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
lyudmila [28]
3 years ago
14

You win the lottery and must decide how to take the payout. Use a 10​% discount rate. What is the present value of $ 12 comma 00

0 a year received at the end of each of the next five ​years?
Business
1 answer:
AlexFokin [52]3 years ago
8 0

Answer:

PV= $45,489.44

Explanation:

Giving the following information:

Discount rate= 10%

Cash flow= $12,000

Number of years= 5

First, we need to calculate future value. We will use the following formula:

FV= {A*[(1+i)^n-1]}/i

A= annual cash flow

FV= {12,000*[(1.1^5) - 1]} / 0.1

FV= $73,261.2

Now, the present value:

PV= FV/(1+i)^n

PV= 73,261.2/1.1^5

PV= $45,489.44

You might be interested in
Tomas increased his consumption of potato chips when the price of pistachios increased. For Tomas, potato chips and pistachios a
mixer [17]

Answer: A. substitutes in consumption.

Explanation:

The substitutes in consumption are products that can be replaced by others and satisfy the same desires or the same need. They respond to the buyer's need to consume a product whose price increases or can no longer purchase it.

<em>For example,</em> in this case, Tomas can no longer acquire pistachios (which are a snack) because increased in price, therefore the potato chips are replacing the pistachio as a snack because it is cheaper.

<em>I hope this information can help you.</em>

4 0
3 years ago
Read 2 more answers
A firm in a perfectly competitive market: a.must reduce its price if it wants to sell a larger quantity. b.must be large relativ
mr Goodwill [35]

A firm in a perfectly competitive market: d. must take the price that is determined in the market.

<h3>What is a perfectly competitive market?</h3>

A perfectly competitive market can be defined as a type of market in which there are many buyers and sellers of homogeneous products, and there is free entry and exit in the market.

This ultimately implies that, all business firms in a perfectly competitive market must be willing to take the price that is determined in the market.

Read more on price here: brainly.com/question/11898489

#SPJ1

4 0
2 years ago
The difference between a hospital's established billing rate and the amount paid by a third-party payer is referred to as:______
s2008m [1.1K]

The difference between a hospital's established billing rate and the amount paid by a third-party payer is referred to as contractual adjustment.

Contractual Adjustment is a part of a patient's bill that a doctor or hospital must write-off  because of billing agreements with the insurance company.

A write off is simply the amount that cannot be collected from patient due to several issues.

A contractual adjustment is important because it helps in preventing fraud from occurring in the total amount of the bill.

Learn more about contractual adjustment here;

brainly.com/question/28474224

#SPJ4

4 0
1 year ago
An FHA-insured loan in the amount of $157,500 at 5.5% for 30 years closed on July 17. The first monthly payment is due on Septem
uranmaximum [27]

Answer:

the amount of the interest adjustment is $336.875

Explanation:

The computation of the amount of the interest adjustment is as follows;

= Principal × rate of interest × number of days ÷ total number of days

= $157,500 × 5.5% × 14 days ÷ 360 days

= $336.875

Hence, the amount of the interest adjustment is $336.875

Therefore the given formula is applied

6 0
3 years ago
Which two meta solutions enable businesses to communicate privately and instantly with customers?
Flauer [41]

The two meta solutions that enable people to communicate easily are

  • Face.book
  • What.sapp

<h3>What is meta?</h3>

This is the term that is used to refer to the social media networks that are known by Mark Zuckerberg.

These are the solutions that are known to solve the issues of communication between friends and families over great distances.

These solutions help to make relationships better. They do this by helping to keep communications open and alive.

Read more on social media here: brainly.com/question/13909780

#SPJ1

3 0
2 years ago
Other questions:
  • Net income for the year was $161,511. The beginning net position balances are net investment in capital assets, $585,400; restri
    11·1 answer
  • McGregor allows customers to pay with credit cards. the company charges McGregor 3% of the sale. when a customer uses a credit c
    10·1 answer
  • Middle managers spend most of their time a. on the telephone. b. managing inventory. c. in meetings. d. implementing plans of to
    12·1 answer
  • If the cpi was 95 in 1955 and is 475 today, then $100 today purchases the same amount of goods and services as
    14·1 answer
  • On April 1, 2013, Four Seasons Landscaping, LLC purchased new lawn mowers for $70,000 in cash (total cost). They have a useful l
    5·1 answer
  • List the 6 factors that cause a shift in demand
    5·1 answer
  • Which of the following is an aspect of the Project Life cycle Select one: Value to the business being assessed and product innov
    12·1 answer
  • Rostad Corporation applies manufacturing overhead to products on the basis of standard machine-hours. Budgeted and actual overhe
    8·1 answer
  • At the beginning of the month, the Forming Department of Martin Manufacturing had 17,000 units in inventory, 30% complete as to
    9·1 answer
  • Plz help!!
    8·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!