Answer:
a. $265,336
Explanation:
we are told to calculate which amount will make both payments equal:
- payment 1 = $1,000,000 in 5 years
- payment 2 = $500,000 now + ? in 5 years
in order to be able to compare them, we must determine the value of the $500,000 paid now in 5 years:
future value = present value x (1 + interest rate)ⁿ
future value = $500,000 x (1 + 0.08)⁵ = $734,664
$1,000,000 = $734,664 + ?
? = $1,000,000 - $734,664 = $265,336
Answer:
$89,100
Explanation:
Let us first calculate annual gross rent for Year 1:
Total rent per month:
= 2 suites at $1,800 + 1 suites at $3,600 + 5 suites at $1,560
= $3,600 + $3,600 + $7,800
= $15,000
Annual gross rent = Total rent per month × 12
= $15,000 × 12
= $180,000
Effective gross revenue = Potential gross rent revenue - Vacancy and connection losses (10% of potential gross rent)
= $180,000 - $18,000
= $162,000
Net operating income = Effective gross revenue - Operating expenses including depreciation
= $162,000 - $72,900
= $89,100
People with ideas but no money lend money to the financial markets. People with money but no ideas lend money to the financial markets. People with no ideas and no money lend funds to the financial market
<h3>What is the financial market?</h3>
A financial market is a place where individuals can exchange financial derivatives and securities for little to no cost. Stocks, bonds, and precious metals are some of the securities. It basically refers to any market where trading in securities takes place, including, but not limited to, the stock market, bond market, FX market, and derivatives market. For capitalist economies to run smoothly, financial markets are essential.
To know more about the financial market, visit:
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Answer:
A)semistrong
Explanation:
As regards to finance, the efficient-market hypothesis known as "EMH"
gives assertion that financial markets can be regards as "informationally efficient. ”
The EMH three forms which are:
1)weak
2) semi-strong
3)strong
it gives evaluation of the influence that MNPI(material Nonpublic Information ) has on market prices. It explains that when markets are efficient then the current prices reflect all information.
Semi-strong-form give a claim that prices gives reflection of all publicly available information, it also claims that
that prices instantly change to to gives a reflection of new public information.
The weak-form gives a claim that prices that is on traded assets such as bonds or stock gives reflection of
all publicly available information in the past . It should be noted that If you believe in the semistrong form of the EMH, you believe that stock prices reflect all relevant information including historical stock prices and current public information about the firm, but not information that is available only to insiders.
Answer:
A. Assets ↑ (10,000) = Liabilities + Owners’ Equity ↑ (10,000)
Explanation:
The funds brought in will increase the cash held by the business. Cash is an asset, meaning assets will increase by $10,000.
The $10,000 will be an additional capital contribution from Jessica. The business's capital will go up by $10,000. It means equity will increase by $10,000.