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Serga [27]
2 years ago
9

As a result of an injury settlement with your insurance you have the choice between (1) receiving $5,000 today OR (2) $6,500 in

three years. If you could invest your money at 8% compounded annually, which option should you pick
Business
1 answer:
Murljashka [212]2 years ago
8 0

Answer:

option 2

Explanation:

to determine the better option, calculate the present value of option 2. The more suitable option is the option with the higher present value

Present value is the sum of discounted cash flows

Present value = future value / ( 1 + r)^n

r = interest rate

n = number of years

6500 / ( 1.08^3) = 5159.91

the present value of option 2 is higher than that of option 1,, so pick option 2

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Consider the following statements about the step-down method of service department cost allocation: I. Under the step-down metho
WINSTONCH [101]

Answer:

The correct statements under the step-down method are:

a. I, II, and III.

Explanation:

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3 years ago
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Answer: (A) Identify issues that need to be addressed

Explanation:

 According to the given question, on the basis of the Ethical decision framework the first thing that the Garrett should do is to identifying the main issue or problem and then it is need to be addressed so that we can effectively resolve the given problem timely.  

 For promoting the alcoholic beverages, Garrett firstly going thought all the Ethical principle and the practices so that it can help him to make the effective decisions for the purpose of promoting and increase the visibility of alcoholic beverages to the customers or users in the local market.

 Therefore, Option (A) is correct answer.

3 0
3 years ago
All of the following securities are subject to reinvestment risk EXCEPT:(A)Municipal Bonds maturing in one year(B)Non-callable C
Galina-37 [17]

Answer:

(D)U.S. Treasury Bills

Explanation:

T-Bills do not have a reinvestment risk because they cannot be reinvested. They are short-term investment options (usually a year), that do not have regular interest payments like a bond, and whose gain for the investor lies in the value that is paid when the t-bill reaches maturity.

6 0
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2 years ago
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3 years ago
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