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SashulF [63]
3 years ago
8

You buy an annuity which will pay you $12,000 a year for ten years. The payments are paid on the first day of each year. What is

the value of this annuity today at a 7% discount rate?
Business
1 answer:
Kruka [31]3 years ago
7 0

Answer:

PV of annuity due = $90,182.8 (Approx.)

Explanation:

Given:

Payment per year = $12,000

Number of year = 10

Interest rate = 7% = 0.07

Find:

PV of annuity due

Computation:

PV of annuity due = P + P[{1-(1+r)⁻⁽ⁿ⁻¹)/r]

PV of annuity due = 12,000 + 12,000[{1-(1+0.07)⁻⁽¹⁰⁻¹)/0.07]

PV of annuity due = $90,182.8 (Approx.)

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In industries where international competition is so fierce and the costs of competing on a global basis are so high that only a
vazorg [7]

Answer:

e. strategic alliance

Explanation:

Strategic alliance -

It refers to a type of mutual agreement between two companies to get mutually benefited by a common project , is referred to as strategic alliance .

It is different from that of a joint venture , where the two individuals merge their resources to start a new project .

But in case of a strategic alliance the agreement between the two parties is not very complex.

The agreement can be short term as well as long term  .

The agreement is signed in order to expand into the new markets .

Hence , from the given information of the question ,

The correct option is e. strategic alliance .

8 0
4 years ago
Suppose gold​ (G) and silver​ (S) are substitutes for each other because both serve as hedges against inflation. Suppose also th
maksim [4K]

Answer:

a) Gold = $1,380; Silver = $1,020

b) Gold = $1,300; Silver = $980

Explanation:

a) At first, with Qg = 60 and Qs = 270, the equilibrium prices for gold and silver are found by solving the following linear system:

P_g = 930-60 +0.50 P_s\\P_s = 600 - 270 + 0.50P_g\\\\-P_s=1740 -2P_g\\P_s = 330+ 0.50P_g\\P_g = 1,380\\P_s = 1,020

Equilibrium price of gold is $1,380 and the price of silver is $1,020.

b) If the supply of gold increases to 120, since the goods are substitutes, there will be an increase in overall supply and the equilibrium price of gold and silver will decrease as follows:

P_g = 930-120 +0.50 P_s\\P_s = 600 - 270 + 0.50P_g\\\\-P_s=1620 -2P_g\\P_s = 330+ 0.50P_g\\P_g = 1,300\\P_s = 980

Equilibrium price of gold is $1,300 and the price of silver is $980.

8 0
3 years ago
One potential risk of social networking for businesses is embarrassment due to
kow [346]

One potential risk of social networking for businesses is embarrassment due to employees making innapropriate posts. Social networking allows poeple to connect with one another through an online opportunity. Due to the nature of what they are able to view and post about, they should make sure everything stays relevant to work and how they would handle themselves in a work and networking setting.

6 0
3 years ago
In terms of the tax formula applicable to individual taxpayers, which of the following statements, if any, is correct?
creativ13 [48]

Answer:

The correct answer is a. In arriving at taxable income, a taxpayer must choose between the standard deduction and itemized deductions.  

Explanation:

In tax law, the tax base is the magnitude that results from the measurement of the taxable event. It is defined as the dimension or magnitude of an element of the objective budget of the taxable event that is judged as determining the relative contributory capacity.

In tax legal relations, the taxable event shows the existence of an economic capacity in the subjects, but for the tax to be applied, this fact must be assessed in some way, usually in monetary units.

The tax base is ultimately the magnitude that is used in each tax to measure the economic capacity of the subject, such that it is reflected in ceilings.

7 0
4 years ago
When consumers start searching for ways to satisfy needs, their internal search is characterized by A. consulting close friends
Leto [7]

Using the Internet to find what other consumers feel about a specific product or service is the  internal search is characterized, When consumers start searching for ways to satisfy needs.

<h3>How internet is helpful in finding out about things?</h3>

Internet is very useful in many ways for the consumers, some of them are-

  • It facilitates the person in viewing the reviews of the other person's views on the specific things
  • it helps in finding out the best things that a person suits for them
  • It provides easy ecommerce service From which a person can buy things.
  • It provides easy return, if something is not appropriate to use.

Thus, option E is correct.

For more details about internet is helpful, click here:

brainly.com/question/14301714

#SPJ1

7 0
2 years ago
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