Answer:
Bond price= = $869.84
Explanation:
Given data:
Face value (F)=$1000
Interest rate (i)=10%
Coupon rate (c)= 7% annually
No of year n = 14
we know that bond price is given as
putting all value to get the desired value
= $869.84
We know he is paid $4,200, and we also know he makes 2% on everything over $50,000. He made $60,000 which is $10,000 over the minimum, so he made 2% of $10,000. Multiply 0.02 times 10,000 and you get 200. We then add 200 to his base pay of 4,200 and we get 4,400.
The answer is B- $4,400.
Hope that helps!
Answer:
d. book value at beginning of year x 2/estimated service life
Explanation:
Duble Declining method of depreciation is a method in which the depreciation is being charged at double rate than in the straight line depreciation method method do. It uses the double amount of carrying book value and estimated useful life. The depreciation charged at a faster rate.
Formula:
Depreciation = Book value of asset at the start of year x 2 / useful life
Answer:
$131,182.029
Explanation:
The computation of the present value of the future payment is shown below:
As we know that
Present Value of Future Payments = Payment made × PVAF factor at 7% for 14 years
where,
Payment made is $15,000
And, the PVIFA factor is 8.7455
Now placing these values to the above formula
So, the present value of the future payment is
= $15,000 × 8.7455
= $131,182.029
Refer to the PVIFA table
Answer:C
Explanation: this quantity is allocatively inefficient because the marginal cost of producing the last lawnmower exceeds the marginal benefit to consumers.
