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natita [175]
2 years ago
14

A family starts an education fund for their son Patrick when he is 8 years old, investing $500 on his eighth birthday, and incre

asing the yearly investment by $500 per year until Patrick is 21 years old. The fund pays 6% annual interest. What is the fund’s future worth after the deposit when Patrick is 21?
Business
1 answer:
Bas_tet [7]2 years ago
3 0

Answer:

The fund’s future worth after the deposit when Patrick is 21 is $8,713,691.01.

Explanation:

This can be calculated using the for formula for calculating the future value of a growing annuity as follows:

FW = C * (((1 + r)^n - (1 + g)^n) / (r - g))

Where;

FW = future worth or future value = ?

C = first deposit = $500

r = annual interest rate = 6%, or 0.06

g = growth rate of investment = Yearly investment increase / First deposit = $500 / $500 = 1

n = number of years = 21 - 8 + 1 = 14

Substituting all the values into equation (1), we have:

FW = $500 * (((1 + 0.06)^14 - (1 + 1)^14) / (0.06 - 1))

FW = $500 * ((1.06^14 - 2^14) / - 0.94)

FW = $500 * (2.26090395575443 - 16,384) / -0.94)

FW = $500 * (-16,381.7390960442 / -0.94)

FW = $500 * 17,427.3820170683

FW = $8,713,691.00853415

Rounding to 2 decimal places, we have:

FW = $8,713,691.01

Therefore, the fund’s future worth after the deposit when Patrick is 21 is $8,713,691.01.

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andreyandreev [35.5K]

Answer: Do nothing and continue to monitoring implementation

Explanation:

 According to the given question, in an organization the marketing department notes that the implementation of the positioning strategy in the company increases the average amount of spending as per the transaction that is reduce.

 The main objective of monitoring implementation is that it effectively monitor the ongoing process and also analyzing the given data on the basis of the given situation.  

 In this type of situation the company continues start monitoring implementation as it helps in evaluating the given data or information systematically and measuring the efficiency of the management.

 Therefore, The given answer is correct.  

8 0
3 years ago
The Nellie Company has provided the following information: Operating expenses were $115,000; Gross profit was $629,000; Cost of
mrs_skeptik [129]

Answer:

A) $514,000.

Explanation:

Operating income = Gross profit - Operating expenses

Operating income = $629,000 - $115,000

Operating income = $514,000

6 0
2 years ago
According to Anne Roe’s personality theory of career choice, people choose occupational fields based on their ______________, wh
Gekata [30.6K]

According to Anne Roe’s personality theory of career choice, people choose occupational fields based on their <u>need structures</u>, which were influenced by the childhood environments that they experienced.

<u>Explanation</u>:

Anne Roe’s personality theory of career choice was well explained in her book <u>“Psychology of Occupations”</u>. There are certain factors that influence in deciding the career of a person. The factors are psychology, biology and sociology of a person.

Individuals decide their field of work based on their demands and needs. The childhood experience may also influence the occupation field of the person. Need structure provides the requirement of the person according to their lifestyle and requirements.

4 0
2 years ago
If the MPC is 0.80 and disposable income increases from 32,000 billion to $37,000 billion, then consumption will increase by: A.
horsena [70]

If the MPC is 0.80 and disposable income increases from 32,000 billion to $37,000 billion, then consumption will increase by: B. $29,600 billion.

<h3>Increase in consumption</h3>

Using this formula=Increase in disposable income×MPC

Where:

Increase in disposable income=$37,000

MPC=0.80

Let plug in the formula

Increase in disposable income=$37,000 billion×0.80

Increase in disposable income=$37,000 billion×0.80

Increase in disposable income=$29,600 billion

Therefore consumption will increase by:  B. $29,600 billion.

Learn more about increase in consumption here:brainly.com/question/6955443

<h3 />
8 0
1 year ago
Information in the Financial Statements A financial statement is a summary of all the financial transactions that have occurred
4vir4ik [10]

<em>Here's the remaining part of the question</em><em>:</em>

<em>Please analyze and place each item in the appropriate financial statement to which it belongs;</em>

<em> Revenues, Long-term liabilities, Owner's equity, Insurance expense, Land, Patents, Costs of Goods Sold, Income tax, Advertising expense,  Insurance expense, Net change in cash, Accounts Receivable</em>

<u>Explanation</u>:

1. Balance Sheet: Note that this financial statement usually shows the asset and liabilities of the firm's account for a particular period of time. These items are found:

  • Owner's equity,
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2. Income Statement: this financial statement is primarily focused on the revenues and expenses expenses of the firm. Items found includes;

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3. Statement of cash flow

  • Net change in cash,

8 0
3 years ago
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