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navik [9.2K]
3 years ago
14

13. You just won a prize that comes with two payout choices. The first option is to get $100,000 right now and nothing hereafter

. The second option is to get $94,000 right now and $10,000 three years from now (and nothing after that). If your discount rate is 8%, which should you take?
Business
1 answer:
babymother [125]3 years ago
8 0

Answer:

C.second option

Explanation:

The computation is shown below

The present value of option 1 is $100,000

And, the present value of option 2 is

= $94,000 + $10,000 × Present value of discounting factor(8%,3)

= $94,000 + ($10,000 ÷ 1.08^3)

= $101,938.32

So as we can see that the option 2 has the highest present value so the right option is c.

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Company X denominated a December 1, 20X9, purchase of goods in a currency other than its functional currency. The transaction re
Lina20 [59]

Answer:

Be included as a component of income from continuing operations for 20X9

Explanation:

To find out the correct balance of income from continuing operations, we have to add the loss as the loss is added in the income from continuing operations.  

Moreover, in this question the golden rule of accounting applies which says:

Debit all losses and expenses and credit all income and gains which apply in the nominal account that record any type of transactions. example - sales account, purchase account, etc.

3 0
3 years ago
Horatio can produce either a combination of 15 bird houses and 25 wind chimes or a combination of 30 bird houses and 15 wind chi
romanna [79]

Answer:

So 10 wind crimes has an opportunity cost 15 bird houses

or 1.5 per unit.

Explanation:

The opportunity cost is the cost of the goods it could been produced instead of the current output.

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When Horatio moves to 25 from 15 wind chimes his bird house production fall to 15 from 30 Therefore, it decreases by 15

So 10 wind crimes has an opportunity cost 15 bird houses

we can do this metric by unit:

15/10 = 1.5 each additional wind chimes cost 1.5 bird house.

4 0
3 years ago
Which of the following acts allows employees to file a wage discrimination complaint within 180 days of their last paycheck? A.
Feliz [49]

Answer:

The correct answer is letter "C": Lilly Ledbetter Fair Pay.

Explanation:

The Lilly Ledbetter Fair Pay Act of 2009 was signed by <em>President Barack Obama</em> (born in 1961) to replace the Supreme Court rule stating that wage discrimination at work based on age, religion, nationality, race, gender or disability should be reported within 180 days from where the discriminatory activity started. With the Lilly Ledbetter Fair Pay Act, employees suffering from these attacks have up to 180 days after their last paycheck to file the report.

According to the Bureau of Labor and Statistics (BLS), women in the U.S. earn $0.79 for every $1 men make.

5 0
4 years ago
Herbert gained most of the capital for his new start-up project by posting a small demonstration of his product on a website tha
Musya8 [376]

Answer:d. was able to fund his project through seed money.

Explanation:Seed money is the money given to someone so that they can start their business venture , it is called a seed money because it is like planting a seed knowing that you will enjoy the fruits of its growth. People who give an entrepreneur this money help him or her get a start up capital whilst they also have hope that they would be part of his or her success and likely get the return as their investment in the future.

5 0
3 years ago
Buffalo Inc reported sales revenue for 2017 and $906,000 their products are sold within nine months warranty .Members of Buffalo
erma4kov [3.2K]

Answer: Debit to warranty payable the actual amount paid out as a result of warranty claims

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In recording a warranty payable, a debit is made to warranty expenses account and a credit to warranty payable account.

When the actual warranty claim is paid, the warranty payable account is debited while cash or bank account is credited to record the actual amount paid.

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4 years ago
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