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
yarga [219]
3 years ago
12

Silver Springs Company has an unfunded retiree health care plan. Each of the company's four employees has been with the organiza

tion since its inception at the beginning of 2020. As of the end of 2021, the actuary estimates the total net cost of providing benefits to employees during their retirement years to have a present value of $196,000. Each of the employees will become fully eligible for benefits after 28 more years of service, but aren't expected to retire for 30 more years. The interest rate is 8%. Required: 1. What is the expected postretirement benefit obligation at the end of 2021? 2. What is the accumulated postretirement benefit obligation at the end of 2021?
Business
1 answer:
Anettt [7]3 years ago
6 0

Answer:

1. The expected post-retirement benefit obligation at the end of 2021 is $196,000, the present value of total net costs of providing health care benefits.

2. Calculation of the accumulated post-retirement benefit obligation at the end of 2021 is as below:

APBO = EPBO * Full eligibility period / Attribution period

APBO = $196,000 * 2 / (2+28)

APBO = $196,000 * 2/30

APBO = $13066.66666666667

APBO = $13,066.67

Thus, accumulated post-retirement benefit obligation at the end of 2021 is $13,066.67.

You might be interested in
Each business day, on average, a company writes checks totaling $13,200 to pay its suppliers. The usual clearing time for the ch
MrMuchimi

Answer:

A. Disbursement Float $53,800

Collection Float $47,600

Net Float $6,200

B. Disbursement Float $53,800

Collection Float $23,800

Net Float $30,000

Explanation:

A. Calculation for the company’s disbursement float, collection float, and net float.

Calculation for Disbursement Float using this formula

Disbursement Float = Average amount of check* Time to clear

Let plug in the formula

Disbursement Float= $13,200*4 days

Disbursement Float= $53,800

Calculation for Collection Float

Collection Float =($23,800*2days)

Collection Float = $47,600

Calculation for Net Float using this formula

Net Float = Disbursement Float + collection Float

Let plug in the formula

Net Float= $53,800-$47,600

Net Float= $6,200

Therefore the company’s disbursement float, collection float, and net float will be:

Disbursement Float $53,800

Collection Float $47,600

Net Float $6,200

B.Calculation to determine what would be the company's disbursement float, collection float, and net float If the collected funds were available in one day instead of two

Calculation for Disbursement Float using this formula

Disbursement Float = Average amount of check* Time to clear

Let plug in the formula

Disbursement Float= $13,200*4 days

Disbursement Float= $53,800

Calculation for Collection Float

Collection Float =($23,800*1 days)

Collection Float = $23,800

Calculation for Net Float using this formula

Net Float = Disbursement Float + collection Float

Let plug in the formula

Net Float= $53,800-$23,800

Net Float= $30,000

Therefore what would be the company's disbursement float, collection float, and net float If the collected funds were available in one day instead of two will be:

Disbursement Float $53,800

Collection Float $23,800

Net Float $30,000

7 0
2 years ago
Which of the following is not true about the law of diminishing returns? It is a short run phenomenon. It refers to diminishing
Natasha2012 [34]

Answer:

All of the above are true.

Explanation:

The law of diminishing returns was first formulated by the classic economist David Ricardo. It presupposes a technical relationship between input and output, which is not scientifically demonstrable but only empirically. In practice, in a generic production system, at any contribution of any factor, that is, land, labor, capital, machines, etc. there is no proportionally increasing production increase.  

Normally it is assumed that the law does not always come into operation but only when the variable input exceeds a certain threshold. For example, the increase of workers on an assembly line certainly allows a proportional increase in production, but only until the entire system begins to suffer from malfunctions due to logistics or work organization, precisely because of the its getting bigger. Large industrial plants have shown that they must be divided into sections, however coordinated, precisely because of the decreasing returns. This is because the increase in the number of workers and the mass of the plants does not correspond to a consequent increase in production.

3 0
3 years ago
International trade-dependent jobs have grown at a rate three times the growth of U.S.-dependent jobs.
HACTEHA [7]

Answer: True

Explanation:

International trade is simply exchange of goods and services that take place between countries. It should be noted that gloabl trading gives the countries and the consumer opportunity through which they're exposed to the produfte that they don't have in their countries.

International trade-dependent jobs have grown at a rate three times the growth of U.S.-dependent jobs.

This is True

3 0
3 years ago
Ginocera Inc. is a designer, manufacturer, and distributor of custom gourment kitchen knives. A new kitchen knife series called
skad [1K]
To start of you need to divide them all by an equal number then subtract find the common variable multiple then and then ya
7 0
3 years ago
Which statement best describes the difference between a market and traditional economy
icang [17]

Answer:  in a traditional economy, decisions are based on habit and custom

Explanation:

4 0
1 year ago
Other questions:
  • In an imaginary economy, consumers buy only sandwiches and magazines. The fixed basket consists of 20 sandwiches and 30 magazine
    6·1 answer
  • ___ requires creditors to provide borrowers with a complete written account of credit terms and costs.
    7·1 answer
  • When addictions escalate and the individual loses his or her job or drops out of school?
    5·1 answer
  • Three salesmen worked for Sentient Jet, a small luxury airline charter service. They signed a noncompete agreement, promising no
    15·2 answers
  • "the two best times to keep your mouth shut are when you're swimming and when you're angry."
    5·1 answer
  • Japan and russia disagree over ownership of which islands?
    13·1 answer
  • If Jane Brown closes her account at the First National Bank and uses the money instead to open a money market mutual fund​ accou
    5·1 answer
  • 3) What is the present value of $1000, received at the end of 4 years of investment, with a discount rate of 4%?
    8·2 answers
  • ________ policies refer to government programs designed to exploit natural comparative advantage by increasing production of a f
    8·1 answer
  • Hakeem wants to diversify his investment portfolio. He wants an asset with
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!