vesna [10]

Answer: E. 18,000

Explanation:

Wesley Corporation has 80,000 shares of common stock authorized. This the total amount of common stock that is available for sale by the company.

Only 50,000 shares of common stock were issued and 12,000 shares of common stock as held as treasury stock.

Then the total number of outstanding shares of Wesley Corporation amounts to 80,000 - 50,000 - 12,000 = 18,000

5 0
4 years ago
1.What three factors determine the demand for a product?
Delvig [45]

incomes of the people

the number of customers in the market

advertisement

3 0
3 years ago
Two foreign companies want to trade shares of their stock on u.s. stock exchanges. one company follows ifrs but the other compan
Svetach [21]

Answer;

-A foreign company that wants to have their shares traded on U.S. stock exchanges who uses accounting practices that comply with IFRS

Explanation;

Financial Accounting Standards Board (FASB) is the primary accounting standard-setting body in the United States. Generally accepted accounting principles (GAAP) is a set of accounting standards that have substantial authoritative support and which guide accounting professionals.

-FASB goal is to provide leadership for public companies in establishing and improving the accounting methods used to prepare financial statements. The FASB has the authority to set, but not enforce, accounting standards. Enforcement falls under the jurisdiction of the SEC. The FASB takes recommendations from the SEC and the AIPA when devising or improving standards; however, it is not required to.

3 0
3 years ago
How long is training for an animal control officer
Bogdan [553]
<span>Accelerated certificate programs may take 1-2 weeks to complete
Must be 18 or older</span>
5 0
4 years ago
Read 2 more answers
A. trade-off<br>B. investment<br>C. frontier<br>D. growth ​
disa [49]

Answer:

The answer is "Option C"

Explanation:

The curve on the graph is also known as the arc, which is used in the connected mixture of perceptual lines to three additional lines in standard dual points. The Frontier production options is a nice graph of all the various output mixture of different products which can be produced utilizing existing techniques and knowledge.

3 0
3 years ago
Other questions:
  • Which of the following statements is definitely true when price is less than average total cost for a firm producing the profit-
    8·1 answer
  • A(n) ________ is an early user of a firm's product who is willing to give a testimonial regarding his or her experience with the
    13·1 answer
  • The rental real estate exception favors: A. lower-income taxpayers (AGI less than $80,000). B. middle-income taxpayers (AGI grea
    11·1 answer
  • You decided to buy apples at a grocery store somewhere in the mountains. You buy 5 pounds of apples, which are sold for $1.99/lb
    7·1 answer
  • To create a balanced budget one must make sure too
    7·1 answer
  • B. Panuto: Isulat sa patlang kung ano ang tinutukoy sa pangungusap.
    13·1 answer
  • In your opinion, do we need to use a structured decision making model to make decisions in business.
    10·1 answer
  • Which inventory costing method generally results in the most recent costs being assigned to ending inventory?
    14·1 answer
  • If the united states government lowers the income taxes on the wealthiest americans, while decreasing welfare payments to the po
    12·1 answer
  • Fiberone cereal costs about the same as apple jacks, boo berry, multigrain cheerios, cinnamon toast crunch, crispix, and corn fl
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!