HELP HELP HELP 10 POINTS

Future Value of Annuity. Twins Jessica andJoshua, both 25, graduated from college andbegan working in the family restaurant busi

pav-90 [236]

Answer:

Jessica will have $611,816.70 at retirement.

Explanation:

a) Data and Calculations:

Jessica:

Annual contribution in IRA for 10 years = $2,000

Retirement age = 65 years

Interest rate per year = 10%

Annuity value for investing $2,000 annually is $35,062.33

FV (Future Value) $35,062.33

PV (Present Value) $13,518.05

N (Number of Periods) 10.000

I/Y (Interest Rate) 10.000%

PMT (Periodic Payment) $2,000.00

Starting Investment $0.00

Total Principal $20,000.00

Total Interest $15,062.33

Amount received after investing $35,062.33 for 30 years.

Using an online finance calculator:

FV (Future Value) $611,816.70

PV (Present Value) $35,062.33

N (Number of Periods) 30.000

I/Y (Interest Rate) 10.000%

PMT (Periodic Payment) $0.00

Starting Investment $35,062.33

Total Principal $35,062.33

Total Interest $576,754.37

7 0

3 years ago

Dustup, a cleaning products company, was trying to revive its old wood floor waxing product. It began offering an augmented serv

mylen [45]

Answer:

Dustup forgot to the consumers if the add-on will give them more satisfaction from using their product.

Explanation:

The market is always king. Getting first-hand information about what consumers need and how they need it is the best way to go about creating a product or modifying an existing one to become more profitable.

The removal of the brochures from the bottles showed that shoppers didn't necessarily want their product. What they wanted was to be able to make contact with the company and get more information on how to revive their old wooden floors.

Cheers!

7 0

3 years ago

Safeway, publix, and other supermarket chains offers all types of foodstuffs as well as a variety of nontraditional goods and se

Vikki [24]

Diversifying. It is so that they can tap into other markets.

8 0

3 years ago

Big Tree Lumber has earnings per share of $1.36. The firm's earnings have been increasing at an average rate of 2.9 percent annu

GalinKa [24]

Answer:

The firm's PEG ratio is equal to 5.93

Explanation:

A valuation metric for determining the relative trade-off between the price of a stock, the earnings generated per share (EPS), and the company's expected growth are referred to as the 'PEG ratio' (price/earnings to growth ratio).

Generally, a company with a higher growth rate would have a higher P/E ratio.

PE ratio = Stock price/EPS

= 23.4/1.36

PE ratio = 17.205

PEG ratio = PE ratio/ Earning growth ratio

= 17.205/2.9

PEG ratio = 5.93

3 0

3 years ago

In previous years, Cox Transport reacquired 2 million treasury shares at $22 per share and, later, 1 million treasury shares at

Hoochie [10]

Answer:

24 million shares ; $16 million

Explanation:

The computation of the weightage number of treasury shares are shown below:

Number of shares Price Total

2 $22 $44 million

1 $28 $28 million

Total 3 $72 million

So, the weighted average number of shares would be

= $72 ÷ 3 = 24 million shares

Now the journal entry would be

Cash A/c Dr $64 million (2 million treasury shares × $32)

To Paid in capital - share repurchase A/c $16 million

To Treasury stock $48 million (24 million treasury shares × $2)

(Being the treasury shares are sold)

4 0

3 years ago