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
VMariaS [17]
3 years ago
8

Troy will receive $7,500 at the end of Year 2. At the end of the following two years, he will receive $9,000 and $12,500, respec

tively. What is the future value of these cash flows at the end of Year 6 if the interest rate is 8%?a. $36.121.08.b. $38,418.80.c. $32,90767.d. $39,010.77.e. $33,445.44.
Business
1 answer:
lakkis [162]3 years ago
5 0

Answer:

Total FV= $36,121.08

Explanation:

Giving the following information:

Cash flows:

Cf2= $7,500

Cf3= $9,000

Cf4= $12,500

Interest rate= 8%

<u>To calculate the future value, we need to use the following formula on each cash flow:</u>

<u></u>

FV= PV*(1+i)^n

Cf2= 7,500*(1.08^4)= 10,203.67

Cf3= 9,000*(1.08^3)= 11,337.41

Cf4= 12,500*(1.08^2)= 14,580

Total FV= $36,121.08

You might be interested in
Your job includes ordering phone service for new employees. You are considering two phone plans. The first plan charges $23.35 p
BabaBlast [244]

Answer:

$34.68

Explanation:

The total cost by following the first plan will be the charge per months times  12 months

= $23.35 x 12

= $280.2

The total cost from the second plan will be the cost of the first three months at  $14.99 plus the cost of 9 months at $29.99

=($14.99 x 3) + ($29.99 x 9)

=$44. 97 +$269.91

=$314.88

The first plan is the better deal. It will save

= $314.88 - $280.2

=$34.68

5 0
3 years ago
QUESTION 8 of 10: What is the margin on an item that is marked up 100%?
Anettt [7]
The margin would be 50% for the 100%
6 0
3 years ago
Issuers of coupon bondsmake a single payment of principal when the bonds matures, but multiple payments of interest over the lif
qaws [65]

Answer:Make a single payment of principal when the bonds matured but multiple payment of interest over the life of the bond.

2.0600

Explanation:

Bonds normally has a life of span from one upward for which interest will be paid to the investors as compensation for use of their fund and the principal sum will be refunded on the expiration of the bond life.

The return on a bond is fixed as specified in the bond contract the inability to make payment as at when due may not affect the return obtainable from the bond initial contract.

3 0
3 years ago
Why are student loans usually guaranteed by the government?
Ksenya-84 [330]

Answer: Banks don't have any collateral for student loans

Explanation:

Students loans are the loans that are collected by the students so that they can be able to finance higher education. The loans can be gotten from private lenders such as bdnkd or by the government.

Student loans usually guaranteed by the government due to the fact that banks do not have any collateral for student loans but such students can be traced by the government in the case of default on the student's part.

Therefore, the correct option is D.

3 0
3 years ago
Break-Even for a Service Firm Jonah Graham owns and operates The Green Thumb Company (GTC), which provides live plants and flowe
kenny6666 [7]

Answer:

The company should provide, in average, 90 jobs per month in order to break even.

Explanation:

We will assume that the variable costs are proportional to the quantity and thus VC=a*Q

the profit obtained is

profit = P*Q  , (Price [$/job] * Jobs sold [jobs])

and the total costs are

total costs= FC+VC = FC + a*Q , FC=fixed costs

in order to break even the quantity sold should be enough to cover all costs, therefore

profit = total costs

P*Q = FC + a*Q → Q= FC/(P-a)

thus

Q= FC/(P-a) = $3240 / ($60/job - $24/job) = 90 jobs

5 0
3 years ago
Other questions:
  • Doyle Company issued $390,000 of 10-year, 8 percent bonds on January 1, Year 2. The bonds were issued at face value. Interest is
    14·1 answer
  • Can someone tell me if this answer is correct? I’ll give you brainliest points
    6·1 answer
  • J&amp;E Enterprisesi s considering and investment which produces no cash flows for the first year. In the second year, the cash
    7·1 answer
  • As long as total utility is increasing, we know that marginal utility is:
    9·1 answer
  • DLW, Inc just started its business. DLW purchased factory equipment for $800,000 on January 1. It is estimated that the equipmen
    7·1 answer
  • Juanita receives her paycheck and knows that her gross pay and federal tax are correct. Using the fact that Social Security tax
    9·1 answer
  • In the Sender Message Channel Receiver (SMCR) model, the ______ is the large, bureaucratic organization that produces messages.
    9·1 answer
  • The owners of abc, inc. may expect to be paid a share of the profits of the company. these payments to owners are called:
    10·1 answer
  • Employees must learn to cope with<br>temporariness by<br>=Understanding change ​
    15·1 answer
  • The three parts of an income statement heading are _____.
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!