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statuscvo [17]
2 years ago
11

Ransport Company has made an investment in another company that will guarantee it a cash flow of $37,250 each year for the next

five years. If the company uses a discount rate of 15 percent on its investments, what is the present value of this investment?
Business
1 answer:
ExtremeBDS [4]2 years ago
5 0

Answer:

PV= $124,867.78

Explanation:

Giving the following information:

Cash flow= $37,250

Discount rate= 15%

Number of periods= 5 years

<u>To calculate the present value, we need to use the following formula:</u>

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

PV=  37,250*{(1/0.15) - 1/[0.15*(1.15^5)]}

PV= $124,867.78

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Three (3) State taxes and briefly describe each
siniylev [52]
The three state taxes are what you earn, taxes on what you buy, and taxes on what you own.

Earn: individual income taxes, corporate income taxes, payroll taxes, and capital gains taxes;

Buy: sales taxes, gross receipts taxes, value-added taxes, and excise taxes;

Own: property taxes, tangible personal property taxes, estate, and inheritance taxes, and wealth taxes.
8 0
3 years ago
"A 5 year 3 1/2% Treasury Note is quoted at 98-4 - 98-9. The note pays interest on Jan 1st and Jul 1st. A customer buys 5M of th
UkoKoshka [18]

Answer:

$4,914.06

Explanation:

Calculation for how much will the customer pay by disregarding commissions and accrued interest

The 5M which the customers used to buy the notes means that the customer is buying $5,000 par value of the notes.

Take note that the capital letter M in Latin means for $1,000.

Therefore the customer will have to buy at the ask price of 98 and (9/32nds =0.28125) which means that 98%+0.28125 will gives us 98.28127.

Now let calculate for how much will the customer pay by disregarding commissions and accrued interest

98.28125% * $5,000 par

= $4,914.06

Therefore the amount that the customer pay by disregarding commissions and accrued interest will be $4,914.06

3 0
3 years ago
Kevin has deposited money into a savings account. Choose the correct terms to complete each sentence. Kevin deposits $100 into a
lesya692 [45]

Answer

In series, the answer of 'this is his' is:

  1. Principal Amount
  2. Interest
  3. Total amount
  4. Compound interest

Explanation:

  1. Kevin deposit $100 in a savings bank account, this is his principal. Principal is the initial amount that a person deposit in his account.
  2. Kevin's money earn 5 percent. the $5 he earn is the interest. Interest is the earning that a person earn on the overall amount deposited.
  3. Kevin's money worth is $105, this is his total accrued amount. Acquired amount= Principal + Interest
  4. The interest Kevin earn in first year is the interest in subsequent years. this is called compound  interest.

4 0
3 years ago
Six-year-old julie performs on an intelligence test at the same level as an average 8-year-old. julie's mental age is
docker41 [41]

Julie’s mental age is 8 years old. Mental age is the age of a person based on his or her intelligence. Mental age is computed based on the result of the intelligence test and the psychologist assessment to the person. 

6 0
3 years ago
How,in practice,is cost-benefit analysis of public goods,such as city-funded fireworks displays,usually carried out?
V125BC [204]

Answer:

C) through public elections of local officials

Explanation:

The Cost–benefit analysis is also sometimes known as the benefit–cost analysis. It is the systematic approach in estimating the weaknesses and the strengths of the alternatives that is used to determine the options which provides the best method or approach to achieve the benefits while preserving a savings.

It is used to maximize the social welfare. It is for the optimal quantity of any public good. The cost benefit analysis of the public goods like the firework displays should be carried out by a public election of the local officials.

3 0
2 years ago
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