1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Free_Kalibri [48]
3 years ago
11

A thirty-year annuity has end-of-month payments. The first year the payments are each $120. In subsequent years each payment inc

reases by $5 over what it was the previous year. Find the present value of the annuity if i D 3%:
Business
1 answer:
Sholpan [36]3 years ago
7 0

Answer:

NPV of the annuity = $209,782.38

Explanation:

Note: See the attached file to see how the Present Values (PV) and the Net Present Value (NPV) are calculated.

The following explanation should be read with the attached.

i = Monthly interest rate = 3%/12 = 0.25%, or 0.0025

DF = Discounting factor = (1 + i)^n = (1 + 0.0025,  where n denotes relevant month

Number of months = 30 years * 12 months = 360 months

CF = Cash Flow = P + 5, where P denotes previous payment

Download xlsx
You might be interested in
Functions are often described as cause and effect in economics. In an economics function, if the variable is on the right-hand s
12345 [234]

Answer:

It represents a cause

Explanation:

If it is on the right side of the function it means that it is one of the independent variables that explains the dependent variable (located on the left side of the function). What the function is representing is the influence that the independent variable (the cause of the dependent variable) has on the dependent variable (the effect that the cause or causes are being sought).

4 0
3 years ago
According to ogburn's theory, invention can include both material and non-material social creations. non-material inventions inc
Free_Kalibri [48]
<span>According to Ogburn, inventions can include both material technological artifacts which change what sorts of things that can be done and the sets of customs, rules, and conventions that allow those material inventions to be of use to members of society. For example, there were various material technological inventions which made the automobile possible (the internal combustion engine, vulcanized rubber, the universal joint), but in order for the automobile to become integrated into society a number of non-material inventions were also necessary such as road networks, agreed upon rules of the road, licensing regimes, and so on.</span>
8 0
3 years ago
Budgeted financial statements are financial statements based on budgeted amounts rather than actual amounts.
Tasya [4]

Answer:

The statement is True.

Explanation:

Budgeted financial statements are prepared for a future period of time. So that it is easy to anticipate certain fixed and variable costs and allocate financial resources to them.

Also, Budgeted financial statement are useful during the strategic planning process and planning on future business expansions.

3 0
2 years ago
a rectangular swimming pool has dimensions 45 metre by 20 metre concrete path of 3.5 m width is laid around it .Find the cost of
Anon25 [30]

Answer:

Rs. 5993.75

Explanation:

The computation of the cost of laying the path is given below:

= {area of(pool +path)- area of pool }

= ((45 + 3.5) × (20 + 3.5)) - (45 × 20)

= (48.5×23.5) - (45 × 20)

= 1139.75 - 900

= 239.75 square meters

Now the cost is

= 239.75 × 25

= Rs. 5993.75

8 0
3 years ago
extreme weather in new york, where the super bowl is scheduled to be played, makes people disinterested in purchasing super bowl
alexira [117]

The following scenarios would place a downward pressure on price:

  1. .The Nile River floods this year add an exceptional amount of silt to the soil, resulting in increased crops of cotton.
  2. An outbreak of mad cow disease causes Americans to abstain from eating beef.
  3. Extreme weather in New York, where the Super Bowl is scheduled to be played, makes people disinterested in purchasing Super Bowl tickets.

The following scenarios would place a downward pressure on price:

An impending unclear holocaust causes people to stock up on twonkies, a popular snack cake provided by many companies

<h3>What would lead to either a upward or downward pressure on price?</h3>

There is an upward pressure on price if demand increases or supply reduces. There is a downward pressure on price if demand decreases or supply increases.

As a result of the slit, there would be an increase in the supply of cotton. This would lead to an downward pressure on price. The mad cow disease would lead people to demand less beef. This would lead to an downward pressure on price. The extreme weather would lead to people not coming for the game. This would lead to an downward pressure on price.

Due to the expectation of the holocaust, there would be an increased demand for twonkies. This would lead to an upward pressure on price.

Here is the complete question:

Decide whether each scenario would lead to upward or downward pressure on the equilibrium price for each good in bold font.

1.The Nile River floods this year add an exceptional amount of silt to the soil, resulting in increased crops of cotton.

2.An outbreak of mad cow disease causes Americans to abstain from eating beef.

3. Extreme weather in New York, where the Super Bowl is scheduled to be played, makes people disinterested in purchasing Super Bowl tickets.

4. An impending unclear holocaust causes people to stock up on twonkies, a popular snack cake provided by many companies

For more information about the change in demand, please check: brainly.com/question/25871620

#SPJ1

3 0
2 years ago
Other questions:
  • If you want to start a fire using sunlight, which kind of mirror would be most efficient
    12·1 answer
  • Categorize each transaction according to the U.S. account to which it belongs and the direction the money flows.
    11·1 answer
  • When countries specialize in producing certain goods and then freely exchange those goods for other goods with different countri
    8·1 answer
  • An associate degree is a:
    10·1 answer
  • Read each scenario and pick the statement that matches it.
    10·1 answer
  • Explain the meaning of “strong” currency and “weak” currency. what are the advantages and disadvantages of each?
    9·1 answer
  • For each of the following shifts(A,B,C,&amp;D) in the demand curve and associated price change of a complement or substitute ite
    14·1 answer
  • The company allocated manufacturing overhead of using a predetermined overhead rate of per machine hour. The total actual manufa
    12·1 answer
  • The capital investment evaluation method that subtracts the initial investment from the discounted future net cash flows from th
    11·1 answer
  • A convertible bond would let the investor exchange it for:____.
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!